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Rental and sales price premiums for energy efficiency in Germany's pre-War apartments

Where are the shortfalls and what is society's role in bringing fairness

Datos Bibliográficos

ID13067013
AutoresRachel Galvin (0000-0001-9279-4263, Institute for Sustainability, autor de correspondencia)
Año2023
Volumen98
Páginas103009-103009
Fecha de publicación2023-03-04
Peer ReviewedSí
Open AccessSí
TipoARTICLE
RevistaEnergy Research & Social Science (JOURNAL)
Identificadores de la revistaISSN: 2214-6296 • E-ISSN: 2214-6326
EditorialElsevier BV (PUBLISHER)
DOI10.1016/j.erss.2023.103009
OpenAlexW4323108409
IdiomaEN
Citas recibidas2
Referencias citadas23

Increasing energy efficiency in residential buildings brings the social benefits of CO2 emissions reduction, increased energy security, reduced energy poverty and better public health, but is costly. The question arises as to who should pay for these social benefits: tenants, property owners, or society? The issues are complicated by the fact that the direct costs and benefits of energy-efficiency renovation are influenced by real estate markets. These market effects need to be better understood so that social costs, subsidies and CO2 taxes can be more fairly apportioned. As a case study, this paper investigates sales and rental market premiums for energy efficiency in 2019–2021 among the 6 million apartments in Germany that were built in 1800–1945, using a database from Germany's largest real estate portal. These apartments are notoriously energy inefficient, and their architecture and elegance can make energy-efficiency retrofitting difficult and expensive. Using least squares regression analyses, it finds that sales premiums for energy efficiency generally compensated owners who retrofitted then sold, were too low to compensate landlords/landladies for retrofitting, and too high for tenants or purchasers to offset through reduced energy consumption. The study asks how subsidies or CO2 taxes could help correct these market anomalies. Market premiums vary greatly by geography, suggesting that subsidies or taxes would need to vary by region. The relative stability of construction and energy prices in 2019–2021 make this a useful study of how different factors can interact to influence market premiums and set parameters for social subsidy and tax interventions

Business · Economics · Efficient energy use · Fuel poverty · Hedonic regression · Market economy · Public economics · Real estate · Renting · Retrofitting · Subsidy · Building Energy and Comfort Optimization · Energy Efficiency and Management · Engineering · Sustainable Building Design and Assessment · Finance

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    Open Access•Yifu Ou, Yunbei Ou et al.•Energy Research & Social Science•2026

  • An under-developed dimension in upgrading energy-inefficient German rental buildings

    Open Access•Rachel Galvin•Energy Research & Social Science•2023

  • Introducing the prebound effect

    Minna Sunikka‐blank, Minna Sunikka-Blank et al.•Building Research & Information•2012

  • The energy-efficiency gap What does it mean?

    Open Access•Adam B Jaffe, Robert N Stavins•Energy Policy•1994

  • Tearing down the information barrier

    Open Access•Marcelo Cajias, Franz Fuerst et al.•Energy Research & Social Science•2018

  • A tale of two market failures

    Open Access•Adam B Jaffe, Richard G Newell et al.•Ecological Economics•2005

Obras citantes distintas2
Citas por año0,67
Intervalo de citas2023 - 2026 (4)
Velocidad de citacióncurrent
Altamente citadoNo
Tipos de citaNeutras: 2
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