The Green Changes that Landlords NEED to Know About

The property market is going green. Talks in parliament have resulted in whisperings among landlords. Whisperings about changes to EPC ratings, boilers being replaced with heat pumps and low-carbon homes becoming the new standard.
However, there is no need for you to worry about any of the above. Not now that you are reading this blog. We’re here to arm you with all the information you need- including insights into government grants that will give you money towards replacing your boiler.
So, let’s delve into the upcoming ‘green changes’ coming to landlords, and everything you need to know to get ahead of them.
Heat Pumps Replacing Boilers?
One of the rumours circling the industry is that the government are phasing out and banning gas boilers. This has caused worry amongst landlords, as the new alternative would be heat pumps, which can be quite costly.
However, the government have made no plans to remove gas boilers. This rumour sprang from a section of The New Homes Standard 2025, in which the plan is for no new-build homes to have gas boilers.
Although it’s not government legislation, with the price of energy bills and the continued push toward environmental sustainability, investing in a heat pump is recommended. If you’re worried about the cost, then we have good news for you.
The Boiler Upgrade Scheme
The Boiler Upgrade Scheme is a government initiative where you can apply for a grant to cover part of the cost of replacing fossil fuel heating systems with a heat pump or biomass boiler. You can discover more about this scheme and apply for it by clicking the link here.
Green Mortgages
Green mortgages are a type of finance option available to residential buyers and investors who are purchasing a property that meets certain eco-friendly criteria. This criteria is based on energy efficiency, sustainability and environmental impact.
Typically, these mortgages have lower interest rates and reduced fees when compared to traditional mortgages. This is perfect for property investors looking for a good deal in today’s hectic market, especially with interest rates being so high.
As a property investor, you can benefit from this in a few ways. Firstly, you can look to make energy-saving changes to your current investments so that you can refinance them and receive lower rates.
If you’re looking to add more properties to your portfolio, then you can start to look at low-carbon homes, as you could be more likely to get favourable terms on the mortgage. This option will save you both upfront and monthly fees.
Thirdly, if you’re looking to sell your existing investments, then making them more environmentally sustainable before putting them on the market could help you attract increased interest from potential buyers.
The New Homes Standard
This one mainly applies to property developers, but it’s useful for everyone to know. The New Homes Standard is scheduled to come into place in 2025. This legislation means that all new build homes have to be certified as ‘low-carbon’, meaning that they must produce 70% less carbon emissions than standard, residential homes that are built to today’s regulations.
If you are looking to build a new property or convert a residential premises, then bear this in mind. The planning office will look upon you more favourably if you have shown consideration for the environment.
A Green Broker to Help You Through
We keep on top of the latest news and insights in the market so that we can best advise our clients. It is our duty to help you find a mortgage product that suits your needs, whether that’s to purchase an investment property or buy your forever home.
Book a free consultation with our team today by clicking here. Let’s discuss your needs and see if any of the new green incentives being offered by the government will save you some money.
