Is buying a thermal colander in 2023 a good investment?

Thus, by 2025, housing classified in category G can no longer be offered for rent. This measure aims to encourage owners to carry out energy renovation work to improve the performance of their properties. To help owners find their way around, Flatlooker, an online rental and management agency, conducted a study (1) to find out if investing in a thermal sieve could be a good deal. Flatlooker also offers tips for improving the ECD of thermal strainers.

There are several reasons to invest in a thermal colander:

• Better negotiation margins
• VAT reduced to 5,5% for renovation works
• Government aid (lower cost of renovation)

Please note: banks will not finance a rental investment project if the work envelope for energy renovations is not in line with the DPE of the property.

Based on the average renovation work, Flatlooker has established the costs necessary to upgrade an ECD from G or F to D (these costs do not include renovation of floors, kitchen or bathroom). The works carried out in the apartments are as follows:

• Windows with ventilation
• Insulation of walls and ceilings
• The silent air extractor
• The thermodynamic water heater
• The electric radiator with fluid inertia
• Waste removal and disposal
• Preparation and painting as well as cleaning.

Flatlooker study conducted in partnership with 110% real estate hunting and based on a pool of more than 1.000 renovations carried out in 2022 and 2023 on T1 (25m²), T2 (40m²) and T3 (65m²).

The average prices for each apartment type are as follows:

• T1 25m² G to R: €828 incl. tax/m²
• T1 25m² F to D: €649 including tax/m²
• T2 40m² G to R: €829 incl. tax/m²
• T2 40m² F to D: €650 including tax/m²
• T3 65m² G to R: €749 incl. tax/m²
• T3 65m² F to D: €569 including tax/m²

There is a difference between Class G and Class F ECDs, which results in the thickness of insulation and the number of insulated walls. It is important to note that the work must be carried out with rigor to guarantee an improvement in energy performance.

Good to know: This study is general and does not take into account the specific cases of apartments on the ground floor or on the top floor which may require additional costs.

Overall average cost of a renovation

• T1 in DPE F: €16.225 including tax (25m²)
• T1 in DPE G: €20.700 including tax (25m²)
• T2 in DPE F: €25.600 including tax (40m²)
• T2 in DPE G: €33.160 including tax (40m²)
• T3 in DPE F: €36.985 including tax (65m²)
• T3 in DPE G: €48.685 including tax (65m²)

Area loss

The loss of area due to insulation must be taken into account when negotiating the price of a property investment. Here are the surface losses to be expected according to each type of apartment for moving from a DPE G/F to D:

• T1: 2,5m² in G (10cm thickness) and in F loss of 0,75m² (6cm thickness) i.e. a loss of surface area of ​​10% in G and 3% in F
• T2: 4m² in G (10cm thickness) and in F loss of 1,2m² (6cm thickness) i.e. a loss of surface area of ​​8% in G and 2,6% in F
• T3: 6m² in G (10cm thickness) and in F loss of 1,95m² (6cm thickness) i.e. a loss of surface area of ​​9,2% in G and 3% in F

Energy savings :

The study highlights the energy savings made following the renovation of energy strainers as well as the amounts saved when housing classified DPE F and G are renovated to achieve better energy performance, i.e. level DPE D. This transformation, made necessary by the increase in energy prices, demonstrates the importance of investing in improving the energy efficiency of homes and expresses the interest in taking it into account to optimize the rental profitability of owners.

Energy price per KW/H: €0,2062 including tax per kWh (April 14, 2023) Source: EDF regulated tariffs

What you must remember :

For Nicolas Goyet, CEO of Flatlooker: “Renovating your property can result in energy savings as well as an increase in its market value. However, given the increase and fluctuations in the cost of energy, it is difficult to accurately estimate the savings made on an annual basis to include them in the calculation of the sale price or in the calculation of the rent. Moreover, although the regulations prohibiting the rental of accommodation considered as thermal sieves can prevent a devaluation of your property, it does not guarantee an improvement in its resale value. »