Energy efficiency and renovation costs: Is it really worth buying?
February 14, 2025
The real estate market in Switzerland is known for its stability, but also for high prices and demanding building regulations. Those looking to buy an older house or a property in need of renovation often wonder whether investing in energy efficiency and renovation costs is truly worthwhile. In this article, we will take a closer look at what energy efficiency entails, what costs may arise during renovations, and how these investments can have long-term positive effects.
What Does Energy Efficiency Mean in the Building Sector?
Energy efficiency in the building sector essentially refers to how effectively a building utilizes the energy supplied (e.g., for heating, hot water, cooling, or lighting). A house with high energy efficiency requires fewer resources to ensure a certain level of living comfort, resulting in lower utility costs. In Switzerland, the so-called Minergie standard is often mentioned, under which buildings must meet strict guidelines for energy consumption and comfort.
Energy-efficient buildings make a significant contribution to climate protection and are economically advantageous in the long term.
Modern technologies such as heat pumps, photovoltaic systems, or efficient insulation materials reduce energy consumption and not only lower the ecological footprint of a building but also contribute to a significant increase in value in the real estate market.
Renovation Costs in Detail
The question of whether purchasing a property in need of renovation is worthwhile heavily depends on the renovation costs. While some measures are relatively affordable, others—such as a complete replacement of the heating system or comprehensive insulation—can be quite expensive. The following cost factors play an important role:
- Roof and facade renovation: Good thermal insulation of the roof and facade can reduce heat loss by up to 30%. Costs vary depending on the type of building and materials used, but typically range in the tens of thousands of francs.
- Windows and doors: Replacing single-glazed windows with modern, triple-glazed options significantly reduces heat loss. Although the acquisition costs may seem high at first glance, this modernization often pays off within a few years.
- Heating system: Particularly in older properties, oil-fired heating systems are still common. Switching to a heat pump, pellet heating, or district heating can be subsidized by the federal and cantonal governments and leads to lower heating costs in the long run.
- Electrical installations and lighting: Energy-efficient LEDs and smart control systems for temperature and lighting regulation help further reduce energy consumption.
- Interior construction: Additionally, underfloor heating or new insulation materials in basements and walls improve the room climate and lower energy demand—but they also come with respective costs.
To create a clear picture of potential investments, it is worthwhile to conduct a cost-benefit analysis. A professional appraisal or energy consulting often provides valuable insights into which renovation steps are particularly beneficial.
Sample Cost Table
The following table gives a rough overview of typical cost areas and possible savings. The values are only estimates, as the actual expenses depend on factors such as building size, year of construction, and location.
| Measure | Typical Costs (CHF) | Possible Savings per Year |
|---|---|---|
| Roof and facade renovation | 30,000 – 80,000 | 15 – 25% in heating costs |
| Windows & doors (triple glazing) | 10,000 – 30,000 | 10 – 20% in heating costs |
| New heat pump | 20,000 – 40,000 | Up to 50% compared to oil/gas heating |
| Photovoltaic system | 10,000 – 25,000 | Up to 70% of electricity needs depending on size |
| LED lighting & smart home | 1,000 – 5,000 | 5 – 10% in electricity costs |
Those who combine several measures will often benefit from synergy effects and funding programs that cover multiple areas of renovation.
Funding Programs and Financial Assistance
In Switzerland, there are various funding programs at the federal and cantonal levels that support private property owners in energy-efficient renovations. These can be granted in the form of direct payments, tax incentives, or interest-reduced loans. To benefit from these programs, registration and submission of corresponding evidence is usually required. A professional energy consulting service can not only highlight savings potentials but also provide valuable tips for successfully applying for funding.
Additional Tips for Funding Programs
- Early on, inquire with the canton or municipality about available programs.
- Check if you can use additional regional funding pots or discounts.
- Utilize online portals to calculate potential savings and funding amounts.
Long-Term Benefits for Owners and the Environment
Energy-efficient renovations are not only a cost factor but an investment in the future—both for the environment and your wallet. The long-term benefits include:
- Low operating costs: Lower heating and electricity costs significantly reduce monthly expenses.
- Value increase of the property: Energy-efficient properties are in demand on the real estate market and can achieve a higher resale value.
- Improved living comfort: Good insulation and modern heating systems ensure a stable room climate without drafts and temperature fluctuations.
- Contribution to climate protection: Lower energy consumption reduces CO2 emissions and lessens the environmental load.
Conclusion: Is the Purchase and Renovation Worth It?
Whether the purchase of a property in need of renovation combined with energy-efficient renovations is truly worthwhile depends on various factors: the condition of the house, the planned modernization measures, and the available financial resources. However, in most cases, a comprehensive renovation pays off in the long run. The low energy costs, a higher resale value, and the active contribution to climate protection make a modern, energy-efficient property a sensible investment.
Thanks to government funding programs, many measures can be additionally financed, significantly reducing costs. A carefully developed energy concept and an accurate cost calculation form the basis for a successful renovation. Those who take the time to carefully consider these points and seek professional help if necessary will ultimately be rewarded with an energy-efficient, comfortable, and value-stable home.
