Saving energy in the home is not just a 'green' thing to do; it could affect the future value of your property.
If you're planning to sell your home any time soon, you should probably do it now before the launch of the Home Information Pack in June. You'll be legally obliged to include an Energy Performance certificate in the pack along with your sale documents.
Energy efficiency in the home may not be a high priority for many homeowners but it's expected that homebuyers will increasingly focus on houses that boast a good rating for cheap energy and environmental impact.
In fact, Yorkshire Building Society has just launched a Home Energy Efficiency mortgage for existing customers which offers discounted loans of between £1,000 and £15,000 specifically for energy-saving home improvements.
It's available at 5.65% for five years and payment holidays and unlimited overpayments are permitted. You are, however, restricted to home improvements that are geared towards energy efficiency. So homeowners who want to upgrade generally would be better off getting an unsecured personal loan even if it may be at a marginally higher rate.
According to the Energy Saving Trust, making the following improvements could ensure your home gets a better energy perfomance score:
Project | Annual Saving | Estimated Installation Cost | Estimated Payback | CO2 Saving per year |
|---|---|---|---|---|
| Loft insulation | £180-£220 | £230 | 1 year | 1.5 tonne |
| Cavity wall isulation | £130-£160 | £260 | 2 years | 1 tonne |
| External wall insulation | £290-£350 | From £1,800 | 5 years | 2.4 tonne |
| Draught proofing | £20 | From £75 | 4 years | 145 kg |
| Floor insulation | £40-£50 | From £100 | 2 years | 350 kg |
Don't forget that there are a range of grants available from the government and local authorities to help you make your home more energy efficient and cut your fuel bills through draught proofing, cavity wall or loft insulation. The Energy Saving Trust website should help you find out if you're eligible. Most energy companies also provide financial help -- you can take up offers from any of the energy companies, regardless of who supplies your gas and electricity.
And finally, don't forget to compare your gas and electricity suppliers with alternatives to see if you can buy your energy more cheaply elsewhere.