Brought to you by DIRECT CONNECT
In an era where sustainability has transitioned from a buzzword to a necessity, Direct Connect is here as your trusted ally in navigating the dynamic and ever-changing landscape of electricity. Owned by Snowy Hydro and a sister business to Red Energy, we are in a unique and unparalleled position to assist your customers and business in navigating the future of energy. But what does the future look like? Here are three pivotal trends to consider.
1. Growth of solar energy
The proliferation of solar energy represents a seismic shift in the electricity sector, revolutionising the way we generate and consume power. This transformative trend is propelled by a combination of factors, including plummeting costs, technological advancements and increasing environmental awareness.
As real estate agents, recognising the profound impact of solar energy on property value is essential in meeting the evolving needs and preferences of clients.
Gone are the days when solar power was perceived as a niche or expensive alternative. Today, solar energy arguably stands as a cost-effective solution that offers numerous benefits to property owners and tenants alike.
The decreasing cost of solar panels, coupled with government incentives and financing options, has made solar installations more accessible and affordable than ever before. Moreover, advancements in solar technology, such as improved efficiency and durability, have further increased the appeal of solar energy systems.
Beyond financial considerations, solar energy systems offer a range of environmental benefits, aligning with the growing desire for more perceived eco-friendly living spaces. Properties equipped with solar panels have a halo of doing the right thing for the planet, appealing to environmentally conscious buyers and tenants who are aiming for greener living.
In addition to enhancing property value, solar energy systems could also provide a competitive edge in the real estate market. Research shows that two-thirds of home buyers have a preference for energy-efficient homes if given a choice.
Domain’s Sustainability in Property Report proves that energy-efficient additions are being used more within property listings to attract, persuade and prove the homes’ value to prospective buyers. This is because sustainable additions have an attached price premium.
“Homes with energy-efficient features also have greater interest and sell quicker,” Dr Nicola Powell, Chief of Economics and Research at Domain, said. “This provides homeowners with short and long-term benefits, from immediate savings on utility bills to a premium when sold. It also provides differentiation in a crowded market.”
Properties equipped with solar panels often command higher resale values and shorter time on the market compared to their non-solar counterparts and can provide differentiation in a crowded market.
2. Cost of living and desire for efficient energy solutions
A globally challenging time for the cost of living, coupled with a heightened awareness of environmental concerns, has led to a demand for cost-effective energy solutions in almost every market. Real estate agents are uniquely positioned to show the benefits of an energy-efficient household beyond the draw of a fresh coat of paint by speaking to energy efficiency in terms of house insulation and in-built energy-efficient appliances.
Getting a client to think this way can lead to them installing new appliances that consume less electricity without compromising performance and ultimately reduce post-purchase strain. This is a longer bow to overall satisfaction with the buying process and one less often thought about with such a large purchase decision. By replacing outdated appliances with ENERGY STAR-certified models, property owners can significantly reduce energy costs over time, while also minimising their carbon footprint.
Likewise renters, who if made aware of the low cost of running appliances, might reconsider an early move when rent increases by $15 a week. By having conversations about energy efficiency, properties not only become more appealing to eco-conscious tenants, but also become a long-term conversation about cost savings.
By commanding the narrative on innovative solutions and being able to sell the benefits of integrating energy-efficient technologies into their properties, real estate agents can suggest a possible way to help future-proof investments and cater to the evolving needs and preferences of clients.
3. Preparing properties for electric vehicles
As the automotive industry undergoes a monumental shift towards electrification, the need for properties to accommodate electric vehicles (EVs) has become increasingly pressing.
Real estate agents will increasingly be asked questions about this and must be poised to differentiate themselves by promoting EV-ready properties equipped with charging infrastructure and local superchargers – or at least have an understanding of whether the occupier will run into issues when trying to fit a new charging station in the future.
There’s a lot to consider here, but the key things for an agent to understand are that older houses may need rewiring, which can be expensive. However, if a switchboard is close to where the car needs to be charged, installation tends to be easier.
Charging an EV at home isn’t as complicated as it might seem, even if you're not familiar with the specifics of electricity. Here’s a simplified breakdown to help you understand the basics:
- EVs and charging limits. Different cars have various limits on how fast they can charge. For example, a 2020 Nissan Leaf can charge at 6.6kW using AC (at home) or at 50kW with DC (at a public supercharger). A 2020 Tesla Model 3 can go up to 11kW on AC or 170kW on DC.
- Charging options at home. These options include:
- Wall socket: Offers about 2kW of power
- Wall charger: Provides around 7.7kW
- Three-phase power: Can supply between 11kW to 18kW, depending on the car's capability.
- Charging time and cost. Charging speeds vary, but a typical home wall charger (7.7kW) can fill a 75kWh EV battery in just under 10 hours. The cost of charging can be lower than you might think, around $22.50 for a full charge of a 75kWh battery, based on electricity costs of 30c per kWh.
- Installation costs. Setting up a home charging station involves some upfront costs. Installation by a professional can start at around $750. If you move, removing the setup might cost starting from $250.
Understanding these key points helps to demystify EV charging for new and potential EV owners, making the transition to electric driving smoother and more transparent.
Future proofing properties for energy changes
In the context of future-proofing properties for energy changes, the competitiveness of the real estate market and the need to stay ahead of the curve are particularly important.
Real estate agents will continue to play a pivotal role in the education of how energy solutions are enhancing property value and marketability. Cost of living will always be a key consideration for both tenants and buyers and properties equipped with energy-efficient features and infrastructure will increase in demand as electricity utilisation may well be the main currency in powering homes in the foreseeable future. This heightened competitiveness extends beyond traditional property transactions to encompass ancillary services such as energy solutions and sustainability initiatives.
By commanding the narrative on innovative solutions and being able to sell the benefits of integrating energy-efficient technologies into their properties, real estate agents can suggest a possible way to help future-proof investments and cater to the evolving needs and preferences of clients.
How can Direct Connect help?
With a service crafted with real estate professionals in mind, we aim to empower you to not only add value, but also maximise your business potential in the ever-evolving property landscape.
With the goal in mind that an agent does what they do best in putting people into the right home and we do what we do best by connecting people to everything needed to power it in a seamless handoff that appears to the end client as one integrated service.
Our seasoned Account Managers are poised to collaborate closely with you, developing a strategy that aligns with the unique needs of your business. Through this collaborative approach, we will equip you with the knowledge and expertise necessary to navigate the complexities of the future and help to prepare your business to thrive.
At Direct Connect, we strive to be more than just a service provider; we want to be your trusted partner. Call 1300 558 169 to speak to our people today about how we can help you.