Rental supply and rocketing rents in the UK private rented sector have been dominating the public domain so it was interesting to learn that a recent study found that half of UK tenants considered green credentials to be a ‘deal breaker’ when choosing a rented property.

‘Going Green' is far from a new concept yet when it comes to rented accommodation, many homes on the market are not keeping up with current trends. Eco-friendly landlords are not always easy to come by, and it could work in your favour if you are willing to take an environmentally conscious stance with your rental properties.

Changing need for eco-friendly private rentals

Until a few years ago, prioritising green home improvements was largely a matter for owner-occupiers who wanted to make a positive difference to the environment. Landlords tended to consider eco-friendly features as more of a luxury than a necessity, even if there was a clear financial case to be made, such as with solar roof installations for rental properties. 

However, climate change and sustainability are becoming increasingly important topics of conversation and concern. The UK government are also introducing legislation that supports greener developments within the sector, such as EPC rating improvements.

Greener credentials wanted by younger tenants

Consequently, tenants and younger generations in particular are now beginning to consider green features as must-haves rather than nice-to-haves when looking for a place to live.

A study by MRI Solutions, a global leader in real estate technology solutions, also found nearly three quarters want their landlord or property manager to have technologies in place to ensure their rental properties are energy-efficient spaces. 

75%of younger renters, aged 18-24, were found to be much more likely to agree that environmental credentials were vital, compared to just 67%of those aged over 65. Most interestingly, the findings revealed that nearly half of all respondents see the lack of green building management as a dealbreaker, with 59 per cent of 18-24-year-olds likely to take this more rigid stance when renting. A recent survey also showed that 50% of tenants would be prepared to pay more for a greener property while nearly 10% would accept a 20% rent rise.

The future for private rental properties is to ‘Go Green’!

Landlords wanting to remain attractive to tenants will do well to consider investing in greener rental properties and new builds or improving existing stock to achieve the best EPC ratings. Although the government hasn’t enforced the EPC standard rating of C yet, it doesn’t hurt to get ahead of the game.

With the younger population struggling to get on the property ladder, and the cost of living hitting hard on everyday bills, it’s key to tap into this rental demographic with a longer-term view.

So, the short answer to ‘are eco-friendly landlords set to attract more tenants?’, is a resounding, yes! If you are looking for helping to rent your property, please get in touch.  We would love to help.