Apr 15, 2025 10:06:13 AM

Why More Aussies are Choosing Eco-Friendly Homes and How to Afford One

Topics: Home and Lifestyle Tips 0

Eco-friendly homes are fast becoming a top choice for today’s home buyers in Australia. Whether it’s to cut down on energy bills, create a healthier space, or to do their part for the planet, many buyers now consider “green features” an essential. If you’re looking for a greener home, you don’t have to start from scratch. Refinancing your home loan could help you pay for upgrades to make your home more sustainable. 

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What is an eco-friendly home?

Eco-friendly homes - also known as green or sustainable homes - are designed to use less energy, water and resources, with features like solar panels, insulation, energy efficient lighting, or appliances that use less power and water.

As well as being good for the environment, sustainable homes are kinder on your wallet! Energy efficient and resource saving features mean lower utility bills and long-term cost savings, making them a smart investment.

Why do Aussies love eco-friendly homes?

Increasingly, Australians are choosing eco-friendly homes because of:

  • Rising energy costs. Equipping your home with energy efficient features can help reduce household expenses. Features like solar panels and high quality insulation, while expensive to outlay initially, pay for themselves over time with significantly lower utility bills.
  • Greater environmental awareness. Growing concerns about climate change have led Australians to adopt more sustainable lifestyles. Residential properties contribute to about 10% of our nation’s carbon emissions, so choosing eco-friendly homes is a way to reduce your footprint and promote a healthier planet.
  • Higher property value and demand. Properties with green features often attract more buyer interest and can even sell faster, making sustainable homes financially advantageous. As demand grows, energy efficient features are becoming a key selling point that can boost a property’s value.
  • Government incentives and policies. The Australian Government is working with state and territory governments to improve home energy efficiency. Initiatives, including rebates and grants, have made sustainable housing more accessible, encouraging homeowners to invest in eco-friendly features.

What makes a home more sustainable?

Even small upgrades can make a big difference to your energy use, water bills and comfort. If you’re thinking about making your home eco-friendly, here are some easy ways to start:

  • Fit improved insulation. Good insulation helps keep your home warm in winter and cool in summer, so you rely less on the air con.
  • Switch to energy-saving lighting. Replace old lightbulbs with LED lights - LEDs use up to 80% less energy and last much longer than traditional incandescent bulbs.
  • Install double-glazing. Retrofitting double glazing – or replacing existing windows with double-glazed – helps reduce heat loss and blocks out noise.
  • Add solar panels to lower your energy bills, improve energy independence, and reduce your carbon footprint.
  • Use water wisely. Set up rainwater tanks or switch to low-flow taps and showerheads to reduce your water usage.
  • Choose sustainable materials. If you’re renovating, choose recycled timber, low-VOC paints and eco-certified flooring.
  • Fit tech features. Smart thermostats and energy monitors track your energy use and highlight ways you can cut back.
  • Make the most of natural light. Use blinds and curtains to keep your home warm in winter and cool in summer.

Refinancing to go green

If you already own a home, refinancing your mortgage to tap into your home’s equity may be a way to cover the cost of energy efficient features. Some lenders offer green home loans, top-up loans that come with lower interest rates and flexible terms, designed for projects that make homes more sustainable.

Talk to a Mortgage Express broker today to find out how refinancing or a green home loan could work for you, and find the right solution for your budget, lifestyle and property goals.


While all care has been taken in the preparation of this publication, no warranty is given as to the accuracy of the information and no responsibility is taken by Finservice Pty Ltd (Mortgage Express) for any errors or omissions. This publication does not constitute personalised financial advice. It may not be relevant to individual circumstances. Nothing in this publication is, or should be taken as, an offer, invitation, or recommendation to buy, sell, or retain any investment in or make any deposit with any person. You should seek professional advice before taking any action in relation to the matters dealt within this publication. A Disclosure Statement is available on request and free of charge.

Finservice Pty Ltd (Mortgage Express) is authorised as a corporate credit representative (Corporate Credit Representative Number 397386) to engage in credit activities on behalf of BLSSA Pty Ltd (Australian Credit Licence number 391237) ACN 123 600 000 | Full member of MFAA | Member of Australian Financial Complaints Authority (AFCA) | Member of Choice Aggregation Services.