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What is a 7 star NatHERS energy rating?

NatHERS (Nationwide House Energy Rating Scheme) rates homes from 0–10 stars based on modelled heating and cooling energy use. 7 stars became the minimum for new homes under the National Construction Code 2022, up from 6 stars.

Does 7 stars cost more to build?

Generally yes — a 7-star home may cost $5,000–$20,000 more than a 6-star equivalent, depending on design and location. Measures include better insulation, double glazing, and improved building orientation.

What makes a home achieve 7 stars?

Common measures include improved ceiling insulation (R5.0+), bulk wall insulation, double or triple glazed windows, draught sealing, better building orientation, and efficient mechanical systems.

Is 7 stars mandatory now?

Yes. From May 2024, all new homes in Australia must achieve at least 7 stars NatHERS under the National Construction Code 2022.

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Energy Efficiency

7 Star Energy Rating Explained

What Australia's 7-star NatHERS energy rating requirement means for your new home — what changes, what it costs and how builders are responding.

5 min·Compare My Build — Independent Resource· Updated June 2025

Introduction

From May 2024, all new homes in Australia must achieve a minimum 7-star NatHERS (Nationwide House Energy Rating Scheme) rating under the National Construction Code 2022. This is a significant increase from the previous 6-star minimum and has direct implications for what your builder must include and how much your home may cost.

Feature	6 Star (Old Minimum)	7 Star (New Minimum)
Ceiling insulation	R4.0 typical	R5.0–R6.0 typical
Wall insulation	Optional in some climates	Required in most climates
Windows	Single glazed	Double glazing may be required
Draught sealing	Basic	More comprehensive
Typical annual energy saving	Baseline	~20–25% improvement
Build cost difference	Baseline	+$5,000 – $20,000

Pros

+ Lower ongoing energy bills — estimated $600–$1,200/year savings vs 6 star
+ More comfortable homes — better temperature stability
+ Reduces reliance on heating/cooling systems
+ Better resale appeal as energy costs become a buyer priority

Cons

− Higher upfront build cost — $5,000–$20,000 more than 6 star
− Requires careful design and compliance — more complexity
− Some legacy builder designs may need redesigning to comply
− Ongoing compliance monitoring required

Cost Comparison

6 star baseline (old standard)Benchmark

7 star upgrade (insulation + sealing)+$3,000 – $8,000

7 star with double glazing+$8,000 – $20,000

Annual energy savings vs 6 star~$600 – $1,200/year

All new homes must achieve 7 stars from May 2024. Costs are now baked into builder pricing.

Common Builder Inclusions

›All builders must now include 7-star compliant specifications in their new designs
›Typical measures: R5.0+ ceiling insulation, bulk wall insulation, improved glazing
›Some builders use orientation and design to achieve 7 stars without premium glazing
›Confirm your NatHERS certificate will be provided at handover — it's now required