Australia's Home Energy Ratings Show Typical Homes Rate Only 2‑3 Stars

The Nationwide House Energy Rating Scheme (NatHERS) has been extended to existing homes as of 1 July, rebranded as Home Energy Ratings. Experts say the average Australian house, most of which were built before mandatory standards, scores just two to three stars out of ten. About 70 % of the nation’s 11 million homes fall into this low‑efficiency bracket.

The new ratings give owners, buyers and renters a clear measure of energy performance and allow banks to factor upgrades into loan assessments. Jacob Caine, president of the Real Estate Institute of Australia, called the change “one of the most important transitions of our residential built environment in generations.” Assistant Minister for Climate Change and Energy Josh Wilson said the tool will help Australians lower household costs. State programs are already supporting upgrades: New South Wales offers zero‑interest loans of $2,000‑$15,000, while Victoria provides rebates for energy‑saving products such as heat‑pump water heaters.