Energy Efficiency Report for Rented Properties
New Legislation for Landlords - Energy Performance Certificate
From the 1st October 2008 Landlords in England and Wales will be legally required to show any new prospective tenants an Energy Performance Certificates (EPC) prior to letting the property.
The purpose of an EPC is to tell you how energy efficient a property is on a scale of A-G, the most efficient property being band A should have the lowest energy bills. The Certificate also includes recommendations and ways to improve the energy efficiency of the property to save you money and help the environment.
EPCs are measured using the same calculations for all homes, so you can compare there energy efficiency. Part of the EPC is a report which will list the potential rating that your home could achieve, if you made the recommended changes (see example below).
The report lists:
- Suggested improvements (such as fitting loft insulation)
- The approximate cost
- The possible cost savings per year if the improvements are made
- How this would change the energy and carbon emission rating of the property
You can use this information to:
- Cut your fuel bills
- Improve energy performance in your home
- Help cut carbon emissions
- Help you choose a more energy efficient home to rent or buy
You do not have to act on the recommendations contained in the recommendation report. However, if you decide to do so, then it could make your property more attractive to a tenant or or a buyer when you decide to sell.
Do I Need an Energy Performance Certificate?
If you have a tenant in your property before the 1st October 2008 you will not be obliged to provide the EPC until the tenant leaves and the property is re-let. However if you suspect your rental property may become vacant in October, November or December it may be wise to order your EPC sooner rather than later as the most of the UK's qualified domestic energy assessors (DEA's) are likely to be busy dealing with the backlog of the estimated 3 million properties that will need to comply with this legislation.
The EPC and recommendation report must be made available free of charge to any prospective tenant that the landlord deems suitable. This is usually when there is a viewing or a request has been made for the property particulars, at the very least the EPC must be produced before the letting contract/tenancy agreement is signed.
Local Trading Standards Officers will police the legislation and Landlords who do not produce the EPC could be fined £200, once a fine has been imposed the Landlord must still obtain the EPC or risk further £200 fines.
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