Tennancy costs are used in our Retrofit Cost-Benefit service for Landlords and Housing Associations because the economics is slightly different. You’ll already be aware of the Minimum Energy Efficiency Standard, MEES which requires a minimum SAP rating of E by next year, 2018. There are strong reasons to retrofit to a higher standard than that. Quotes below are from the Sustainable Homes report mentioned at the bottom of the page:
1) The government is considering increasing the MEES to SAP level D by 2025 and C by 2030. Works on a property are expensive and to apply them to all your stock requires a fair lead in time and therefore forward planning.
2) Rent arrears are a big problem. “The levels of rent arrears experienced by landlords ranged between 3.5% and 28%, with an average of 14%. There is a correlation between length of time in arrears and energy efficiency of homes…. Colder homes, especially those in band F, have on average two weeks more rent arrears than the rest of the bands each year.”
3) To reduce turnover* of your tenants. Energy efficient houses are in high demand meaning the amount of void time (the time a property stands empty between lettings) Administration costs are considerable for voids. “Landlords with more energy efficient stock are spending less on refurbishing void homes, less on repairs and less on staff time to manage voids.”
4) To minimise maintenance problems* such as persistent mould. Dealing with repeat maintenance problems means many visits to site, costs add up.
5) Landlords and housing associations usually have a long term interest in the property. Retrofits over these timescales are much more economic and attractive and can be combined with ongoing maintenance schedules.
*See Sustainable Homes“Touching the Voids” report.