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A good EPC rating brings in more buyers – Mortgage Advice Bureau
Nearly 20 per cent of Britons would not consider making an offer on a house with an EPC rating below grade C, according to new research.
One-fifth (19 per cent) of the 2,004 people surveyed on behalf of the Mortgage Advice Bureau this month said they wouldn’t consider a house with an energy performance rating below grade C, while nearly half (46 per cent) of potential buyers said they would choose good insulation over a bigger garden (29 per cent).
It could be another signal of how the current cost-of-living crisis and surge in energy prices is weighing on the British housing market.
Importance of a higher EPC
Brian Murphy, head of lending at Mortgage Advice Bureau, said: “We’re increasingly seeing buyers who are placing greater importance on energy efficiency, as having a higher EPC (especially in the winter months) will likely mean lower energy bills for the owner. This is something that everyone is keen on, with the cost-of-living crisis showing no signs of abating.
“What many might not know is that in buying a higher-rated property, you could also become eligible for a green mortgage. This means that not only will you get a discount on energy bills, you could also lock in a cheaper mortgage rate.”
Most don’t know their EPC rating
More than 80 per cent of respondents said they considered it important to make their homes energy-efficient, although 45 per cent said the upfront cost to realistically upgrade the property was too high. Still, 41 per cent said that such upgrades would increase the value of their property.
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Among those planning to make improvements, the most common changes were switching to energy-efficient bulbs (33 per cent) and adding a smart meter and installing insulation (23 per cent). Yet around 20 per cent said they didn’t know what they could do to increase energy efficiency.
“Our research found that two-thirds (60 per cent) of homeowners didn’t know what their EPC rating was when asked,” Murphy said.