With recent hikes in energy bills the public are becoming more interested in the Energy Performance of property they are considering buying or renting.
Obviously the green credentials of the property do not represent the sole reason, or indeed the main reason, why a purchaser decides on a particular property, however, the EPC is now clearly on the check list.
Agents have an opportunity to advise the vendor/landlord to upgrade their property with insulation and renewable energy technologies with a view to differentiate the property and create a clear point of difference in the market place.
The EPC is currently tasked mainly with considering the energy efficiency of the property, so for example the EPC could suggest that more loft and cavity wall insulation is recommended. However, with the permission of the vendor we now also include a free renewable energy survey with our EPCs. This enables us to make recommendations on which energy source would work best and enhance the property to maximise its value.
Agents can then market the property with a Green Stamp and let potential buyers know how much they could save per year on energy bills based on the average property vs the property with the green investment.
Green upgrades represent the next big property refurbishment boom, now that many properties have new kitchens and double glazing the green potential of the property is one of the only untapped refurbishment options that will add value to property.
Add to this an increase in value by as much as 3% and there is a good argument for the vendor upgrading the property prior to marketing.
We can advise your agency on how to maximise this opportunity and deliver strategies, know how and right through to installation of renewable energy technologies for your clients.
Monday, 8 August 2011
Update on Energy Bill
The Government are now expecting to get Royal Assent for the Energy Bill, including the primary legislation for the Green Deal and Energy Company Obligation, early in the autumn.
Included in the Energy Bill are a number of changes to the EPC rules and regulations which are likely to be implemented in October 11.
The main points that will be implemented are:-
EPC will be required within 7 days of commencement of marketing
Trading Standards Officers are to be given more powers to request and enforce the EPC from agents and landlords/vendors
The agents in both the residential and commercial market will be responsible for ensuring the EPC is available (currently this is not the case in the commercial market)
The requirement to add the EPC to marketing material including the sales particulars, however, this point is likely to be delayed for further consultation in terms of what represents marketing materials, for example does online portal advertising, sales and letting boards class as marketing materials. In addition updates to the EPC software may mean that an abbreviated version would be available to use on marketing materials.
Included in the Energy Bill are a number of changes to the EPC rules and regulations which are likely to be implemented in October 11.
The main points that will be implemented are:-
EPC will be required within 7 days of commencement of marketing
Trading Standards Officers are to be given more powers to request and enforce the EPC from agents and landlords/vendors
The agents in both the residential and commercial market will be responsible for ensuring the EPC is available (currently this is not the case in the commercial market)
The requirement to add the EPC to marketing material including the sales particulars, however, this point is likely to be delayed for further consultation in terms of what represents marketing materials, for example does online portal advertising, sales and letting boards class as marketing materials. In addition updates to the EPC software may mean that an abbreviated version would be available to use on marketing materials.
Wednesday, 22 September 2010
Sunny Brits install solar panels to cut fuel bills
Optimistic Brits are fitting solar panels in the hope of a hot summer in 2011. Record numbers of homeowners have installed solar panels, according to regulator Ofgem. The devices have been fitted to 6,688 homes since April this year.
Having faced a summer of extremes baking in temperatures of up to 27C and battling storms which hammered the county, many of us are expecting similar conditions in 2011.
It’s worth knowing that in April, the government changed its scheme to reward people who generate their own energy. The government is offering to pay property owners up to £600 (£1,000 if their properties are bigger) if they install the panels.
We’re finding an increasing number of clients asking about solar panels and the benefits and savings they can bring. It makes sense to investigate as the more energy efficient your property is, the more attractive it will be to tenants or buyers. Having solar panels cuts electricity bills, reduces your property’s CO2 emissions and can improve the EPC rating.
Having faced a summer of extremes baking in temperatures of up to 27C and battling storms which hammered the county, many of us are expecting similar conditions in 2011.
It’s worth knowing that in April, the government changed its scheme to reward people who generate their own energy. The government is offering to pay property owners up to £600 (£1,000 if their properties are bigger) if they install the panels.
We’re finding an increasing number of clients asking about solar panels and the benefits and savings they can bring. It makes sense to investigate as the more energy efficient your property is, the more attractive it will be to tenants or buyers. Having solar panels cuts electricity bills, reduces your property’s CO2 emissions and can improve the EPC rating.
Monday, 6 September 2010
Social housing is greener than private sector
I want to draw people’s attention to the fact that social sector homes are on average more energy efficient than those in the private sector, some of which are in urgent disrepair.
Findings from The English Housing Survey (EHS) Headline Report, published by the Communities and Local Government earlier this year back up my claim too. The report found that on average social sector homes have a mean Standard Assessment Procedure (SAP) rating of 59 compared to private properties which on average score 49. A SAP rating is a method of calculating the energy efficiency of a home.
The private rented sector was also highlighted as the worst offender for energy efficiency by a study carried out by the Energy Saving Trust (EST) last month.
So why is this the case? I would say that the authorities are not shy to invest in improving standards as they know they will benefit from energy cost savings in the future.
It’s the large old properties that have seen little investment over the years and are likely to have old heating systems, poor insulation and inefficient boilers.
Landlords in the private sector need to make sure they tackle these unsatisfactory housing conditions and get them up to scratch. There will be little excuse not to when the Green Deal scheme launches in 2012.
Findings from The English Housing Survey (EHS) Headline Report, published by the Communities and Local Government earlier this year back up my claim too. The report found that on average social sector homes have a mean Standard Assessment Procedure (SAP) rating of 59 compared to private properties which on average score 49. A SAP rating is a method of calculating the energy efficiency of a home.
The private rented sector was also highlighted as the worst offender for energy efficiency by a study carried out by the Energy Saving Trust (EST) last month.
