Forget fancy kitchens, tenants are now demanding eco-friendly features, and savvy landlords are listening.

It’s not just a fad, it’s a trend that’s here to stay. According to Handelsbanken, a leading bank for property investors, 92% of landlords have been asked by tenants for things like heat pumps, solar panels, and even EV chargers in the last year. That’s almost everyone!

Demand For Green Homes Is Growing

What’s driving this green shift? Well, for starters, tenants are feeling the pinch of rising energy bills. Over half (58%) of tenants are specifically looking for homes with an Energy Performance Certificate (EPC) rating of C, meaning they’re more energy-efficient. In London, where energy costs are even higher, that number jumps to a staggering 88%!

Landlords Are Embracing Sustainability

It’s not just tenants who are going green. The Handelsbanken survey found that landlords are also getting on board. While some have cut back on investment plans after the government scrapped a proposed rule to raise minimum EPC ratings to C by 2028, a huge 44% are still investing in green improvements.

The Future Is Green – A New Era For Landlords

The message is clear: investing in sustainable features is not just a good thing for the environment, it’s good business. Landlords who upgrade their properties to meet these new green demands are likely to:

• Attract and keep tenants: Tenants are actively seeking out these eco-friendly features, making it easier to find quality renters.
• Increase property value: Sustainable homes are in high demand, boosting their overall value in the long run.
• Cut operating costs: Energy-efficient homes use less power, translating into lower bills for both landlords and tenants.

The Government Is Listening

It’s not just private investors who see the value in sustainability. 72% of the landlords surveyed would welcome new rules from the government that raise the minimum EPC rating to A for both residential and commercial properties. That’s the highest possible rating, indicating a truly green and efficient building.

The Bottom Line

The tide is turning. Tenants are demanding green homes, and landlords are responding. Investing in sustainable features is no longer just a trend, it’s a smart business move that will pay off in the long run. So, if you’re looking to attract and keep quality tenants, increase your property’s value, and lower your energy bills, it’s time to go green. The future of property is sustainable, and it’s a bright one.