S&P/ASX 2009,070.0-0.03%All Ordinaries9,274.2-0.05%S&P 5007,785.76-0.17%Nasdaq26,729.16-0.28%AUD/USD0.7107+0.28%RBA cash rate4.350.00%Gold4,474.30+0.83%Brent crude90.82+2.60%

Property

Energy efficient homes command fifteen percent price premium

Property investors and homeowners can generate superior capital growth and rental demand by retrofitting dwellings with energy-efficient infrastructure such as solar panels and double glazing.

What happened

Data highlighted by the Mortgage & Finance Association of Australia revealed that more than half of Australian houses sold in 2025 featured energy-efficient attributes. Properties with sustainable features attracted 13.8% more online views and sold for a 14.5% national price premium compared to standard homes. Additionally, Commonwealth Bank reported a 35% quarterly increase in green lending for solar and battery installations.

Why it matters here

Escalating power bills and elevated interest rates are driving Australian homebuyers and tenants to prioritize running costs when evaluating property. For residential real estate investors, upgrading dwelling sustainability offers dual advantages: higher tenant retention with premium yields, alongside stronger capital protection as valuer frameworks increasingly incorporate energy rating metrics into property assessments.

What to watch

Key industry insights from the MFAA green lending webinar on 25 August 2026, alongside prospective major bank discounted green mortgage product releases for energy-efficient renovations.

Source

mfaa.com.au

Also in this edition

S&P/ASX 200

9,070.0

▼ 0.03% · -3.2

All Ordinaries

9,274.2

▼ 0.05% · -4.8

S&P 500

7,785.76

▼ 0.17% · -13.23

Nasdaq

26,729.16

▼ 0.28% · -73.84

AUD/USD

0.7107

▲ 0.28% · +0.0020

RBA cash rate

4.35

— 0.00% · 0.00