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An insulated home sells better

Insulation Boosts Sale Value

An insulated home sells better

Why an Insulated Home Sells Faster and for a Better Price

Selling a home can often be a lengthy and challenging process, but in recent years, one key factor has significantly influenced the speed and success of a sale: the energy performance of the building (EPB). While EPB scores were once overlooked, they have now become a crucial element in the buying and selling of real estate. But is it financially worthwhile to invest in insulation work to improve your home’s EPB score? And can you recoup your investment upon sale?

The Impact of EPB Score on the Sale

Homes with a good EPB score tend to sell much faster and for a higher price. This is because more buyers are prioritizing energy efficiency in their future homes. A low EPB score, however, can pose a significant hurdle. A poor score not only increases future energy costs for the buyer, but it can also create problems with securing a mortgage. Moreover, landlords often find it difficult to increase rents on properties with a poor EPB score, leading to lower returns on investment.

Is Insulation a Good Investment?

Experts agree: whether investing in insulation work will pay off upon sale largely depends on the condition of the property. If a home requires major renovations, it may be better not to invest too much in insulation improvements, especially if they don't add immediate value. For example, if the roof needs to be completely replaced, installing solar panels beforehand doesn’t make much sense. The same goes for replacing windows or improving the facade insulation, especially if the home is already in poor condition.

What Works?

Fortunately, there are also small, achievable improvements that can increase your EPB score without requiring a huge investment. Consider installing thermostatic valves, insulating pipes, or upgrading the garage door or attic floor insulation. These adjustments are often something a handy DIYer can do, and they typically don’t require a large budget. While the impact on the EPB score might be modest, these changes can contribute to a faster sale and better sale price.

Conclusion: Insulation Can Boost Sale, But Be Strategic

In summary, an energy-efficient home offers clear advantages when selling. It makes a property more attractive to buyers, lowers energy costs, and can even assist with securing a loan. However, it’s important to be strategic in your insulation investments. Small, smart upgrades can improve the EPB score without breaking the bank. But if your property requires major renovations, it might be best to limit insulation costs to what is truly necessary to make the home market-ready.