The Minimum Energy Efficiency Standards for rented property change in April 2018

EPC’s were applied to properties which were offered for rent from 1st October 2008 and because they last for 10 years many rented properties will soon be due for a new inspection to gain an new EPC.

There have been many changes to EPC for rented properties since their introduction and they are more user friendly than it was in the early days. Anyone can check the EPC of any property by putting the post code into the EPC register. This means that local authorities and prospective tenants have access to this information.

It is now mandatory for tenancies which began after 1st October 2015 to give all new tenants the EPC at the start of the tenancy, otherwise a valid Section 21 cannot be served. This requirement was introduced in 2015 and has caught out many landlords and letting agents.

Prepare for the changes to Minimum Energy Efficiency Standards

A property with an EPC rating below an E you will not be able to rent from April 2018. It will not affect existing tenancies until April 2020.

This means that, even where a tenant has lived in a property for years, that landlord must bring the property up to a minimum of E, unless the property is exempt.

Make sure your property meets the minimum energy efficiency standards before April when there is likely to be increased demand on the sector.

This is going to have a major impact on the private rental market, especially Victorian terraced properties. 20% of dwellings in the UK were built before 1919 and most have single brick walls which offer poor insulation.

Check the energy suppliers websites for information on funding they may have to assist you before all of this funding runs out. Property Investor Reward Club also has an insulation partner who has limited funding available for between 50% and 100% of the costs of upgrading your property.

Costs to landlords meeting minimum energy efficiency standards

If you are buying a property to rent out make sure that the minimum energy efficiency standards 2018 are met (rated E or above) or be prepared to spend the money needed to reach that level.  If you are letting properties which are below an E you are well advised to take steps to get them up to this level before next April.

Don’t get caught out! Make sure your property meets the minimum energy efficiency standards 2018

Author Mary Latham Courtesy of www.LettingaProperty.comProperty Investor Reward Club

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