New DPE 2027 : Calculation, Reform, and Consequences for Homeowners

From January 1, 2027, France's Energy Performance Certificate (DPE) calculation will change, with the electricity primary energy conversion factor decreasing from 1.9 to 1.7. This reform could improve the energy ratings of many properties, particularly electrically heated homes and certain F- or G-rated properties, without renovation work. Eligible property owners will be able to obtain an updated energy rating certificate through ADEME. The reform may affect rental eligibility and property values, alongside France's phased rental restrictions for G-rated homes since 2025, F-rated homes from 2028, and E-rated homes from 2034. However, energy-efficient renovations remain essential for improving comfort and reducing actual energy consumption.

From January 1, 2027, new Energy Performance Certificate (DPE) rules will come into effect in France. This highly anticipated reform is expected to have a tangible impact on hundreds of thousands of property owners. Thanks to an adjustment in the electricity conversion factor, many properties currently classified as energy-inefficient homes (rated F or G) could improve their energy rating without any renovation work.

Following an initial change in 2026, the electricity conversion factor will decrease from 1.9 to 1.7 on January 1, 2027. At the intersection of climate policy and the real estate market, this development marks another important step for property owners across France.

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1. What is the DPE and why is it changing?

The DPE (Diagnostic de Performance Énergétique), or Energy Performance Certificate, is a mandatory assessment when selling or renting out a property in France. It assigns an energy rating ranging from A (highly energy-efficient) to G (extremely energy-intensive), based on primary energy consumption, the heating system, property size, insulation quality, and greenhouse gas emissions.

The 2027 reform introduces another adjustment to the assessment method, particularly regarding the conversion factor used for electrically heated properties. The objective is to better reflect the characteristics of France's electricity generation mix and make DPE calculations more favorable to properties using electricity.

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2. How to calculate your future DPE rating for a fully electric property

Before the reform officially takes effect in January 2027, property owners can already estimate their future primary energy consumption using a simplified calculation method. This method applies only to fully electric properties.

The CEP (Consommation d'Énergie Primaire), or Primary Energy Consumption, represents the amount of energy consumed by a property after applying an official conversion factor. You can find this figure on your existing DPE certificate, expressed in kWh/m²/year.

For a DPE currently calculated using the 1.9 conversion factor, the simplified formula is:

New primary energy consumption = Previous primary energy consumption × (1.7 / 1.9)

Once calculated, this figure can be compared with the applicable thresholds to estimate a potential change in energy rating, while also considering greenhouse gas emissions.

Practical example

An electrically heated property currently has a primary energy consumption of 450 kWh/m²/year, calculated using the 1.9 conversion factor.

New primary energy consumption = 450 × (1.7 / 1.9) = approximately 403 kWh/m²/year

The primary energy consumption used in the DPE calculation therefore decreases by approximately 47 kWh/m²/year, representing a reduction of just over 10%.

Please note: this simplified method provides an estimate only. The official DPE calculation also takes other factors into account, particularly greenhouse gas emissions, which may determine the property's final energy rating.

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3. What exactly changes in 2027? An updated DPE calculation

Through an order dated August 19, 2026, the French government officially confirmed the revision of the electricity conversion factor, which will decrease from 1.9 to 1.7 from January 1, 2027. Although this may seem like a technical adjustment, it will have significant practical consequences for many property owners.

This change matters because the conversion factor is used to convert final energy consumption (the energy actually consumed by a property) into primary energy consumption, one of the reference values used to determine the property's energy rating.

Electricity, which has already benefited from a more favorable calculation since the 2026 reform, will therefore receive a further adjustment in 2027.

This development aims to better reflect the characteristics of France's electricity generation mix. According to the French government, 95% of electricity produced in France comes from low-carbon sources.

With this reform, electrically heated properties will no longer be penalized by such a high conversion factor. As a result, some properties may improve their energy rating and no longer be classified as energy-inefficient homes, even without carrying out renovation work.

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4. Which properties will benefit from the reform?

According to the French government, the revised conversion factor will improve the DPE rating of a significant number of electrically heated properties. No property will receive a lower energy rating as a result of this adjustment.

The main types of properties concerned include:

• Electrically heated properties: these have historically been disadvantaged by a relatively high conversion factor, even when their actual energy consumption was moderate. The revised method will provide a fairer assessment of their energy performance.
• Small properties (studios and one-room apartments): these often receive lower energy ratings because DPE consumption is expressed per square meter. Some may benefit from improved ratings without major renovation work.
• Properties equipped with efficient electric systems: particularly heat pumps, certain modern electric radiators, and thermodynamic water heaters.
• Properties currently rated F or G: considered highly energy-inefficient, particularly when equipped with electric heating systems. For some of these properties, the reduced conversion factor could be enough to move them into a better energy category without additional work.

For these properties, the reform represents a potential opportunity to increase their value, with direct consequences for their regulatory status, rental eligibility, and position in the real estate market.

