A practical guide for landlords on planning EPC improvements: how to prioritise upgrades, fund them sensibly, and keep remortgage plans and cashflow resilient.
EPC improvements aren’t just “a compliance task” — they’re a planning decision
For many landlords, EPC conversations create two immediate reactions:
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“What do I need to do, and by when?”
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“How do I pay for it without wrecking cashflow?”
But there’s a third point that often gets missed:
EPC upgrades can affect your mortgage decisions and timelines—especially if you’re planning a remortgage, raising capital, or refinancing multiple properties over the next year.
This article is not legal advice and it isn’t a “panic piece.” It’s a practical landlord-focused guide to planning upgrades sensibly, keeping your numbers sustainable, and avoiding last-minute decisions that limit your options.
Step 1: Separate “must do” from “nice to do”
The simplest way to stay in control is to split upgrades into three buckets:
A) Must do (property can’t be let safely/legally or fails basic standards)
This category is non-negotiable. Deal with it first.
B) Should do (meaningful improvements that protect letting demand and future-proof the asset)
These upgrades often pay you back through:
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stronger tenant demand,
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fewer void risks,
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improved comfort and satisfaction,
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and, in some cases, better lender sentiment.
C) Nice to do (doesn’t change the outcome much)
These are easy to over-spend on when you’re stressed. Park them unless they form part of a wider refurb plan.
Why this matters: Landlords don’t need “more lists.” They need prioritisation and a plan.
Step 2: Start with the upgrades that typically deliver the most impact
Every property is different, but in many cases, landlords get the best improvement-to-effort ratio by starting with:
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Loft insulation / top-up (where suitable)
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Draught-proofing and basic sealing
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Heating controls (thermostats, TRVs, smarter control)
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Hot water cylinder insulation (if relevant)
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LED lighting
Then, where appropriate, you look at higher-ticket items like:
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boiler/heating upgrades,
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wall insulation (case-by-case),
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windows/doors,
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renewables (case-by-case).
Important: Don’t assume the most expensive upgrade is the best upgrade. The best move is the one that improves the rating and fits your property type, tenant profile, and budget.
Step 3: Don’t let EPC work collide with your remortgage timeline
A common landlord mistake is trying to do everything at once:
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remortgage due,
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tenant changeover,
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EPC work planned,
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and a purchase being lined up.
When you stack too much into one window, you increase the chance of:
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valuation delays,
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underwriter questions,
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cashflow strain,
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and rushed contractor decisions.
A practical timeline approach
If you’re 3–6 months from remortgage, ask:
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Are works essential before refinancing?
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Or is it more sensible to refinance first and plan works after?
If you’re raising capital for works, then you’ll need:
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a clear scope,
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realistic costs,
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and the evidence to support the plan (quotes/schedule).
The key landlord point: a tidy plan reduces friction. A vague “we might do improvements” can create uncertainty.
Step 4: Funding options (and how landlords keep it sensible)
How you fund EPC improvements depends on your property and your strategy.
Here are the most common landlord routes:
1) Cashflow funding (simplest, if affordable)
If the work is modest and cashflow allows, paying from income can avoid extra borrowing and complexity.
Best for: small-to-medium improvements that don’t threaten your buffer.
2) Capital raise remortgage (works well when planned properly)
If the property is strong on rental coverage and valuation, raising capital can be a clean way to fund meaningful upgrades—especially where improvements protect long-term letting value.
Best for: planned, evidenced upgrades with a sensible budget.
3) Staged approach (reduce risk)
Some landlords refinance first to secure a stable position, then improve the property in a planned sequence (often aligned with tenancy changeovers).
Best for: when timing is tight or you’re managing multiple competing priorities.
4) Specialist routes (case-by-case)
If a property is mid-refurb or there are time pressures, alternative finance routes may be relevant. The key is matching the route to the real situation—not forcing a standard remortgage into a non-standard moment.
Step 5: Avoid the two big EPC upgrade traps
Trap 1: Overspending without a plan
It’s easy to spend money chasing “perfect” when “good enough” was the goal.
Landlords get best outcomes when they:
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set a realistic target,
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choose upgrades that suit the property,
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and keep the work proportionate.
Trap 2: Doing work that creates lending/valuation complications
Most improvements are fine—but some situations can create extra questions, such as:
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significant structural changes,
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works that materially alter the property layout,
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or properties left in a state that’s hard to value mid-project.
If you’re planning big works, the timing and route matter.
Step 6: The landlord’s “EPC + mortgage” quick checklist
Use this as a practical planning tool:
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EPC rating noted for each property (where relevant)
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Priority list created: must / should / nice
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Budget set (with a buffer)
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Works planned around tenancy dates (to reduce void time)
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Remortgage window checked (3–6 months ahead)
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If raising capital: amount + purpose written clearly
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Quotes or scope gathered for any significant works
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Cashflow stress-tested (higher rates + short void)
Bringing it all together: a calm landlord strategy
For landlords, the best approach is usually:
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plan early,
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prioritise,
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keep cashflow resilient,
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and align mortgage decisions to real-world timing.
EPC improvements don’t need to be chaotic. With a practical plan, they become just another part of managing your property business properly.
Want to plan your next steps?
If you’re considering EPC improvements alongside a remortgage or capital raise, we can help you structure a plan that keeps the numbers sustainable and the timeline realistic.
Telephone: 01352 721300
Email: mortgages@netrent.co.uk
Important information
Mortgage advice is provided by our trusted partner, DNA Financial Solutions, who are authorised and regulated by the Financial Conduct Authority (FCA).
This article is for information only and does not constitute financial advice.
Disclaimer: NetRent does not provide legal advice and these articles represent our understanding of rental property law.