Bank of Montreal will reward eco-friendly homeowners with a competitive new mortgage rate.
BMO’s Eco Smart Mortgage will offer a 3.89% fixed five-year rate for Canadians who choose energy efficient homes.
The promotion will save a typical customer with a $300,000 mortgage amortized over 30 years thousands of dollars over five years, the bank said.
Fifty-one per cent of respondents to a Leger Marketing survey for BMO cited utility costs as the biggest financial shocker associated with homeownership.
“The cost of owning a home should not exceed one third of total household income, so Canadians should take advantage of every opportunity to reduce expenses, and energy usage is a responsible and easy place to start,” said Katie Archdekin, BMO’s head of mortgage products.
Nearly half of Canadians are planning energy-efficient upgrades in the next year, the survey found. And with expectations that the Bank of Canada will resume interest rate hikes later this summer, now is a good time to review your mortgage.
Other banks also offer green mortgage and rebate products. The RBC Energy Saver Mortgage refunds up to $300 on a home-energy-related improvement; TD Canada Trust’s Green Mortgage offers a rebate of up to 1.5% on the cost of a mortgage with qualified purchases and the Canadian Mortgage and Housing Corporation offers buyers access to the Green Home Program through approved lenders.
Qualifying homes at BMO will include those running high-efficiency heating and cooling systems, solar, tankless or Energy Star qualified hot water systems, high-quality attic insulation or Energy Star windows and doors. BMO will arrange an appraiser to determine whether your home qualifies.
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Contact the Jeffrey Team for more information - 416-388-1960
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