Nearly three-quarters of people fear homes with poor EPC ratings will become increasingly difficult to sell over the next five years, according to research from Together.
The study of 2,000 UK adults finds 73% are concerned about the future saleability of less energy-efficient properties, while 74% would be prepared to pay more for an energy-efficient home.
Those willing to pay a premium would spend an average of £5,293 more, while 45% of respondents now rank low energy bills among the most important considerations when buying a property.
However, the cost of carrying out improvements remains a significant obstacle, with half of respondents identifying it as the biggest barrier to upgrading their home.
FINANCE COULD UNLOCK IMPROVEMENTS
More than a third (34%) say they are considering energy-efficiency improvements but cannot afford them, while 63% would be more likely to make improvements if affordable finance was available.
Together says this could create a role for property finance, including bridging and second charge lending, where homeowners need to fund works before selling or want to improve the value and appeal of an existing property.
Its analysis of EPC data also reveals significant differences across England and Wales.
Just 12.42% of dwellings in the Isles of Scilly achieve EPC Band C or above, followed by Gwynedd at 27.79% and Ceredigion at 31.51%.
At the other end of the table, 82.21% of properties in Tower Hamlets achieve Band C or above, followed by Knowsley at 74.40% and Salford at 71.18%.
‘ENERGY EFFICIENCY IS A KEY PART OF AFFORDABILITY’
Ryan Etchells (mai picture, inset), Chief Commercial Officer at Together, says: “Rising energy bills have put pressure on all homeowners’ pockets over the past few years. Savvy buyers are now thinking beyond the purchase price of a property, ensuring they’re aware of what a home will cost to run every month.
“Energy efficiency is a key part of affordability, so homes with lower running costs are becoming more attractive. While owners of less efficient properties may need to invest more upfront to save money in the long run, the benefits of home improvements can counter the costs.
“As many homeowners recognise the benefits of improving energy efficiency, finding ways to spread costs through bridging or second charge loans can help homeowners make the improvements they need whilst also increasing their property’s value and appeal.”
