Updates to Energy Performance Diagnosis and Impact on Rental Properties: What You Need to Know

2024-02-12 20:19:43

The government has announced several upcoming changes in terms of energy performance diagnosis and the rental of energy-intensive housing.

What was announced?

Christophe Béchu, the Minister of Ecological Transition, announced in an interview with the newspaper The Parisian, and published on February 12, 2024, an adjustment to the Energy Performance Diagnostic (EPD). “Small” areas, those less than 40 square meters, will benefit from a weighting mechanism so that they are no longer penalized by the current calculation method. The challenge is that their label is closer to reality, whereas today they are subject to a bias linked to the production of domestic hot water. But the DPE is not called into question. “We are not changing the thermometer, we are correcting a bias”, insisted the cabinet of the Ministry of Ecological Transition, returning to the announcements. He recalls that today, between a home of 25 square meters and another of 50 square meters, yet having the same specificities, notably insulation, the smaller of the two could be considered as being an energy sieve when the other will not be.

Read also: Energy performance diagnosis: why small areas are penalized today

What is at stake?

The stakes are high. While the housing sector represents 18% of greenhouse gas emissions, the Climate and Resilience law provides that housing classified G (those called G + have already been affected since January 2023) cannot be put back for rental (or see their lease renewed by tacit agreement) without being renovated from January 1, 2025. This will also be the case for those classified F in 2028.

How many homes affected?

According to a press release issued by several federations of diagnosticians, “the DPE classification of areas of less than 40 m² will improve by one notch on average (moving from G to F or from F to E for nearly 140,000 housing units)”. Clearly, this will give them at least one year of additional time to carry out the necessary work.

What procedure?

No need to repeat recent DPEs or call on the diagnostician. All owners need to do is go to a dedicated website with their DPE number (transmission to Ademe of all DPEs being obligatory) to obtain a certificate taking this change into account. Based on the already known data, the system will calculate the new label on its own. To obtain the certificate, you will have to wait until the official texts are published. This should therefore be possible on July 1, 2024. In the meantime, a simulator made on the basis of the decree which will be sent to players in the sector this week will be accessible to estimate its new rating.

What’s new for the “ban” on rental?

However, there is no question of reviewing the timetable for banning the rental of accommodation. “We will stick to this calendar”, recalls the office of the Minister of Ecological Transition. On the other hand, within the framework of the bill on degraded co-ownerships, amendments will provide clarification on the applicable rules. And introduce flexibility. This will include remembering that on January 1, 2025, for example, the obligation for G labels will only apply in the event of a change of tenant, or on the date of tacit renewal of the lease.

But elements may come to suspend the obligation. This will be the case if to get out of a G label, a renovation of the co-ownership is necessary and this is rejected. Conversely, if work has been voted on, the obligation will be suspended for two years, while it is carried out. Finally, if the tenant refuses to leave the accommodation during the necessary work, the obligation will be suspended until a change of tenant.

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