How to make a rental more energy efficient
Find out what practical steps you can take to make your rental property more energy efficient
The newer a property is, the more energy efficient and eco-friendly it’s likely to be.
On the other hand, the older a property is, the more work you’re going to have to do to bring it up to the required minimum standard and the more challenging eco-improvements could be.
Around 56% of private rented housing stock in the UK was built before 1965 and almost a third of it before 1920, so there are a lot of properties that would be considered ‘older’ – Victorian and Edwardian terraced and semi-detached homes, for example.
And one big issue with older properties is that they can be notoriously inefficient.
Draughty doors, single-glazed windows and old roofs with little insulation often lead to high energy bills and have an increased impact on the environment – all of which can lead tenants to choose more modern properties over older ones.
Although it can be a little trickier to retro-fit older properties due to the limitations of the property construction and layout (not to mention some of the building materials), there are plenty of things that landlords can do to make them more energy efficient and appeal to eco-friendly tenants.
You might not be able to transform a Victorian semi into a top eco home within budget, but you can dramatically improve the energy efficiency of the entire building through proper insulation, installing double glazing throughout and opting for modern fittings.
If there’s a lot to do, it’s advisable to work with a building partner who specialises in older properties, and don’t forget to look into whether you need planning permission before you start any work.
With all that said, here are the top five steps you can take to make any property more energy efficient:
Damp is a common problem in old properties. If it’s not addressed, it can lead to mould forming which is bad for your tenants’ health and can cause damage to their home and belongings.
It can also make the property colder, as damp walls conduct heat, which can sap the warmth from the room.
If the damp is forming at the bottom of walls on the ground floor, it’s likely to be rising damp. You’ll need to arrange for a specialist damp company to assess it and may need to install an up-to-date damp-proof course.
The cost will vary significantly according to the size of the job, but the average is in the region of £800.
If it’s penetrating damp coming through other parts of the walls, that’s usually caused by rainwater seeping through the brickwork – often as a result of broken guttering and/or cracked brickwork. In that case, a contractor should be able to fix it fairly easily.
Landlords should be aware that it’s their responsibility to deal with damp and mould, regardless of who might have caused the problem in the first place.
The Government issued new guidance on 8 September 2023 aimed at making sure both social and private sector landlords have a thorough understanding of their legal responsibilities.
Top tip from energy efficient homes expert, James Tanner:
Some tenants are reluctant to open windows to ventilate the property as they worry that this will increase energy bills.
To help prevent damp and mould without having to open the windows, install two passive air vents on each floor of your property - these have fabric inside them to let moisture out but stop cold air coming in.
A well-positioned air brick will reduce the build-up of moisture and condensation from settling, which protects against damp and mould inside a building.
The more routes warm air has out of your property, the less energy efficient it’s going to be, and air can get in and out of an older home in all sorts of ways, through:
Gaps around windows and doors
Gaps in floorboards
Original breathable plaster walls
Chimneys
Old slate roofs
And it’s not just about warmth escaping. Air moving around a property can make it feel a lot colder than it is, meaning your tenants will probably want to heat it for longer. All in all, a draughty property is a lose-lose for energy efficiency!
So, aim to install double-glazing, make sure doorways and windows are properly sealed and consider carpeting or replacing older wooden floors.
However, if the property is listed, some doors, windows, floors and fireplaces may be protected – and you want to make sure any upgrades are sympathetic to the original building – so it’s worth speaking to a specialist in the renovation of older properties and taking advice before you begin any works.
You can avoid wasting energy and encourage tenants to manage the heating system in the property by installing smart radiator thermostats with the window detection enabled so that when the window is open the heating adjusts or turns off automatically.
Around 20% of a home’s heat is lost through its roof and another 10% through the floor, so draught proofing and insulation are essential to keep heat in.
Modern insulation can be installed under the floor and in the roof or loft (depending on the amount of space and access you have). If the property has cavity walls, insulation can also be installed in the gap between the two external walls.
While it’s important to take steps to draught proof and insulate an older home, you do need a degree of ventilation to make sure the property doesn’t become damp.
Again, check with a specialist before you start – the last thing you want to do is create additional problems.
Loft insulation is relatively inexpensive so if you own the loft in your property, it’s something that doesn’t cost much to install, will reduce heating bills by up to 25% and improve your EPC rating, while helping save the planet.
Tenants may love the character and charm of an older property, but they still want everything to work properly – especially the heating and water supply!
