How the Green Deal can work wonders for landlords

by Sarah Ashcroft

Landlords all over the UK will have watched with interest in recent times as the Green Deal has finally gone live, giving property owners in the country a unique opportunity to make environmentally-friendly upgrades and improvements to their dwellings.

Part of the Energy Act 2011, the Green Deal provides homeowners with a chance to secure a government loan to fund green projects. Of course, the major advantage of this is that individuals don't need to raise the entire cost of the schemes themselves, making home improvements a more attractive proposition at the moment.

The first step in any case is to have an expert inspection carried out to identify areas in which a property can be developed with the environment in mind. The aim of the Green Deal is to see projects completed that will reduce energy usage, helping people save money on their gas and electricity bills in the long run.

Money that is loaned from the Green Deal pot will then be repaid as part of a home's utility bills, which will of course be lower because of the improvements that have been carried out. This gives landlords a golden opportunity to gain from the scheme on several fronts.

It's worth considering the fact that once works are completed, the landlord stands to gain in the long run, whereas the tenant will effectively be funding the green initiative in the form of utility bills and repayments. Therefore, landlords have nothing to lose by pressing ahead with an application for a Green Deal-funded home improvement project.

The government has realised that the UK must act now if it's to achieve a more energy-efficient future and, at some point, legislation will be introduced that makes it hard for landlords to turn down tenant requests for extra green measures in a property. Landlords may as well act now while funding is plentiful and the scheme is at the forefront of their minds.

Certain targets must be reached by those who rent out properties by 2018 and landlords will not want to leave themselves with too much to do as the deadline approaches. Again, it makes sense to begin the process of making a home more efficient now.

Absolutely no upfront costs are demanded by the government for those who want to be part of the Green Deal. It's also worth remembering that if an owner decides to sell up, the loan remains with the new occupant and doesn't stay with the individual who oversaw the initial green project.

Several options are open to landlords in terms of what they want to have done to their homes. These range from installing cavity wall and loft insulation to draught proofing, double glazing and solar panels. In short, anything that can improve the energy efficiency of a home will be considered for Green Deal funding.

Now is the time to act and a prosperous future is all but assured. With energy bills rising all the time, finding ways to use less power is becoming a must for modern households.

External links

Published on: February 21, 2013

Did you like this article? Share it!

Energy Efficient Tenancy Agreement

Energy efficient tenancy agreement advert
  • Solicitor approved
  • Expert guidance notes
  • PDF format
  • Download now

Read More