What will future home buyers be searching for?
In a decade, smart technology has made incredible improvements to our houses. And going forward, our houses have a greener future.
Boosting Your Home's Value with Energy Efficiency: The Road to UK's Net Zero by 2050
The United Kingdom's journey to achieving Net Zero by 2050 relies heavily on energy conservation within residential properties. By 2035, the government aims to secure a C rating or higher in energy efficiency for all residential buildings. As a result, homes with superior energy efficiency will likely become increasingly attractive to potential buyers, alongside other sought-after features like spacious gardens, prime locations, and fast broadband speeds.
The Importance of Energy Performance Certificates (EPCs)
When a property is being sold or rented out, it must have an Energy Performance Certificate (EPC) that indicates its energy efficiency rating. A higher-rated home generally entails lower monthly energy costs, potentially increasing the seller's asking price. In the future, homeowners with high-rated properties might even be offered better mortgage terms.
Green Features: What Home Buyers Are Looking For
In the coming years, buyers will likely prioritize energy efficiency and may negotiate price reductions to accommodate the expenses associated with eco-friendly renovations. Searches for "solar panels" and "heat pumps" on Google have seen significant increases, reflecting the growing interest in green home features.
For newly constructed properties, buyers are likely to inquire about eco-friendly amenities, such as solar panels, heat recovery ventilation systems, electric vehicle charging stations, water conservation measures, and air source heat pumps. Eventually, buyers will factor in the cost of green upgrades when determining their offers to sellers.
The Green Premium: A Growing Trend
Though the shift toward energy efficiency may be gradual, the green premium for home upgrades is already taking effect. Home improvements that enhance energy efficiency, such as installing new windows, not only improve the property's condition but also contribute to a greener home.
Sellers who proactively invest in energy-efficient upgrades may see a return on their investment, while those who don't may need to lower their asking price. Research suggests that home values can increase by up to 16% if steps are taken to improve the EPC rating.
The Need for Guidance and Financial Support
Many homeowners are eager to make energy-efficient improvements but may be deterred by the complexity and cost of the required modifications. To navigate these challenges, homeowners need more guidance and financial assistance to determine the best course of action.
The recent heatwave in the UK highlighted the need to consider not only heating costs but also cooling costs in future-proofing our homes. As the country marches toward Net Zero by 2050, it is crucial for homeowners to invest in energy efficiency and adapt to the evolving demands of the housing market.