How does an Equity Loan work

HEEPS Share Loan Programme

Students living in certain areas of Scotland may benefit from the new Home Energy Efficiency Programme Scotland (HEEPS) pilot programme being piloted by the Government of Scotland. This loan can only be applied for if the real estate in concerned is located in one of the following council areas:

Moreover, while this is an EIB loan for improving overall climate protection, it is now accepted that, since a wet home is a cool home, improvements to climate protection can involve necessary work. Your work in your home must involve an aspect of efficient working, but it must also involve outside work.

55 per cent or more of the costs of the works must be efficient in terms of the use of electricity. Therefore, repairs that reduce moisture and drafts - such as the repairs of a leaky canopy, the repairs of wet rooms or the repairs of drafty window frames - would be suitable. Every energysaving activity you wish to finance must be included in the property's certificate of compliance or in an Home Energyscotland energysaving certificate.

A equity loan is like a second hypothecary, but without current payment. The amount you receive depends largely on the amount of the loan you have owed for your home. Loan limit is 40,000 or 50% of the appraised value of your real estate. Below are some samples of how the schema works.

That means you will never pay back more than you would have if you had taken out a loan at an interest of 2.5% APR. While the loan programme is run by the Energy Saving Trust and the project runs until 31 March 2018, the government of Scotland and the Energy Savings Trust are assessing how many are interested in this type of funding for repair.

However, if you feel that such a system could be useful to you, we suggest that you turn to Home Energy Scotland, even if you feel that your circumstances do not fully match all the above mentioned requirements, as there may be other ways of support. Learn more about the Energy Savings Trust Scotland, which operates the HEEPS Equity Loan Scheme.