The Increasing Demand for Loans for Energy-Efficient Refurbishment: Financing Options and Recommendations

Düsseldorf The heating law has not yet been passed in the Bundestag. However, many house and apartment owners have apparently long been concerned with the question of how to make their property future-proof in terms of energy – and how to finance the investment in the most clever way.

The demand for loans for the energy-efficient refurbishment of residential properties is increasing. At the financing broker Interhyp, the proportion of modernization projects in the overall portfolio almost doubled in the first quarter of 2023 over the year. The choice of financing products has increased: Banks no longer only offer the choice between cheap mortgage loans that require extensive checks and expensive installment loans that are flexible and available more quickly.

With so-called modernization loans, they offer an interesting hybrid model – some even reward energy savers with interest rate reductions. The combination of different loan options can also make sense, say financing professionals. Consumer advocates are more cautious – and name a clear favorite. Which variants of financing the energy-related renovation you should know and what advantages and disadvantages they have.