So why is this the case? I would say that the authorities are not shy to invest in improving standards as they know they will benefit from energy cost savings in the future.
It’s the large old properties that have seen little investment over the years and are likely to have old heating systems, poor insulation and inefficient boilers.
Landlords in the private sector need to make sure they tackle these unsatisfactory housing conditions and get them up to scratch. There will be little excuse not to when the Green Deal scheme launches in 2012.
Friday, 20 August 2010
Interesting to see my recent commentary published on Estate Agent Today has caused such a stir! I highlighted the fact that a new EU Directive is set to make it compulsory for energy efficiency rates to be published on all property advertising. 46 people have so far commented – check out the link to see what people think and join in the debate!
http://www.estateagenttoday.co.uk/News/Story/?storyid=3434&title=Brussels_ruling_on_EPCs_set_to_overturn_Shapps%27_decision&type=news_features
http://www.estateagenttoday.co.uk/News/Story/?storyid=3434&title=Brussels_ruling_on_EPCs_set_to_overturn_Shapps%27_decision&type=news_features
Energy efficiency becomes priority for businesses
With energy bills for businesses set to rise considerably in the next decade, energy efficiency is fast becoming a priority for businesses across the UK.
It’s good to see that when choosing new premises, business owners are now considering energy efficiency. According to reports published by the Department of Energy and Climate Change, energy bills for businesses could rise by 26 per cent in the next decade as a result of the Government’s comprehensive plan to cut greenhouse gases. This is leading to companies paying closer attention to the energy performance of their offices.
This December, it is expected all commercial properties will be obliged to carry an Energy Performance Certificate (EPC) graph so it’ll be easier to judge how environmentally friendly a building is. In a saturated market, it’s likely that energy efficient properties will become the most desirable option. Badly built offices have been costing British businesses millions of pounds each year. It’s essential that this ailing office stock is improved and efficiency is made a priority. Making offices sustainable will help companies in the battle against the energy price hike.
It’s good to see that when choosing new premises, business owners are now considering energy efficiency. According to reports published by the Department of Energy and Climate Change, energy bills for businesses could rise by 26 per cent in the next decade as a result of the Government’s comprehensive plan to cut greenhouse gases. This is leading to companies paying closer attention to the energy performance of their offices.
This December, it is expected all commercial properties will be obliged to carry an Energy Performance Certificate (EPC) graph so it’ll be easier to judge how environmentally friendly a building is. In a saturated market, it’s likely that energy efficient properties will become the most desirable option. Badly built offices have been costing British businesses millions of pounds each year. It’s essential that this ailing office stock is improved and efficiency is made a priority. Making offices sustainable will help companies in the battle against the energy price hike.
Thursday, 8 July 2010
Green Deal is coming and it's not just for homes
There’s been a lot of talk about the Green Deal and what it promises for households across the UK, but now, it seems there may be a green ray of light for the commercial sector too. Chris Huhne, the following a recent speech from Energy and Climate Change Secretary, has suggested the scheme could be extended to businesses.
In the UK, buildings are responsible for almost 50 per cent of energy consumption and carbon emissions. The Green Deal is a £20bn investment specifically targeting home energy. It is a great initiative but we have to remember that nearly a fifth of CO2 emissions in the UK are from non-domestic buildings, so the commercial sector needs addressing too, it can’t just be swept under the carpet.
On paper, greenhouse gas emissions in the UK have dropped significantly as a result of the recession and also because of increased fossil fuel prices, but this is no excuse for the Government to just sit back, they are still far too high compared with other countries.
The Green Deal, as far as I can see, is a win-win initiative that will result in a more environmentally friendly Britain, whilst delivering consumer savings. Because of Green Deal the environmental credentials of a building will become more of a selling point too.
All this means more businesses than ever will be requiring energy performance advice. There will be an increasing demand on energy performance advisers to work with businesses to help make their property more energy efficient and environmentally friendly. Huhne also said the Government was already in talks with energy companies and high street stores, who he expects to guide customers through the application process and pay for the initial work up front.
We all know making environmental improvements to your business is not just about reducing costs but improving your company image. Businesses are becoming increasingly aware of their corporate social responsibility (CSR) and improving energy efficiency can play a key part in this.
So, worst beaches in Europe, worst electrical recycler in Europe, a nickname of ‘dirty man of Europe’, let’s hope the Green Deal will help us get something right, not just home owners but businesses as well.
Marc.
In the UK, buildings are responsible for almost 50 per cent of energy consumption and carbon emissions. The Green Deal is a £20bn investment specifically targeting home energy. It is a great initiative but we have to remember that nearly a fifth of CO2 emissions in the UK are from non-domestic buildings, so the commercial sector needs addressing too, it can’t just be swept under the carpet.
On paper, greenhouse gas emissions in the UK have dropped significantly as a result of the recession and also because of increased fossil fuel prices, but this is no excuse for the Government to just sit back, they are still far too high compared with other countries.
The Green Deal, as far as I can see, is a win-win initiative that will result in a more environmentally friendly Britain, whilst delivering consumer savings. Because of Green Deal the environmental credentials of a building will become more of a selling point too.
All this means more businesses than ever will be requiring energy performance advice. There will be an increasing demand on energy performance advisers to work with businesses to help make their property more energy efficient and environmentally friendly. Huhne also said the Government was already in talks with energy companies and high street stores, who he expects to guide customers through the application process and pay for the initial work up front.
We all know making environmental improvements to your business is not just about reducing costs but improving your company image. Businesses are becoming increasingly aware of their corporate social responsibility (CSR) and improving energy efficiency can play a key part in this.
So, worst beaches in Europe, worst electrical recycler in Europe, a nickname of ‘dirty man of Europe’, let’s hope the Green Deal will help us get something right, not just home owners but businesses as well.
Marc.
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