Interest free loans from banks for installing insulation or heating
Many banks offer low or zero interest home loan top ups for ceiling and underfloor insulation, heat pumps and ventilation.
These loans allow homeowners to save on doctors’ bills, sick leave, mould and have a warmer healthier family today. For landlords, the banks may provide also the opportunity to make the property compliant with the Residential Tenancy Act with insulation, heat pumps and ventilation.
A review of Banks in February 2026 provides the following options. Always contact your bank to see what the latest deal is from them.
Westpac
Greater Choices Home Loan
Max $50,000 includes insulation and ventilation as eligible uses.
Generally, expects a quote from a professional (such as IAONZ) as part of the process.
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ANZ Bank New Zealand
Good Energy Home Loan
Up to $80,000 for ceiling/underfloor/wall insulation, plus glazing, ventilation and heat pumps
Bank will only draw down when you provide a quote + confirmed installation date
ASB Bank
Better Homes Top Up
Up to $80,000 including insulation for underfloor, ceilings and walls
Requires a quote/invoice from a qualified installer (such as an IAONZ member) and other standard criteria such as equity / owner-occupier vs investor rules.
Bank of New Zealand
Better Future Home Loan Top-Up
Up to $80,000 in total at 1% p.a. fixed for three years, for insulation, ventilation, heat pumps, glazing and solar.
Requires a BNZ Standard home loan with at least 20% equity, plus a quote for supply and installation and a confirmed installation date.
Kiwibank
Sustainable Energy Loan
Focused on solar / wind / hydro / geothermal, not insulation/heating