Britons could increase the value of investment properties by making ‘homes greener’

Property expert Abi Oniru explains the concept of ‘Rent to Rent’

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Property experts predict that homes with modern eco-credentials such as electric vehicle chargers and solar panels will command a higher premium than those without in 10 years’ time. They will be worth on average nine percent more when sold, according to a study of estate agents by Hive.

With new legislation coming into force in 2030, banning the sale of new petrol and diesel cars, new buyers are increasingly looking to future proof their homes.

As the nation prepares to go electric, estate agents have already started to see a surge in houses that are EV friendly.

Four in five (82 percent) stated a rise in customers searching for homes with an EV charging point already installed.

By adding sustainable features to a property, investors may be able to increase the value of their portfolios in the future.

The surge in at home charging may be being fuelled by a desire for more accessible charging points, with the Public Accounts Committee stating the 2030 target could be in jeopardy unless more is done to improve the charging infrastructure in the UK.

But it’s not just EV chargers that are set to have an impact on the value of a home.

The property’s sustainability credentials also appear to be increasingly important for buyers.

According to the study, buyers would be willing to pay on average almost £22,000 more for a home fitted with all the sustainable trimmings.

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That could be in the form of solar panels or heat pumps.

With net zero targets set for 2050, properties may need to be eco-proofed to fit this new agenda, to avoid the risk of being left out of the sustainable property boom.

Tim Bannister, Director of Data at Rightmove, said:

“One of the clear driving forces behind the continued rise of property prices in 2021 has been a new focus from buyers about what one’s home needs to provide, from gardens to additional space to work from home.

“As we look ahead, it’s very likely that a home’s sustainability credentials will join the list of new priorities that buyers are considering.

“If there are affordable options for homeowners to make their homes greener, then they could become a more commonplace and practical addition to many homes.

“They have the potential to command a premium and provide an additional selling point for homes in the future.”

Americo Lenza, Portfolio Director for Service & Solutions at British Gas also commented on the push towards sustainable housing.

She said: “With the ban on new petrol and diesel vehicles on the horizon, many people are considering how to make the switch to electric.

“However, it’s understandable that there are naturally some concerns about access to charging points.

“It’s the responsibility of businesses and governments to help ease this transition, which is exactly why we’ve launched Hive EV Charging – helping to further power the UK’s electric charging network.

“It’s likely that smart charging as part of a wider home energy eco-system will increasingly become the norm, as people look to make their homes more sustainable.”

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