Property insights by Johnny Gannon, Fair Deal Property
Something fundamental is shifting in Galway’s housing market. A quiet but powerful revolution is now under way, one driven not by interest rates or housing supply, but by energy efficiency and the State’s unprecedented financial support for upgrading private homes.
The ‘One-Stop Shop’ Retrofit scheme is one of the most important housing policy developments in Ireland in years, and its recent expansion under the National Residential Retrofit Plan 2026 will have profound implications for homeowners, buyers, sellers, and the property market overall.
For the first time, the Government, through the Sustainable Energy Authority of Ireland (SEAI ), is covering up to €37,250 of the cost of upgrading private homes, with grants covering up to 50 per cent of the overall upgrade costs. Crucially, the new framework removes the previous anomaly whereby meaningful grant support was largely confined to vacant or derelict homes, a relatively small subset of the overall housing stock. The updated scheme now opens eligibility to occupied homes, unlocking thousands of properties across Galway and beyond that are in need of improvement, and presenting a major opportunity for homeowners to enhance and upcycle the value of their assets.
In effect, the State has become a co-investor in Ireland’s housing market and buyer behaviour is already changing.
Energy efficiency is no longer a secondary feature. It is now a primary driver of value. Nationally, A-rated homes are achieving premiums that can exceed €90,000 compared to less efficient properties. In Galway, this effect is even more pronounced due to our older housing stock and our Atlantic climate.
This shift is profoundly important because it changes how buyers think. Instead of avoiding older homes, many purchasers are now factoring retrofit grants into their purchasing decisions. A home that may have once seemed inefficient or outdated can now be upgraded to modern standards with substantial State support. This effectively expands the pool of viable housing stock and increases the attractiveness of homes that may previously have been overlooked.
For sellers, this represents a major opportunity. Properties that might once have been penalised due to lower BER ratings can now be presented with a clear pathway to improvement. Buyers are increasingly focused not just on what a property is today, but on what it can become. This change in perception is helping to stabilise demand across a wider range of property types and vintages.
Most importantly, this scheme represents a rare example of the State directly funding the modernisation of privately owned housing at scale. By reducing the financial burden of upgrades, the Government is improving the quality, efficiency, and long-term sustainability of Ireland’s housing stock while simultaneously supporting property values and market confidence.
The long-term impact will be increased liquidity, improved housing standards, and a more balanced market overall. For buyers and sellers alike, the message is clear: energy efficiency is no longer a barrier. It is now an opportunity.
For more information visit www.fairdealproperty.ie
