Seventy-five per cent of Brits planning to sell property in the next 12 months would consider energy efficiency changes to increase its value, new research from home efficiency innovation platform Snugg has revealed.
Average house prices are continuing to fall and rising mortgage rates are blocking out potential buyers. As a result, potential sellers may now start looking to energy efficiency measures to boost the selling potential of their home, Snugg found.
While there is an increasing appetite for home changes due to the promise of both reducing environmental impact (74 per cent) and saving money on bills (75 per cent), significant confusion remains around the options available to homeowners to improve energy efficiency.
Around 61 per cent of likely sellers have previously researched government grants for home heating improvements but were confused about their eligibility. Similarly, 57 per cent say they just don’t know how to make their home more energy efficient.
Meanwhile, 65 per cent assume they are not eligible for government grants, with 69 per cent falsely believing grants for home heating improvements are only available for people with low incomes.
The Boiler Upgrade Scheme, which provides grants of up to £7,500 towards the cost of installing a heat pump, is one example of non-means-tested government assistance for green home improvement. In total, 68 per cent say they would never make energy improvements to their home without a government grant and believe that the government should cover the cost of replacing gas boilers with heat pumps.
Snugg explained that its own online platform can help create a personalised energy efficiency improvement plan and connect people to relevant grants, financing and trusted local installers, making it easier for people to make their homes energy efficient.
Lack of knowledge remains an issue
A lack of knowledge about home energy efficiency changes also emerged as a prevalent issue for Brits. Snugg’s research found that only 35 per cent of Brits understand how energy-efficient heat pumps work, compared to 70 per cent of people who understand a gas boiler.
Robin Peters, CEO of Snugg, explained the importance of making UK homes more energy efficient: “Sellers’ lack of access to available information on home energy efficiency changes risks slowing an already spluttering property market – with home energy efficiency improvements known to increase value by up to £15,000. At the same time, homes in the UK rank amongst the worst in Europe for energy efficiency – responsible for more than a fifth of the UK’s CO2 emissions.
“It’s little wonder people are confused when current grant schemes are uncoordinated and the government’s ever-shifting position on net zero provides little certainty or clarity to homeowners. It’s vital that we ensure everyone has access to the knowledge needed for simple and affordable home changes that can both help boost the property market and accelerate our transition to net zero.”
Meanwhile, 42 per cent of respondents did not know what their home’s Energy Performance Certificate (EPC) rating is, and 16 per cent had never heard of one before taking the survey. Only 21 per cent of Brits are aware of how much they could receive in grants for home heating. Lack of awareness about available grants is highest in the North East of England (81 per cent), followed by the East of England (75 per cent).