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Investors pay little attention to energy rating

The federal government’s proposed ‘Nationwide Home Energy Rating Scheme’ will have little effect in the property purchase decision process and the cost of housing, according to Raine and Horne chief executive Angus Raine.

Similar initiatives have been introduced on a state level and have had little, if any, effect on buyer demand or vendor expectations, Mr Raine said.

“It’s fair to expect a home’s green rating to be a consideration, however traditional factors such as the home’s location, style and quality will continue to be priorities with the majority of buyers – and will underpin values,” he said

Similar schemes include the Australian Capital Territory's green ratings scheme, launched in 1999, and the Queensland government's Climate Smart Home Service.

“While other states have comparable programs, the lesson is that with a few simple tools and a change in our power use habits, we can improve the energy ratings of our homes without affecting capital values or creating additional expenses,” Mr Raine said.

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