Key figures to remember

• 1.7: the new electricity conversion factor applicable from January 1, 2027.
• 850,000 properties: the estimated number of homes that could move out of the F and G energy categories following the reduction of the conversion factor from 2.3 to 1.9 in 2026, based on the stock of primary residences as of January 1, 2023.
• 4.8 million: the number of highly energy-inefficient primary residences recorded as of January 1, 2023, according to the same estimates.
• 140,000 properties: the number of homes no longer classified as F or G following the reform of DPE thresholds for small properties, which took effect in July 2024.

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5. What are the consequences for landlords?

The value of your property could be directly affected by the DPE reform. Under the current regulatory timetable in mainland France:

• Since January 2025: properties rated G can no longer be offered for rent under the residential tenancy agreements concerned by these restrictions.
• From 2028: the rental restrictions will also apply to F-rated properties.
• From 2034: the restrictions will be extended to E-rated properties.

With the revised calculation method, some landlords may see their properties move out of the least energy-efficient categories without undertaking extensive renovation work.

This is a particularly valuable opportunity for electrically heated properties, including those fitted with inertia radiators, heat pumps, or thermodynamic water heaters.

However, an important point to remember: a property moving from a G to an F rating under the new calculation method will still be affected by the 2028 deadline. To remain eligible for rental after that date, it must achieve at least an E rating until the next regulatory deadline in 2034.

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6. What are the potential risks for tenants?

Some industry professionals have raised concerns about the potentially theoretical nature of these improvements. A poorly insulated property may still consume large amounts of energy, even if its DPE rating improves. Tenants could therefore continue to face high energy bills.

This is why actual energy-efficiency renovations remain recommended, including insulating walls, replacing outdated electric radiators, improving windows, and optimizing heating equipment.

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7. Why is the new conversion factor so important?

The conversion between final energy and primary energy is central to the DPE calculation.

• For gas and heating oil: the conversion factor is 1.
• For electricity: the previous conversion factor was 2.3, reduced to 1.9 in 2026, and scheduled to decrease further to 1.7 from January 1, 2027.

The revised factor provides a more favorable assessment of low-carbon electricity in DPE calculations and adapts the methodology to the characteristics of electricity production in France.

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8. Which renovations are still worthwhile despite the reform?

Even if your property achieves a better DPE rating, it may still consume significant amounts of energy without targeted improvements.

Several renovation projects can help improve your property's long-term energy efficiency:

• Replace outdated electric radiators with more efficient heating appliances and improved temperature controls.
• Improve insulation in walls, attics, or windows to reduce heat loss.
• Install a thermodynamic water heater to improve the efficiency of domestic hot water production.
• Optimize energy consumption through smart home technology and heating controls.

These improvements can help reduce actual energy consumption, increase occupant comfort, and enhance the property's long-term value, even when its energy rating has already improved as a result of the reform.

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9. FAQ – Frequently asked questions about the 2027 DPE reform

Will my DPE still be valid after January 1, 2027?

Yes. DPE certificates issued before this date remain valid according to the applicable regulatory validity period, generally 10 years for recent certificates. From January 1, 2027, eligible certificates may benefit from a free energy rating update when the new conversion factor affects their classification.

Will my energy rating change automatically?

New DPE certificates issued from January 1, 2027 will automatically incorporate the 1.7 conversion factor. For an existing DPE, it will be possible to obtain an updated energy rating certificate through ADEME without commissioning a new assessment, provided the revised calculation improves the property's rating.

Can I already find out whether my property's rating will improve?

An estimate can be made using the new electricity conversion factor. The Lodgis DPE simulator will soon be updated to help property owners estimate how the reform could affect their property's energy rating.

Does the reform only apply to electrically heated properties?

The reform concerns the electricity conversion factor. Properties mainly heated with electricity are therefore the most likely to benefit, but properties using other energy sources may also be affected through their electricity consumption. Gas and heating oil consumption do not directly benefit from the reduced factor.

Is an improved energy rating enough to rent out my property again?

It depends on the new rating achieved. In 2027, G-rated properties cannot be offered for rent under the tenancy agreements concerned. F-rated properties may still be rented out, but will become subject to the restrictions scheduled for 2028. To remain compliant with the regulatory timetable beyond 2034, properties will need to achieve at least a D rating, unless regulations change in the meantime.

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Conclusion: new opportunities for property owners

The 2027 DPE reform represents a valuable opportunity for many landlords across France. Thanks to the revised calculation factor, some properties could become eligible for rental again or gain appeal in the real estate market, without requiring extensive renovation work.

By better recognizing the use of low-carbon energy sources such as electricity, this reform could help many properties achieve improved energy ratings. A simulator will also make it easier to estimate potential improvements in a property's energy classification.

At Lodgis, specialists in furnished rentals, we closely monitor these regulatory changes and help property owners protect and enhance the value of their real estate investments.

Would you like to anticipate how this reform could affect your property? Feel free to contact us. Our teams are here to provide advice and support you with your real estate project.