For homeowners, the payoff is clear: buying an energy-efficient home will save them money in the long run by reducing their electricity bills. But for investors, too, there are significant benefits to buying a property with solar power, battery storage, or entirely off-grid. Not only is it a valuable form of future-proofing an investment, but it is something more and more Australians are looking for.
However, incentives to install energy-efficient home improvements have been mixed, and local sentiment has also been a big part of driving solar installation trends in various parts of the country. That means it may be easier to find an energy-efficient home — or face less competition for one — in some areas than in others.
Nerida Conisbee, Ray White’s chief economist, explained that searching for terms such as “solar”, “battery” and “off-grid” can help buyers find properties with these characteristics, although the whole sector is not has not caught up with the advertising of these points. . Conducting an analysis of the areas in which these terms appear most frequently in advertising can steer buyers more broadly to areas where they are most likely to find an energy-efficient home, if they have the flexibility of where they want to buy.
She noted that “solar” is the most popular advertising term overall, followed by “battery” and “off-grid,” albeit with growing popularity.
Properties with advertised solar panels appeared most often in suburban Melbourne, Tarneit, Sunbury andThe Baldivis region. Melbourne was also the most popular location for homes with battery storage, with the town locations of Officer, Berwick and Clyde North being the most likely hotspots for homes with the capacity to store generated energy.
Meanwhile, regional areas were more likely to host off-grid homes.and Daintree in Queensland have proven to be popular areas for finding self-sufficient properties, as has Mudgee in New South Wales.
According to Ms Conisbee, the growing popularity of these terms can tell us a lot about the changes Australians are making in response to the threats of climate change, as well as the local governments that have responded to these priorities to encourage conservation methods. ‘energy.
“The suburbs where we see the most of these terms used show how well government policy to ensure energy efficiency in new homes is working. The suburbs with the most listings containing the terms “solar” and “battery” are all areas where you see a lot of new homes being developed. In most states there are strict requirements for energy efficiency inclusions in new homes,” Ms. Conisbee said.
“All mandates have seen a significant increase in the 12 months to May 2020 and the 12 months to May 2022,” she added.
“’Solar’ was the most popular term. The significant occurrence of this word is driven by the high adoption of solar panels over an extended period, sometimes spurred by generous government incentives. However, the term that has seen the biggest increase is “battery”, which has increased by 85% over the two-year period. This no doubt reflects that while solar panels are good for energy efficiency, being able to store that energy is an even better outcome. Off-grid is still not that common, but has also seen a decent recovery over the two-year period.
Expect this acceleration to continue as more homes upgrade their energy systems, while the industry increasingly understands the desirability of features like battery storage.
“The inclusion of energy efficiency requirements when selling a home is increasing, partly because more and more people see it as a way to generate interest in a property, as well as because more and more homes are becoming energy efficient,” Ms. Conisbee commented.
“Whether energy efficiency leads to a higher price is harder to determine,” she added, “given that many things like solar panels and batteries can be added to homes at some point. later, it’s unlikely to be as big a factor as location, number of bedrooms, or size of land.”