Sellers who have upgraded the Energy Performance Certificate (EPC) rating of their home to a C, from a D, E or F rating are pocketing as much as 16% extra on average when selling their home, new research from Rightmove finds.

The study analysed over 200,000 homes listed on its site that had sold twice, with an improved EPC rating the second time, to understand the impact of energy efficiency improvements on the final sold price of a home.

Those who had upgraded their rating from an F to a C, are adding an average of 16% to the price achieved for their home. Moving from an E to a C is banking sellers an extra 8% on average, and moving from a D to a C is resulting in an average of 4% extra.

Based on the current national average asking price of property (£344,445), this could mean an additional £55,111 for someone moving from an F to a C rating, £27,556 for someone moving from an E to a C rating, or an extra £13,778 for someone moving from a D to a C rating.

This comes as the government releases its Heat and Buildings Strategy, designed to set out how to lower the carbon emissions of homes and commercial buildings.

Rightmove’s data suggests buyers are willing to pay a premium to secure a home more ready for the future.

In the last five years, more than one in five (22%) homes in Great Britain has upgraded from a D rating or below, to a C rating or above. The South East topped the regional list at 26%, followed by Wales (24%) and the East of England (23%).

At a local level, Cardiff leads the way with the biggest proportion of its homes improved from a D rating or below, to a C rating or above in the last five years, with more than a third (35%). Coventry (34%) came second, and Barry in Wales (33%) came third.

Tim Bannister, Rightmove’s director of property data, comments: “Ahead of Cop26, many people will be more conscious of their personal impact on the planet, and will be looking for ways to be greener, including in their home.”

“Although some of the bigger improvements to make homes more energy-efficient can be costly, in its latest strategy, the government has outlined ways it wants to support green choices. Our study suggests the longer-term value upgrading the rating of your home’s Energy Performance Certificate can have when it comes to the time to sell.”

He adds: “While this naturally needs to be balanced with the investment needed to improve it, we expect that the energy efficiency of a home will increasingly be a priority for buyers in the next few years, and these initial numbers suggest people are willing to pay an extra premium for a home better designed for the future.”

How improving EPC rating impacts the sold price of a home

Areas that have seen the biggest proportion of homes improve to a C rating