Installing a modern boiler is a key part of achieving the mandatory EPC rating of ‘E’ or higher, so if you haven’t already done so, it’s time to replace your old boiler with a more energy efficient model. If the property you’re letting is large, you might want to invest in pipe insulation (or lagging) to keep water warm as it moves around the house.
Adjust the temperature that heating goes round the property, for example try reducing it from 80 degrees centigrade to 60 degrees centigrade.
This helps you and also keeps the cost of the bills down for the tenant. Visit James’s website for his top ten tips to reduce energy bills.
If you are looking at a new heating system over the next 10 years, it’s worth considering fitting an alternative – particularly as the Government is aiming to phase out gas boilers by the mid-2030s. Developers have already been told they cannot fit gas boilers in their new homes from 2035.
Here are a couple of other heating options to consider:
Solar panels with battery storage are cheaper to install than they used to be. In fact, the cost has reduced by 60% since 2010. But they’re still a considerable outlay, costing around £5,000 – 8,000 for the average home.
Nevertheless, as long as the property has a south-facing roof, you could see a reduction in energy bills of 40-50% for the year.
So, if you can justify the up-front investment, solar panels should pay for themselves over time – plus you’ll be earning pocketfuls of green brownie points and you can also get capital allowances.
Heat pumps are a very energy efficient alternative source of heating for your home. In Sweden, they’re actually the most common form of heating device.
And in the UK, under the Government’s ‘Green Industrial Revolution’ plans, they’re aiming to increase the number of heat pump installations from 55,000 a year in 2021 to 600,000 heat pump installations per year by 2028.
The system generates heat outside from the air, ground or water, then the pump uses a small amount of electricity to compress the heat – ready to be used for space heating and hot water. For every unit of electricity used to draw in heat, it creates three units of heat.
Air source heat pumps are the cheapest, at around £6,000 to £8,000, while ground source pumps can cost between £10,000 and £18,000, depending on how much heat is required.
Top tip from energy efficient homes expert, James Tanner
The ideal scenario to future proof a property, reduce bills, improve your EPC and save the planet is to install a heat pump and solar panels.
If you have both a heat pump and solar panels, you are powering your heat pump from light, so you get free electricity and free energy to power that heat pump, so having the two is a great combination.
The heat pump could be air, ground or a water source heat pump. You may also be able to take advantage of a cheap energy tariff and use cheap energy stored on your battery to power the heat pump.
Once you’ve got the main fabric of the property dry, airtight, insulated and well-heated, you’re most of the way there.
However, the fixtures and appliances that you install can have a big impact on your tenants’ energy usage – and the quality of tenant you attract.
Manufacturers have invested in making dishwashers, washing machines, fridges and freezers much more energy efficient.
So, upgrading your white goods to ones with a good eco-rating should help your tenants bring down their energy usage.
In the bathroom, modern ‘low flush’ toilets, especially those with dual flush options, can bring water usage down by as much as 50%. Similarly, installing an eco-shower head can reduce the amount of water you use by 20%.
And LED lightbulbs use much less energy than standard bulbs, plus they last longer. They’ll slot happily into the same fittings as their predecessors and are easy to find in most shops that sell traditional lightbulbs.
Making your rental property more energy efficient will require an injection of time and money, but not only is it necessary to comply with the law, it’s also an increasingly worthwhile investment to make sure it always lets well.
As tenants are becoming more and more environmentally focused, if you don’t move with the eco-times, you risk getting left behind in an ever-improving rental market.
Cooking and showers can create a lot of steam, so it’s a good idea to put a humidistat in bathrooms and kitchens.
They’re not linked to a light switch but have a sensor in them that detects moisture in the air.
Whenever they detect steam, they’ll suck it out, automatically reducing the amount of moisture in the air.
As more and more tenants are interested in living an eco friendly life, demand is increasing for properties that have a garden or other outdoor space.
If your property has a garden, you can make it more eco friendly and sustainable by creating a wildflower area for bees and butterflies, planting some fruit trees and giving tenants a bed where they can grow their own herbs and vegetables.
If there is only a small patio or balcony, put out some potted plants and shrubs and tell prospective tenants that you’ll be happy to provide them with planters/troughs if they’d like to grow some produce. If there is no outside space at all, you could even look into whether there are any available allotments close by.
If you have a garden, providing a composting bin is another low-cost way to help your tenants do something useful with their food waste and reduce their environmental impact.
Most councils will provide a basic compost bin for around £25, or you could explore the huge range of options out there and buy your own – they start at around £40.
