We here at Adrian Hassett Auctioneers have noticed a clear pattern in how Irish buyers respond to BER ratings. The Building Energy Rating, introduced over fifteen years ago to give buyers a comparable measure of a property's energy performance, has gradually shifted from being a piece of background information to being a significant driver of buyer decisions.
Most properties on the market today fall somewhere within the C and D bands, with newer or recently renovated homes sitting in the A and B range. The properties that increasingly find themselves in difficulty are those at the lower end of the scale: F and G rated homes.
Buyer interest in F and G rated properties has fallen sharply over the past few years. The pattern is now clear enough to qualify as a cliff. Properties at this end of the scale typically attract fewer viewings, fewer offers, lower offers, and longer time on the market than otherwise comparable properties with stronger ratings.
The reasons are practical, financial, and increasingly cultural.
The first reason is running costs. F and G rated properties are significantly more expensive to heat. With energy costs higher than they were a decade ago, the annual difference between a B rated home and an F rated home can run into thousands of euro. Buyers price that gap into their offer, often more aggressively than the absolute numbers would suggest.
The second is comfort. Lower-rated homes tend to be draftier, colder in winter, and harder to keep at a consistent temperature. For families and older buyers in particular, comfort matters as much as cost.
The third is mortgage availability. Most Irish lenders now offer green mortgage rates, with discounted interest rates available on properties with a BER of B3 or better. F and G properties are excluded from these rates. The cost of borrowing is materially higher, and that difference is felt every month for the life of the mortgage.
The fourth is renovation cost. Buyers know that bringing a property from F or G up to a competitive standard requires meaningful capital expenditure. Insulation, new windows, heating system upgrades, ventilation, and sometimes structural changes can run to a significant share of the purchase price. SEAI grants offset some of this cost but not all of it.
The fifth is resale visibility. Buyers in 2026 are aware that the trajectory of regulation and market behaviour is one-directional. Properties that are difficult to sell today are not getting easier to sell tomorrow. Purchasing a low-rated property now means the same constraint applies when it is eventually resold, unless the new owner has carried out a meaningful retrofit.
The sixth is cultural. Irish buyers, particularly younger first-time buyers, increasingly think about energy performance as a baseline expectation rather than a nice-to-have. A property that ranks poorly on BER reads as out of step with where the market is going.
The combined effect is that F and G rated properties sit longer, attract fewer serious bids, and ultimately sell for less. The gap between asking price and final price is wider in this category than in any other.
For sellers of low-rated properties, this creates a clear strategic choice.
The first option is to invest in retrofit before sale. A meaningful upgrade, particularly one that crosses the threshold into the C band or higher, can substantially improve marketability. Insulation, heating, and windows are the highest-impact areas. SEAI grants are available, and a One Stop Shop approach can coordinate the work.
The second option is to price the property realistically, reflecting the work the next buyer will face. This requires honesty about what the property is worth in its current state, rather than holding out for a price that the market is no longer willing to pay.
The third option is to position the property explicitly to a buyer prepared to retrofit. This is a smaller pool, but it is not empty. Some buyers are actively looking for properties they can renovate, particularly where the location, layout, or land area is appealing. Marketing the renovation potential, rather than ignoring the BER, can attract that buyer more effectively.
The least successful option is to do nothing, leave the property at an unrealistic asking price, and wait. Properties that take this route tend to drift, attract progressively less interest, and eventually sell at a price below what a more decisive approach would have achieved.
For buyers, the same dynamic creates opportunity.
Lower-rated properties can offer real value to buyers who are willing to take on the work. The discount is real, the SEAI grants are accessible, and the post-retrofit property typically gains value as well as becoming cheaper to run and more comfortable to live in.
The key is to budget realistically. Retrofit costs vary considerably depending on the property, but buyers should treat estimates as starting points rather than ceilings. A surveyor or experienced energy assessor can help scope the work before any offer is made. A solicitor can ensure that any grant or finance conditions are correctly handled.
There is also a financing angle. Several lenders now offer specific retrofit loan products that allow the purchase and the upgrade to be combined into one borrowing arrangement. A mortgage broker can advise on what is currently available.
The reality is that BER has moved from being an item on the property listing to being a major factor in price, time on market, and buyer pool. For sellers, ignoring the BER cliff usually costs more than addressing it. For buyers, understanding the cliff is the foundation of finding genuine value in the current market.
The strongest outcomes, whether buying or selling, come to people who take BER seriously, price the implications honestly, and plan around them rather than hope they will not matter.
If you would like to discuss buying or selling a property, contact us on 0871303206 or email sales@adrianhassett.com or visit adrianhassett.com.
Disclaimer: This article is based on publicly available information and is intended for general guidance only. While every effort has been made to ensure accuracy at the time of publication, details may change and errors may occur. This content does not constitute financial, legal or professional advice. Readers should seek appropriate professional guidance before making decisions. Neither the publisher nor the authors accept liability for any loss arising from reliance on this material.
