Leasehold Flats : EPC Improvements

Fonque

Greetings all,

I am a FTB and so am a little green when it somes to such things.

I have come across a leasehold flat which fits a lot of my criteria in terms of affordability, location etc. It's current EPC is D (about avg) but could bump it up to a C. The EPC report identified that walls need some better insulation and the sash windows (draught-proofing reqd and could have secondary glazing (or changed to double glazing if the freeholder allowed it).

As I have a small income, the more energy efficient I can make the place the better. Aside from some minor cosmetic redecorating, it would be the only major cost (apart from the flat itself) if I got the property.

I'm just querying whether others would consider it a sound purchase and whether a subsequent investment on the energy efficiency would be a sensible move on a leasehold flat?
Also are there still schemes still available to get free insulation/boilers etc?

G_M

Ignore the EPC completely - they are superficial and a waste of time.

If the property otherwise is what you want, buy it.

Then use common sense (& some basic online research) to make it as energy efficient as you can for a reasonable investment.

SamsReturn

Fonque, the free boiler scheme is only available to those on certain benefits.
I've been starting to think about downsizing. I've been considering a flat, it would be a lot less work than the house i'm in. I've never lived in a flat so i'm not sure, Then i saw a thing on the news last week about Leashold property and the way the charges have risen. That put me off a bit, if i do downsize i think i'll look for a small house.
I suppose it depends on what part of the Country you are.

ComicGeek

Normally I would agree completely about the pointlessness of the EPC, and certainly when you're achieving a D rating anyway. However prospective landlords should be aware of the minimum EPC rating requirements from April 2018, and factor this into their decision making when purchasing.

Summary: As from the 1st April 2018 there will be a requirement for any properties rented out in the private rented sector to normally have a minimum energy performance rating of E on an Energy Performance Certificate (EPC). The regulations will come into force for new lets and renewals of tenancies with effect from 1st April 2018 and for all existing tenancies on 1st April 2020. It will be unlawful to rent a property which breaches the requirement for a minimum E rating, unless there is an applicable exemption. A civil penalty of up to £4,000 will be imposed for breaches.

Fonque

Many thanks for the replies, this is all quite new to me so I appreciate the help!

Hoploz

I think these epc reports are not much use. I'm surprised to find someone paying this much attention to it actually. I've seen things suggested that are simply not possible at that particular property, eg double glazing in a listed building, cavity wall insulation is unlikely to get done in a leasehold block of flats as freeholder and other affected leaseholders may not agree, that sort of thing.

I'd take the EPC letter rating as a guide and nothing more. You'll feel where the draughts are when you move in, and act accordingly!

ognum

SamsReturn wrote: »

Fonque, the free boiler scheme is only available to those on certain benefits.
I've been starting to think about downsizing. I've been considering a flat, it would be a lot less work than the house i'm in. I've never lived in a flat so i'm not sure, Then i saw a thing on the news last week about Leashold property and the way the charges have risen. That put me off a bit, if i do downsize i think i'll look for a small house.
I suppose it depends on what part of the Country you are.

I was offered a 'free' boiler by British Gas when they came to do an annual service on a rented property I own. When I got the 'free' quote it was more than the quote of an independent plumber as they wanted to add all kinds of extras on to meet the scheme requirements.

We did change the boiler for the benefit of the tenants so they could get cheaper bills from a more efficient boiler but I think the old boiler would have kept going for another 20 years but who knows.

Cost of new boiler £3k.


Leasehold properties are fine providing you read the lease prior to purchase!

I own several only one does not have a 'share of the freehold' or a 999 year lease. I pay no ground rent on any of them

Read the accounts of the management company prior to purchase, non of my faults have had an increase in service charge in the last five years, all had substantial holdings for emergencies in the fund. One will soon be replacing all the windows at no cost to the owners from the service charge fund. Look at the state of the buildings and gardens and you will know which to buy.

Moving to a leasehold flat can be a major worry remover in later life if you choose that route. Maintenance, gardening, window cleaning all done for you. I don't live in a flat but would live in any that I own another criteria for purchase.

knightstyle

I found this amazing, only slight improvement for double glazing and more for cavity insulation than roof insulation.

Improvement Rating can be improved by Estimated Savings
Condensing Boiler *47 SAP points £225+ per year
Cavity Insulation *13 SAP points £100-£125 per year
Roof Insulation *10 SAP points £100-£125 per year
Cylinder Stat & Insulation *8 SAP points £100-£125 per year
Double Glazing *4 SAP points £10-£15 per year
Low Energy Lighting *2 SAP points £10-£15 per year

ComicGeek

It's because you've been fooled by all those double glazing adverts that tell you that it's the windows that make all the difference. A standard double glazed window still loses as much heat as a non insulated solid brick wall of the same area, and there's a lot more external wall!

Owain_Moneysaver

knightstyle wrote: »

I found this amazing, only slight improvement for double glazing and more for cavity insulation than roof insulation.

Improvement Rating can be improved by Estimated Savings
Condensing Boiler *47 SAP points £225+ per year
Cavity Insulation *13 SAP points £100-£125 per year
Roof Insulation *10 SAP points £100-£125 per year
Cylinder Stat & Insulation *8 SAP points £100-£125 per year
Double Glazing *4 SAP points £10-£15 per year
Low Energy Lighting *2 SAP points £10-£15 per year

What that doesn't show is the cost of doing the work and the period for return on investment.

An extra jacket on the HWC is only about £20 and can be easily DIYed, as is some pipe insulation, and will repay itself in a few weeks.

A new boiler which costs £2k to install might not repay the cost for 10 years, by which time it'll possibly need replacing again.