HOW TO PREVENT A LOSS IN VALUE FOR UNRENOVATED HOUSES

Buying a property is a significant investment where the development of value is a decisive criterion. Nobody wants to put their hard-earned money into a property that will lose value in the long term. Particularly in terms of energy efficiency, unrenovated houses run the risk of no longer meeting future energy standards and therefore losing their appeal.

What factors influence the loss in value?

The loss in value of real estate can have many causes. The most important factor is a lack of energy efficiency. Unrenovated houses often do not meet modern energy standards and therefore cause high heating costs. This makes these homes less attractive to potential buyers who are looking for energy-efficient solutions.

In addition, unrenovated homes can also have various defects and problems that lead to a loss in value over time. The age and condition of the property play a crucial role here. Dilapidated structures, outdated installations, leaky windows or a poor indoor climate are just a few examples of possible defects that can reduce the value of an unrenovated property.

In addition to the financial aspects, unrenovated houses also affect the living comfort and well-being of the residents. Insufficient insulation leads to draughts and uneven heat distribution, resulting in an uncomfortable and unpleasant indoor climate.

Overall, the loss of value in unrenovated houses means that the owners’ investment is not used to its full potential. However, timely and effective refurbishment can prevent these negative effects and maintain or even increase the value of the property in the long term.

What is the impact of high energy efficiency?

Homes with a high energy efficiency rating are very popular with buyers for several reasons:

• Cost savings: Energy efficient homes use less energy for heating, cooling and electricity, resulting in significant cost savings for residents. Lower energy costs mean more financial leeway for other expenses or savings goals.
• Sustainability and environmental awareness: In times of increasing environmental awareness, more and more people are looking for greener options for their lifestyle. Energy efficient homes reduce CO2 emissions and energy consumption, which helps to reduce negative environmental impacts and promotes sustainable living.
• Improved living comfort: Energy-efficient homes are generally better insulated and have more modern heating and cooling systems. This creates a pleasant indoor climate without unwanted draughts or temperature fluctuations. This leads to greater living comfort and improved quality of life.
• Value retention and appreciation: Compared to unrenovated or less efficient properties, energy-efficient homes retain their value in the long term. As energy-efficient homes meet current requirements and offer potential energy savings, they are more sought-after on the market, which can lead to a higher increase in value.
• Subsidies and tax benefits: In many countries, energy-efficient measures are subsidized by the government. There are various financing and subsidy programs that support the purchase or renovation of energy-efficient homes. In addition, certain tax benefits and deductions may apply to energy-efficient buildings.

How to help maintain value

There are various measures you can take to maintain or increase the value of a property. Energy efficiency measures are particularly important. These include the installation of high-quality insulation, energy-efficient windows, solar panels and modern heating and cooling systems. These measures not only reduce energy costs, but also make the property more attractive to environmentally conscious buyers. Regular maintenance and servicing of the property is also very important in order to maintain its value. Potential buyers pay attention to the condition of the roof, façade, electrical and sanitary installations in order to estimate possible repair and renovation costs.

Victor Investment: The experts are at your side

Expert advice and a professional valuation are now all the more important as they can have a decisive influence on the success of the property sale. An energy expert can assess the energy status of the property and make valuable recommendations for improving energy efficiency. This advice can help to increase the value of the property and make it more attractive to potential buyers. A well-informed buyer will appreciate the benefits of an energy-efficient property. In addition, a real estate expert will carry out a market value analysis to determine the current market value of the property. They will also calculate whether the planned measures are financially worthwhile.

If you are interested in optimizing the sale of your property in Berlin or would like more information about our services, please do not hesitate to contact our experienced team at Victor Investment. We will be happy to assist you with our expertise and comprehensive advice. Request a free initial consultation now and let’s work together to achieve your real estate goals.