Sale or Rental Impossible Without Energy Upgrade Under New EU Directive 🏡 ⚡

2/5/2026

The European Union has introduced new obligations requiring the energy renovation of buildings. Without meeting minimum energy performance standards, property owners may soon be unable to sell or rent their real estate.

Specifically, under the revised Energy Performance of Buildings Directive (EPBD – 2024/1275), the EU has approved measures aimed at accelerating renovation rates in order to reduce overall energy consumption. The directive focuses on increasing the renovation of older, energy-inefficient buildings while also improving transparency regarding building energy performance, particularly during property sales or rental transactions.

The Greek Ministry of Environment and Energy is already preparing legislation to incorporate the directive into national law. The implementation process is expected to be completed by May 2026.

What Are the Directive’s Key Requirements?

The directive, currently under review by the Ministry, is expected to introduce mandatory energy upgrades of two to three energy classes for older buildings by 2030.

For residential properties, the EU has set targets to reduce primary energy consumption by:

Particular emphasis will be placed on renovating approximately 43% of the worst-performing buildings.

Additionally, the directive introduces several important requirements, including:

Which Buildings Will Require Upgrading?

The EU directive applies to all building categories, including:

All properties will eventually need to meet minimum energy certification standards. Failure to comply may prevent owners from selling or leasing their property. However, compliance timelines vary depending on the building type.

Required Energy Targets for Buildings in Greece

Based on Greece’s current energy rating scale (A to H), residential buildings must achieve at least:

Non-residential and public buildings must comply with similar targets by 2027 and 2030 respectively.

Energy performance improvements — such as insulation upgrades, heating system modernization, or other efficiency measures — will typically be required when:

Changes to Energy Performance Certificates (EPCs)

Energy Performance Certificates (EPCs) are a fundamental tool for evaluating building efficiency. The revised directive aims to make EPCs clearer, more reliable, and more transparent.

The updated system will introduce a common EU classification scale from A to G, where:

The remaining properties will be distributed across intermediate categories. The harmonized system is expected to simplify building classification, improve access to financing, and remain adaptable to national building characteristics.

Furthermore, EPCs will be required in additional situations, including major renovations and lease renewals, increasing awareness among both property owners and tenants.

Energy Classification Levels and Their Connection to EPCs

Building classification into energy categories is based on measured or calculated energy consumption levels.

The nine energy classes currently used in Greece are:

A+, A, B+, B, C, D, E, F (Z), G (H)

These classifications are determined by comparing a building’s total primary energy consumption with that of a theoretical reference building featuring standardized technical specifications, such as insulation, heating and cooling systems, and renewable energy use.

Higher-rated categories (A+, A, B+, B) typically apply to properties built under the post-2012 Greek Energy Efficiency Regulation (KENAK). These buildings are constructed using modern standards, advanced insulation, energy-efficient glazing, and modern heating and hot water systems.

Lower-rated categories (F/Z and G/H) mainly include older constructions, which represent a large portion of Greece’s building stock. These buildings often require renovation interventions that can significantly reduce operating costs and energy consumption.

Current EPC Requirements for Property Rentals

Under existing legislation:

a) For every new lease agreement, tenants must be informed about the property’s energy performance and receive a copy of the EPC before signing the contract.

b) The obligation to issue an EPC applies to:

c) EPC data must be registered in the relevant digital platform of the Greek Independent Authority for Public Revenue (AADE).

 

 

 

Source: https://www.michanikosapps.gr/blog/7912?fbclid=IwdGRjcAPv8K5leHRuA2FlbQIxMQBzcnRjBmFwcF9pZAo2NjI4NTY4Mzc5AAEeWP2s2H8YHktlAvjhW3lyuoRlCQIf2KY6bOS3z-inBY3DVtqOzjKNcJJ03rw_aem_DePwGLMyDeB8MRLjbsFiBQ