Homes with good EPCs are worth on average 14% more.
This claim – which is interesting, since our readers constantly tell us that no one looks at EPCs when buying – comes from the Department of Energy and Climate Change, which says that making energy improvements to a property could boost its value by even more than the average, by as much as 38%.
For an average home, improving its EPC from band G to E, or from band D to B, could mean adding more than £16,000 to the sale price of the property.
In the North-East, improved energy efficiency from band G to E could increase this value by over £25,000 and the average home in the North-West could see £23,000 added to its value.
The DECC's report, which took into account over 300,000 property sales in England between 1995 and 2011, says that its research ‘indicates’ that energy efficiency is now a key factor influencing the sale price of most residential dwellings in England.
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.
Over three-quarters (76.8%) of UK property investors are considering buying additional investment properties over the coming year.
A new survey of investors shows confidence, with landlords highlighting strong rental demand as their main incentive for expanding their portfolios, also high and rising rental values, and the belief that prices are at or near the bottom.
Just 10% of investors believe now is a bad time to invest in UK buy-to-let, with the majority citing concerns about the economy as the main deterrent.
Investors are taking a long-term view of the property market, with 50% stating that long-term capital gain is their top priority, closely followed by rental income (44%). Just 6% stated that they were hoping to benefit from short-term capital gain.
Nearly half of those surveyed (45.9%) said they are currently achieving gross rental yields of more than 5.5%, with almost a fifth (19.4%) achieving 9% yields or higher.
Stuart Law, chief executive of investment firm Assetz, said: “Risk-averse lenders are making no secret of the fact that they would rather allocate the limited funds they do have to the lower-risk option of buy-to-let loans with deposits of typically 25–40%.
“The sector has not been as hard hit by the recession as originally feared, due to the fact that interest rates have remained extremely low. This has protected landlords by giving them cashflow, and future rate rises, which are likely to be small and gradual, will be covered largely by rental increases.”
This theme is certainly true for Oxford. Lucy Taylor, Operations Director at scottfraser says "We have seen a strong return to the invesment market from many of our seasoned landlords as well as newcomers. The key difference to the investor market seems to be the need for professional advice when finding the perfect buy-to-let purchase. Although the means of finding property is easier for potential landlords getting the best deal to ensure the best returns is far more difficult."
Operations Director - Head Office
01865 759926 / email@example.com
Source: Letting Agent Today