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Add value to your home with an improved EPC rating

Sellers of homes with improved EPC ratings see increases in value of as much as 15%, or almost £56,000, shows new research from Rightmove.

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Originally posted: 31st August, 2023

‘Green price premium’

Sellers of homes with improved EPC ratings see increases in value of as much as 15%, or almost £56,000, shows new research from Rightmove.

This ‘green price premium’, reported by Rightmove this week, shows that a home moving from an EPC rating of D to C, could see an increase in value of 3%, or £11,157. While improving from an F to a C rating could see the property’s value go up by an average of an additional 15%, or almost £56,000, when considering the current national average asking price.

These figures come from Rightmove’s analysis of 300,000 properties which have sold twice in the last 15 years – and have had a new EPC certificate issued. They demonstrate that there is an additional ‘green premium’, over and above the local house price growth over time.

In its report, Rightmove says that saving money on energy bills remains the main reason for people to make green improvements to their homes. Its research shows that 78% of home owners say cutting energy bills would motivate them to make changes. The higher a home’s Energy Performance Certificate (EPC) rating is, the lower that property’s energy bills are likely to be.

The increased value of a home with an improved EPC rating shows that home movers see the worth of a good EPC rating. When Rightmove asked home owners if they think it’s worth paying more for an energy-efficient home, only 6% disagreed (Rightmove Spring Survey, conducted between 11th April and 27th April 2023, among 5,943 respondents).

Green selling features of a home

Rightmove highlights that more and more estate agents are highlighting green features and better EPC ratings of homes as major selling points in their property listings on Rightmove.

Interestingly, the number of listings which refer to electric car charging points is up by 40% over last year, and up by an astonishing 592% since 2019.

The number of listings that highlight an EPC rating of A-C within the description of the property is up by 24% against this time last year, and up by 59% on 2019.

Rightmove property expert Tim Bannister says: “In an increasingly price sensitive market, highlighting the key benefits of a greener home will help properties to stand out from their neighbours. Estate agents are now much more likely to be highlighting the virtues of smart technology and solar panels, than sun-trap conservatories that are too hot in the summer and too cold in the winter.

“There will come a time, not in the too distant future, when more buyers are queuing up for homes with electric charging points and good insulation, instead of seeking out Victorian open-fireplaces.”

Thinking of moving? Seek advice from an experienced agent

In today’s housing market it pays to seek advice from an experienced agent. There are committed buyers looking to move but they are becoming more price sensitive, and an agent who knows and understands the local housing market and prices sensibly will ensure you get the best possible outcome.

Here at Preston Baker we pride ourselves on pricing properties to sell and working diligently to get the best possible outcome for our clients.

If you would like a free, no obligation valuation please get in touch.

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