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Types of mortgages

Green mortgage / eco-mortgage

Français : Hypothèque verte / éco-hypothèque

Mortgage product offering a reduced rate or improved conditions for certified energy-efficient properties (LEED, R-2000, ENERGY STAR) or energy-efficient renovations.

Definition

The green mortgage (eco-mortgage) is a financial product that rewards borrowers who purchase or renovate high energy performance properties.

**Offers in Canada**: - **CMHC Eco** : 25% rebate on CMHC insurance premium for ENERGY STAR, R-2000 or LEED certified homes — among the most significant available benefits - **Desjardins Eco-mortgage**: preferential rate for certified properties or those that have undergone eligible energy-efficient renovations - **CIBC Green Advantage**: rate reduction for high EnerGuide ratings - **BMO energy-efficient renovation loan**: dedicated financing for insulation, windows, heat pumps

**Recognized certifications**: - R-2000 (NRCan): new construction, advanced energy standard - ENERGY STAR (new home): 20%+ more efficient than standard building code - LEED (various categories): international tiered certification (Certified, Silver, Gold, Platinum) - Net zero (CHBA): home producing as much energy as it consumes

**Typical eligible renovations**: - Additional insulation (walls, roof, foundations) - Triple-glazed windows and doors - Heat pumps, air-source heat pumps - Solar panels with storage batteries - Heat recovery ventilators (HRV)

**Federal renovation programs**: The federal government offers direct grants (up to $5,000) via Rénoclimat (QC) and interest-free loans (up to $40,000) via the Canada Greener Homes Loan program.

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This definition is provided for informational purposes only and does not constitute legal, tax, or financial advice. For a personal situation, consult an AMF-licensed mortgage broker, notary, accountant, or the relevant financial institution.