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Good EPC Ratings - many buyers will pay more for energy efficiency

New research shows that a significant number of buyers will pay more for a home with a good EPC rating.

The study, by Uswitch Mortgages, says 43 per cent of purchasers would consider paying a premium for a home o be more energy efficient. 

Some 22 per cent of respondents would attach a premium of 20 per cent or higher to a property with an A or B rating - based on the average house price in the UK this would work out at around an additional £58,000. 


Across all respondents who would consider paying more for an energy efficient home, the average premium compared to a property with a lower EPC is 15.5 per cent - equivalent to around an extra £45,000 on average. 

The most sought after ‘green’ home features include double or triple-glazed windows. A high 90 per cent of respondents said this is a very or fairly important feature when considering properties. 

The most valued green features were Double/triple glazed windows (90%); Energy efficient appliances (61%); Water conservation features (53%); Sustainable building materials (51%) and Solar panels (41%). 

Uswitch mortgage expert Kellie Steed says: “With green mortgages, there are a range of benefits available, which vary depending on the specific lender and product, and are mostly based on the EPC rating or potential of your property. These could be a helpful option for residential home buyers, homeowners and buy-to-let investors alike.

"Make sure you opt for the right type of green product: Those looking to improve an older, less efficient homes, either as a purchase option, or in some cases, through the remortgage of your own home, should look at lenders offering green mortgages with cashback or even additional borrowing incentives, This way you can use the money exclusively to improve your home’s EPC rating. 

“Landlords can use green mortgages efficiently: Renters also favour energy efficient properties, especially since the cost of living crisis. Green mortgages with additional borrowing could help you make the necessary increase to your EPC rating to remortgage onto a cheaper green rate, while also increasing the overall desirability of your portfolio to potential tenants.

“Don’t forget to factor in savings: While green mortgages can be cheaper than other mortgages in a particular lender’s range, it’s important to remember they could be more costly than a non-green deal with another lender. Greener homes are likely to hold their market value for longer as eco elements increase in importance, but remember to consider all options when choosing the right mortgage for your needs. By speaking to a whole-of-market mortgage broker you can compare deals across lots of lenders to find the best deal for you.”

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    Given how few properties there are to rent, I fail to see how they had enough of a pool of lettings to gain this opinion 🤔🤔. In the near future prospective tenants will be lucky to rent anything 🆘🆘

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    Most people still don't have a clue about energy efficiency, whether buying or renting!


    Absolutely, I have never known a tenant to even ask what the EPC rating is on my properties.
    Also, a lot of these measures to improve energy efficiency, hardly benefit the tenant that much anyway.


    Tricia- tot agree. ESP tenants. I’ve never had a tenant ask re the EPC of the prop they r looking round.

  • Nic  Kaz

    Smacks of a loaded question, such as ‘If, for a small increase in the rent/price you could have an energy efficient home, or one that costs much more to heat, which would you choose?’

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    Where are all those experts coming from how many do they house.
    The best way to help the housing crisis situation is to stop driving out the suppliers.

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    So, are tenants prepared to pay more for energy efficiency? I think not.


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