The added value provided by energy renovation work has almost doubled in 4 years

Everything has gone down except the green value

While in one year, sales volumes have fallen by 17% and the prices of old houses and apartments by 4%, the impact of the energy label on prices has increased by an average of 19% for apartments and 21% for houses. Even more interesting, if we compare these most recent figures on transactions in 2023 with those of the oldest study by notaries on transactions in 2019, the difference in value between a low-energy property (known as BBC) with a DPE A or B and a thermal sieve (DPE F or G) has increased by 72% for apartments and 71% for houses!

For Hervé Degreve, co-founder of Vasco, an alternative to credit for financing energy renovation: "It is normal for buyers to reflect their uncertainties about the cost of energy, the current regulatory tightening and their fears about global warming in the price. Previously, the energy efficiency of a home mainly impacted its comfort and energy bills, but now it is also key to its asset value."

Three times the difference in Nouvelle-Aquitaine than in Île-de-France

Unsurprisingly, this green value varies greatly depending on the type of property and its location. It is notably 1,5 times higher in houses than in apartments and can vary from one to three times from one region to another, in strong correlation with average real estate prices.

Some key figures from this 2023 edition:

• House vs. apartment match: The average difference between a thermal strainer (DPE F or G) and a BBC building (DPE A or B) is 39% for houses and 25% for apartments.
• Top region, flop region: In Nouvelle-Aquitaine, a BBC house is worth 51% more than a thermal sieve while the gap between these two types of property is only 18% in Île-de-France.
• The Burgundy boom: It is in Burgundy Franche-Comté that the progression has been the most marked: a major renovation allowing to gain 5 DPE labels makes the property gain 10% more value in 2023 than in 2022.
• Very expensive label: Without going to these extremes, removing a house from thermal sieve status (F or G) by renovating it to land in class D makes it increase in value by an average of 24%, or around 10% per label gained.

The two maps below highlight the regions in which energy renovation has brought the most value to properties sold in 2023, in houses and apartments. They also indicate the regions in which the progression of green value has been the most dynamic since 2019.

Renovation becomes profitable

A major energy renovation is very expensive, on average €60.000 according to the ANAH's 3rd quarter 2024 report. Despite significant subsidies (as of 01/01/25, between 10% and 90% of the cost of the work depending on household income), many owners give up when faced with a high remaining cost that often appears difficult to make profitable, even over many years.

Indeed, by only taking into account the potential energy savings of a renovation, the equation is often difficult to balance. On the other hand, if we include in this calculation the real estate capital gain generated by this work at the time of resale, the vast majority of large-scale renovation projects become largely profitable.

It is still necessary to be able to finance this remaining charge of a few tens of thousands of euros via savings or a home improvement loan. For those who do not have the means, there is now Vasco, an alternative to credit that finances 100% of the work in exchange for a share of the property, without contribution or monthly payment. Vasco relies on the value created by its work to make a profit by transferring its share when the property is sold, or before if the owner finds cash.

To achieve this, Vasco raises funds through its solidarity property company from individuals and institutions who wish to invest in the energy renovation of those who need it most. The promise is twofold: the owner improves their comfort and their energy bill and the investor puts their savings to work with a target annual return of 9% and limited risk-taking, thanks in particular to the green value created by the work.

Illustrative image of the article via Depositphotos.com.