Property: Half of Sheffield house hunters are prepared to downsize to save on energy bills, says research

New research from Purplebricks, the UK tech-led estate agent, reveals more than half of house hunters surveyed - 65 per cent of men and 49 per cent of women - would be prepared to downsize if it was energy efficient to do so.

Of those who are in the process of downsizing, 60 per cent are doing so specifically to reduce household bills.

More than a quarter of 45-54 year olds and almost three in 10 of those aged 55 and over are looking to downsize. The trend is even taking hold among those aged 16-24, 10 per cent of whom are downsizing.

As household bills look set to soar, this is a significant shift away from the recent “race-for-space” trend seen among homebuyers.

Cost of living worries

When it comes to living costs, the research shows that people in Sheffield are concerned about rising energy rates (77 per cent), rising interest rates (74 per cent), and the cost of home improvements (66 per cent).

In a strong sign that homebuyer priorities are changing, 81 per cent of respondents in Sheffield say that having an energy efficient home is more important than a large garden, utility room or office. Some 74 per cent agree that energy efficiency is more important than it was five years ago.

Concerns over rising energy rates are so acute that 10 per cent of those considering moving are doing so because their current home isn’t energy efficient enough.

EPC Ratings now important

Today’s research reveals a major shift in sentiment towards EPCs – Energy Performance Certificates - as 81 per cent of those in Sheffield think a good EPC rating is important when choosing a new home and 62 per cent say they would pay more for a property with a good EPC rating.

This is a new trend due to the current awareness of rising energy bills, with previous research showing that homebuyers were not concerned about EPC ratings: the 2021 Greener Homes Attitudes Tracker from NatWest and IHS Markit revealed only 15 per cent of households believed having an EPC rating of C or above was essential to choosing a property.

Energy efficient features boost property prices

Energy saving features in a property are highly valued by house hunters in Sheffield. Nearly half (48 per cent) would pay more for double glazing, with the average respondent prepared to pay £6,000 more for a double glazed home than without it, higher than the national average at £2,850. And 44 per cent would pay more for solar panels and 48 per cent for insulation, with the average respondent prepared to pay around £5,300 for a property with solar panels.

Philip Price, Purplebricks Area Director, said: “Our research shows that people’s concerns over increasing energy bills is now translating into real action.

“Some are taking the significant step of downsizing their home and are moving somewhere smaller to save on household bills - a reversal of the “race for space” we saw at the start of the pandemic.

“For house hunters worried about energy bills, it’s worth remembering that EPC certificates are extremely useful tools when considering purchasing a property, especially now that energy efficient homes are growing in popularity.”