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  • Writer's pictureThe Cedar Crest Team

Green Home Movement

New-build buyers saving up to 52% on energy costs



Climate change and the cost of living are making energy efficiency a priority for many new- build buyers, but some people underestimate how much money they could save with a greener home. The new homes market and the private rented sector are the big focus areas for policymakers at present.

Rising energy costs and greater awareness of climate change are starting to have greater influence on home-buying decisions. The energy efficiency and lower running costs of new homes are recognised attractions for would-be buyers compared to those looking for a home in the resale market.



New research shows that the cost of living and climate change are creating new priorities for home buyers[1]. This is particularly the case for new-build buyers, who are prioritising energy efficiency in their buying decision. And while new-build buyers are driving the green home movement, almost half of buyers of older homes still see energy efficiency as important.



Energy efficiency is now a high priority for those who bought or intend to buy a new-build home. More than two-thirds of new-build buyers (69%) said EPC ratings were either extremely or very important to them. The energy efficiency of new-builds is a growing attraction for buyers. More than 80% of new-builds have an energy efficiency rating of A or B, compared to just 3% of older homes.



The research showed, using the government’s EPC data, a significant amount could be saved by moving to a home with a higher EPC rating. New-builds offer up to 52% lower running costs over a year compared to a similar-sized older property. The average carbon output of a new home also comes in at under a third of that from an older home (1.4 tonnes vs 3.8 tonnes per year).



Other research has found similar energy savings for new-build owners. New-build owners save an average of £629 a year on energy bills, according to the Home Builders Federation. But lots of people don’t realise how much they could save by moving to a new-build home. When asked to estimate how much money a new-build could save them on energy bills over a year, six in ten respondents thought it would be less than 52%.



And a third of people thought you’d only save 20% on energy bills in a new-build compared to a similar older home.

New-build buyers are also conscious of the environmental impact of building a new home. Three quarters (74%) of new home buyers said it was important that their home is built with minimal impact on the environment.



This is just the start of decarbonising the housing market and reducing emissions from UK homes. The introduction of new government regulations has seen an increase in the energy efficiency requirements of new homes.

The Future Homes and Buildings Standard ensures that new homes built from 2025 will produce between 75% to 80% less carbon emissions than those delivered under current regulations. This will mean considerable energy savings for homeowners.



While buyers of older homes are less concerned about the energy efficiency of their home at the moment, two in five (41%) still said it’s important to them. Rising energy costs will only serve to increase the importance of energy efficiency and running costs of homes as part of home moving decisions.

The research highlights the crucial role that residential developers play in not only making UK housing more sustainable and energy efficient overall, but also meeting the demand of an increasingly eco-savvy public who want to cut down their energy bills and live in more sustainable homes.



The right mortgage looks different to everyone – that’s why we discuss the different mortgage types and rates that are right for you. To discuss your options, contact Cedar Crest Ltd – telephone UK T: +44 (0) 203 883 1017, HK T: +852 6645 4462 – email info@

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