A new study reveals that improving your home’s energy efficiency rating can significantly boost its market value — especially in colder regions and newer buildings.
It turns out that the humble energy efficiency label — those letters from A to G stuck on the back of appliances and, increasingly, homes — is quietly becoming one of the more influential factors in the Spanish housing market. A recent study involving more than 240,000 homes shows that each step up in energy rating increases a property’s value by an average of 1.3%. And in some parts of the country, such as the brisk north, that figure jumps to nearly 5%.
A premium for greener homes
The research, conducted by IESE Business School, Tinsa by Accumin, and the data analytics platform Accumin Intelligence, isolates the value added by making a home more energy-efficient, independently of other factors like quality of construction or location. That alone is a big deal — most previous studies bundled these variables together, muddying the waters.
“Until now, we couldn’t clearly separate energy efficiency from other attributes like modernity or better insulation,” explained Cristina Arias, Head of Research at Tinsa by Accumin. “Our analysis shows definitively that the market is recognising and valuing energy performance by itself — not just the fancy finishes or newer build quality that often accompany efficient homes.”
The study found that the “green premium” rises the further up the scale a property climbs. Switching from an already decent B rating to the top-notch A boosts value by 2.1%, while stepping up from C to B raises it by 3.3%. Even modest upgrades — say, from E to D — translate into a 1.2% price increase, not insignificant when talking about hundreds of thousands of euros.
Not just for luxury homes or prime locations
The idea that energy efficiency is only a concern for ultra-conscious urban dwellers or luxury homeowners is no longer valid. The revaluation effect appears across all housing segments — flats and detached houses, old and new, north and south. That said, where you live does matter.
In chillier regions like Cantabria and Asturias, where heating costs are a serious concern in winter, property values could rise by as much as 4.8% for one grade improvement in energy rating. In warmer areas such as Madrid, the Canary Islands, and Andalucía, the added value tends to be more modest — generally between 1% and 1.1%.
Detached homes see a slightly bigger bump (1.5%) than flats in a block (1.3%), and homes built after 2006 — when Spain’s building code took a green turn — enjoy the most from added efficiencies (up to 1.7%).
The path to a better rating
According to Arias, those looking to boost their home’s energy certificate should focus on three key upgrades: improve insulation, replace outdated heating/cooling systems with efficient ones, and install renewable energy systems. These changes not only help the environment and reduce future utility bills but also position the property as more valuable in the eyes of buyers and lenders.
Getting an energy efficiency certificate is a must when selling or renting in Spain, at least on paper. Legally required since 2013, it uses a colour-coded A–G rating similar to those found on fridges and washing machines. But a 2024 complaint by consumer organisation CECU reveals a gap between law and practice — one in three property listings on popular sites like Idealista and Fotocasa still fail to include this crucial information, often brushing it off with a vague “in progress” note.
What’s coming next?
With European regulations tightening, expect the green factor to become impossible to ignore. A new EU directive mandates that by 2030, all homes currently rated G must reach at least an E, rising to a D by 2033. Long term, the entire European building stock is expected to be zero-emission by 2050.
Spain’s housing stock faces a long road to compliance. According to the Institute for Energy Diversification and Saving (IDAE), a whopping 60% of Spain’s homes predate any kind of energy regulation. Many were built before the 1979 NBE-CT-79 or the 2006 Technical Building Code — meaning they weren’t designed with efficiency in mind.
But change is coming. The certificate itself costs between €90 and €135 for flats, and upwards of €150 for houses — a modest investment considering the significant advantage it can offer on the open market. And no, you can’t skip the on-site visit from a qualified technician; it’s what gives the document its legal bite.
