Improving your property's energy efficiency could help you add up to £60,000 to your home's value, according to a study.
For homes with low levels of energy efficiency, making some improvements to move the property up a bracket in the efficiency ratings could increase the value by around 30%, according to the research conducted by boiler company BOXT.
An Energy Performance Certificate (EPC) is required when selling or renting any property and includes a rating given to the building on a scale of A to G.
This certificate is used to measure how energy efficient a property is, alongside a report which outlines ways to cut fuel bills and reduce carbon emissions.
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For homes between the 40% and 49% EPC range, equivalent to an E, improvements to bump it up the ladder would result in an average price value increase of £45,000, according to the research.
Homeowners with houses which are lower down on the EPC scale are potentially wasting energy and paying higher bills than necessary.
Currently, as many as 40% of the 4.4 million homes in the private rented sector are unlikely to attain a potential EPC target score of ‘C’ by 2028, according to Propertymark after an analysis of the English Housing Survey.
Overall, there is currently a staggering £117bn worth of property currently up for sale across the UK property market, according to new research by estate agent comparison site GetAgent.
Andy Kerr, co-founder of BOXT, said: “Energy efficiency ratings might not have been something we paid much attention to in the past, however, they are becoming more important with the environmental concerns being faced around the world, and the cost of living crisis affecting millions this year. Being energy efficient simply means using less energy to perform the same task, eliminating energy waste and therefore reducing your household bills.
“Where your central heating system is concerned, you need an energy-efficient boiler. Due to the ERP directive, all modern boilers must be over 90% energy efficient, giving them an efficiency rating of ‘A’. However, if you live in an older home with an older boiler, your boiler could be inefficient, meaning your energy bills will be significantly higher. Research from the Energy Saving Trust shows that, in some cases, upgrading to a more efficient boiler could save up to £580 a year on energy bills."
BOXT's study comes at a time when the average house price in the UK has dropped for the first time since June 2021 to £293,221.
The need for being more energy efficient has taken centre stage for several UK households as energy prices are expected to increase substantially during the winter months, with analysts forecasting it would surpass £4,000.
How to improve your home's energy efficiency
Use LED lights — these are more energy efficient and eco-friendly and according to Energy Saving Trust can save you up to £55 per year.
Plug those gaps — reducing heat loss through gaps around doors and windows is one of the cheapest of most efficient ways to save energy. Draft excluders are your friend when it comes to saving energy.
Get thicker curtains — nice thick curtains, drawn the moment the light begins to fade, will help reduce heat loss through windows.
Insulate walls and roof — Heat generated when you put the heating on can be lost through the walls and roof. Better insulation will lead to less heat being loss and less energy being needed to heat your home.
Invest in double or triple glazed windows — Heat can also be lost through the windows and, although expensive, double or triple glazing could help you in the long run by reducing energy usage.
Install a more efficient boiler — It could be expensive but an efficient boiler can improve your home’s heating system and save you money with research showing up to £580 a year on energy bills.
Install a smart meter — This can help you to monitor your energy usage and allow you to make changes accordingly.
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