EPC on marketing
Before a building is put on the market the seller or landlord must commission an EPC for the building if no valid EPC exists already for it. A person acting on behalf of the seller or landlord (for example, the estate or letting agent) must be satisfied that an EPC has been commissioned for the building before it is put on the market.
The seller or landlord or a person acting on their behalf must use all reasonable efforts to ensure the EPC is obtained within 7 days. A further 21 days is allowed if after using all reasonable efforts the EPC cannot be obtained within 7 days.
An estate or letting agent may on occasions provide a prospective buyer or tenant with a copy of the EPC. However, it remains the responsibility of the seller or landlord to make sure that a valid EPC has been given free of charge to the person who ultimately becomes the buyer or seller.
The energy performance indicator of the building as shown on the EPC, for example, C, must be stated in any advertisements in the commercial media. Failure to do so could result in a fine of £200 per advertisement.
EPC on sale or rent
When existing buildings are sold or rented out, the seller or landlord must make available an EPC at the earliest opportunity and no later than when a person:
- requests information about the building, the time at which the seller or landlord first makes available any information in writing about the building, or
- makes a request to view the building, the time at which the person views the building
And must give, free of charge, a valid EPC to the person who ultimately becomes the buyer or tenant.
Transactions not considered a sale or rent
EPCs are required in all instances of sales or rent, except those set out above (Situations where an EPC is not required). However, not all transactions are considered to be a sale or let. These will include:
- lease renewals or extensions
- compulsory purchase orders
- sales of shares in a company, where buildings remain in company ownership
- lease surrenders
There may be other types of transaction that it might be argued do not require an EPC, for example, living accommodation at a workplace and tied to a job or not-for-value transactions, but this will depend on the individual circumstances of each case.
DCLG is unable to provide specific advice regarding whether any specific activity is or is not sale or rent. If in doubt, legal advice should be sought.
Mike Gordon
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