Marvin Onumonu writes on the Intermediary website that property buyers clearly value energy efficiency, but primarily because it reduces monthly costs—not because they are willing to pay a substantial premium for an energy-efficient label. Only 2% said they would pay significantly more for an efficient property, while 26% said they would pay a little more.
85% of buyers value energy efficiency but most refuse to pay more, research reveals
85% of buyers said energy efficiency was important when choosing a home, according to LRG’s Sales Report Summer 2026.
Despite this, only 2% said they would pay significantly more for an efficient property, while 26% said they would pay a little more.
The largest group (37%) would not pay anything extra.
36% of buyers would only pay more if the higher price was repaid through lower bills over time.
Neil Louth, group executive director of LRG and CEO of The Acorn Group, said: “Buyers have become far more informed, and this research shows exactly how they’re making decisions.
“They can see what a home will cost to run before they’ve even booked a viewing and, particularly in London where every pound of a household budget matters, running costs have become part of the affordability calculation from day one.
“Buyers are telling us they won’t pay extra for a green badge, but they will always do the maths on the bills.”
Louth added: “Too many sellers still assume buyers are only looking at kitchens and bathrooms.
Increasingly, they’re asking how much it costs to heat the property, when the boiler was replaced and what their monthly bills are likely to be.
“Those conversations weren’t happening five years ago. They are now.”
He said: “This research tells us buyers aren’t paying for an EPC certificate. They’re paying for what it means to their monthly finances.
“If two similar homes are available, the one that’s cheaper to run is becoming the easier decision. That’s where energy efficiency has real value.
“The green premium may be a myth, but the cost of poor efficiency certainly isn’t.”
He added: “Sellers shouldn’t expect an energy-efficient home to command a huge premium, but equally they shouldn’t underestimate how quickly buyers will use higher running costs to negotiate.
“In today’s market, that’s a conversation worth having before a property even goes on sale.”
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