Enfield Landlords – Cost Of EPC Changes?
We know that impending changes to Energy Performance Certificate (EPC) regulations concerns many landlords.
A study by a leading UK bank suggests some landlords will lose out on £9,500 a year because of these changes.
Landlords cannot sustain lengthy void periods
This is the estimated sum that some landlords will miss out on with respect to annual rental income. If a landlord is unable to let their property because it no longer complies with EPC regulations
Some key findings from the bank’s research work includes:
- 30% of landlords are yet to make any energy efficiency upgrades to their rental property, although many claim they will start in the next 14 months
- 10% of landlords say they won’t start work for another three to four years, which means the 2025 deadline for EPC changes is looming large for many rental market professionals
- 42% of landlords said their tenants would have to leave the rental property while home improvement work was carried out
- Close to 25% of landlords admit to their rental property hosting a D or worse, which means many rental homes will not be suitable for rental purposes
- 38% of landlords said they expect their rental property to lie vacant for a minimum of four weeks, which will likely cost them £5,000 in rental income
According to the home.co.uk website, the average rent in Enfield is £1,498 pcm. This means the likely impact on Enfield landlords will not be as harsh as that suggested in the Shawbrook study, but it is still a lot of money to lose out on.
If you are a local landlord and you are looking to make effective changes that safeguard your rental property, and the services you offer to tenants, please get in touch and we will be happy to assist you.
Landlords need to find money to pay for the cost of improving their rental accommodation
More than a quarter of landlords said they were unaware of the energy-efficiency rating held by their rental property. For property portfolio landlords, it was common for a landlord to know the EPC rating of one or some of their rental properties, but not all.
With many landlords agreeing the average cost of improving their rental accommodation will be £5,900; only 13% of landlords say they have funds to pay this money.
What do the specialists say?
Emma Cox, real estate managing director at Shawbrook Bank, said; “We welcome the proposed legislative changes and the opportunity this will provide landlords and members of the private rented sector to be at the forefront of the UK’s green revolution. However, there are many unanswered questions about the deadline and possible incentives to enable improvements to be made, so further clarity and education is needed to support landlords through the changes.”
Emma concluded by saying; “For landlords that don’t have access to the necessary funds to make improvements, brokers can play a key role in supporting them. There are cost effective funding options available, such as bridging finance, and brokers are well placed to help make landlords aware of these solutions.”
Contact The Letting Line for letting assistance in 2022
If you are looking for guidance or assistance in the Enfield rental market, we can help. At The Letting Line, we are a specialist letting and property management agent serving Enfield, Barnet, Potters Bar, Brookmans Park and surrounding areas.
We can arrange a free valuation for you, and if you are looking to contact us, please call us on 020 8342 1234.