Energy efficiency is playing a growing role in homebuying decisions, with almost three-quarters of buyers concerned that properties with poor EPC ratings could become harder to sell.

Research commissioned by Together found that 73% of UK adults are worried that homes with weak energy-efficiency credentials will become increasingly difficult to sell over the next five years.

The study of 2,000 adults also found that 74% would be prepared to pay more for an energy-efficient property, with respondents willing to spend an average of £5,293 extra for a home offering better energy performance.

Running costs are also becoming more important in the buying process. Some 45% of respondents said low energy bills were now among the most important factors they considered when choosing a property, while 15% said higher energy costs could be a dealbreaker.

However, the cost of improving existing homes remains a significant obstacle. Half of respondents identified the expense of energy-efficiency work as the biggest barrier to making improvements, while 34% said they were considering upgrades but could not afford them.

Nearly two-thirds, 63%, said they would be more likely to carry out improvements if affordable finance was available.

REGIONAL EPC DIVIDE

Separate analysis by Together points to wide variations in the energy efficiency of housing stock across England and Wales.

The Isles of Scilly had the lowest proportion of homes rated EPC Band C or above, at 12.42%. Gwynedd followed at 27.79%, with Ceredigion at 31.51% and Staffordshire Moorlands at 31.66%.

At the other end of the table, Tower Hamlets recorded the highest proportion of homes achieving Band C or better, at 82.21%. Knowsley stood at 74.40%, followed by Salford at 71.18%, Milton Keynes at 69.38% and Southwark at 69.33%.

London accounted for five of the 10 highest-ranked local authorities, with Hackney, Newham and the City of London also appearing alongside Tower Hamlets and Southwark.

The research suggests buyers are also paying closer attention to energy-saving features already installed in homes. Solar panels were sought by 41% of respondents, while 34% highlighted triple glazing and 25% loft insulation.

Looking further ahead, 22% said rising energy bills would be one of the biggest influences on UK homes by 2030, second only to rising house prices at 24%.

Ryan Etchells, chief commercial officer at Together, said: “Rising energy bills have put pressure on all homeowners’ pockets over the past few years. Savvy buyers are now thinking beyond the purchase price of a property, ensuring they’re aware of what a home will cost to run every month.

“Energy efficiency is a key part of affordability, so homes with lower running costs are becoming more attractive. While owners of less efficient properties may need to invest more upfront to save money in the long run, the benefits of home improvements can counter the costs.

“As many homeowners recognise the benefits of improving energy efficiency, finding ways to spread costs through bridging or second charge loans can help homeowners make the improvements they need whilst also increasing their property’s value and appeal.”