Two-thirds of home seekers look for a property with green technology installed, according to a study.
More buyers are looking for homes with environmentally friendly upgrades such as solar panels, triple-glazed windows and roof insulation, which will help them be more energy efficient and reduce carbon emissions, an Ovo Energy survey shows.
As demand for green homes grows, there is a potential opportunity for sellers to increase the value of their home by installing green technology.
Less than half of homes in the UK have an EPC rating of C or above, classifying their energy efficiency as poor.
Increasing your property’s EPC rating from F to C could increase the value of your home by up to 15 per cent, according to Rightmove’s Greener Homes 2023 report.
On a typical property price of £285,000 recorded by the Office for National Statistics, that would mean a potential £42,750 of added value.
Solar panels, on average, typically cost £5,875, but add £11,500 in value, according to Barrows and Forrester.
Triple glazing is a more expensive option, typically costing £1,200 per window, meaning that on a home with 12 windows you could spend over £14,000 according to Checkatrade.
However, triple-glazed windows are likely to be more attractive than double-glazed ones, offering greater energy efficiency and the added benefit of noise reduction.
Meanwhile, installing an electric vehicle charger costs just £1,000 and could increase the value of your home by 1.7 per cent, adding almost £5,000 to the price of the average house, according to Barrows and Forrester.
Energy Performance Certificate (EPC) ratings are used to assess the energy efficiency of homes.
As of 2023, only 41 per cent of households in the UK have an EPC rating of C or above, an increase of just one per cent on the previous year, meaning that a large proportion of households They have energy efficiency ratings that are considered good. poor.
With current energy costs remaining sky-high, the top motivation for homeowners to improve their property’s energy efficiency is to save money on their energy bills, with nearly half marking this as a reason to make improvements.
Improving energy efficiency, reducing carbon footprint, improving the property’s EPC rating and increasing the value of your home turned out to be other reasons to invest in green technology.
While increasing the value of their property was only the fifth most common motivation, more than a third of prospective buyers said they would be more likely to make an offer on a home if it had been equipped with environmentally friendly upgrades, such as triple glazing and roof. isolation.
Tim Bannister, director of property science at Rightmove, said: “One of the trends that has been emerging is that sellers who have improved the energy efficiency of their homes can earn a premium when it comes time to move.”
“It’s going to be a really important year for evidence-based innovations and knowledge sharing in this space.”
For those who plan to install green technology in their homes, solar panels turn out to be the most popular option.
Electric vehicle charging points, smart meters, wall insulation and a smart thermostat were other common selections for expected upgrades.
Installing green technology increased my home’s EPC rating
Installing an electric vehicle charger helped Lucy save £4 in January alone
Making green improvements has allowed Lucy, 31, from Kings Langley, Hertfordshire, to improve the EPC rating of the home she shares with her fiancé David from a D to a high B, which in turn has increased the value of her four. bed at home.
“We bought our house when the market was at its peak,” he told This is Money.
‘Property values in our area have dropped, but our house has managed to maintain its value thanks to the increased EPC rating and the green technology we have. We were willing to pay more for a home with green technology and we know others are too.
The couple also have solar panels installed on their property, allowing them to generate their own electricity, as well as selling up to £800 back to the grid each year.
After moving into their new home in 2022, they also decided to take advantage of the incentives being offered by installing a smart meter and electric vehicle charger.
‘We knew the smart meter would help us see where we were using our energy and what we could change, from lighting to heating. “It has given us a lot more control and allowed us to make small changes that reduce our costs,” Lucy said.
“Comparing January this year and last, we have saved an additional £48 as a result of our smart meter and electric vehicle charger alone.”
The couple can earn £800 a year by selling the energy produced by their solar panels back to the grid.
Continuing with their upgrades, the couple is planning to install a heat pump further down the road, as well as upgrade their solar panels.
‘I absolutely believe that more people should acquire green technology. Kind of like a smart meter is an instant win. The more information you have, the more informed your decisions can be.
“Of course, which green technology you install depends on your circumstances and the incentives available,” he said.
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