Green Deal changes could increase property valueJune 17, 2013
Accessing the Green Deal could have even more benefits for homeowners, following a report from the Department of Energy and Climate Change (DECC) that suggests energy-efficient technology could boost a property's value.
Introduced by the UK government to encourage the uptake of energy-efficient technology, the Green Deal is for households and businesses looking to install measures such as solar panels, insulation and double glazing, with no up-front costs incurred.
In addition to helping to reduce the cost of energy bills for a property on an annual basis, it has now been found that accessing the Green Deal could increase the value of your home or business unit.
According to the DECC, energy saving improvements could increase the value of a property by an average of 14 per cent. In the best possible case, a property value increase of 38 per cent was recorded in the north-east of England.
In real terms, this could see residential properties that increase their Energy Performance Certificate (EPC) rating from band G to E, or D to B, see £16,000 added to the sale price of a home.
In the north-east of England, this could increase the value of a property by £25,000, whereas for homes in the north-west as much as £23,000 could be added to the sale price.
The DECC report examined 300,000 property sales in England between 1995 and 2011 and looked at how energy efficiency can influence property sales.
Energy and climate change minister Greg Barker said: “We have long known the benefits of making energy saving improvements to the home, but this study is real evidence of the huge potential rewards.
"Not only can energy-efficient improvements help protect you against rising energy prices, but they can also add real value to your property. This coalition is committed to helping hardworking families with the cost of living. The Green Deal is designed to do exactly that," he added.
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