An estimated 61% of people in the UK believe mortgages should be cheaper if they are loaned on homes which emit fewer emissions, according to Vattenfall Heat UK.
More than three-fifths said that mortgages should also be cheaper for those who carry out green home improvements.
The majority of respondents said they would prefer to live in a home that did not produce carbon emissions (62%), however many did not know how they would fund the upgrade.
The research also found that fewer than one in four said they would know what kind of heating system they would need if gas boilers had to be replaced with low-carbon alternatives.
Less than a quarter (23%) were confident that they would be able to meet the cost of installing a low carbon heating system in their home.
People were split over whether it should be more difficult to secure a mortgage for homes that are more polluting, with 32% on either side of this issue.
Mike Reynolds, managing director at Vattenfall Heat UK, said: “Our research shows that although people want to live in low-carbon homes, most don’t know what they need to do to convert their properties nor how they would pay for it.
“The huge cost of insulating homes and removing emissions from heating means we can’t expect bill payers to stump up the money for everything.
“We need a plan setting out what upgrades need to happen where, and new ideas – such as affordable and simple mortgages for homeowners, or incentives for commercial property owners to go green – to get the money flowing to pay for all of this.
“The government’s forthcoming Heat & Buildings Strategy is the perfect opportunity to set out practical policies which will kick-start this massive task.”