Skip to Content

Blog

Order your policy now! And Have It In Time For Closing

New EPA Mandates: What Real Estate Agents Need to Know

Starting in 2025, the Environmental Protection Agency (EPA) has implemented new mandates aimed at reducing environmental impact from HVAC systems. The new mandates are part of an effort by the EPA to reduce the dispersion of hydofluorocarbons present in refrigerant, thus lessening the impact on climate change. For real estate agents, staying informed about these changes is crucial for guiding clients through the buying and selling process. Here’s a breakdown of what these mandates mean and how a home warranty can help ease the transition for your clients.

Key Changes in the 2025 EPA Mandates

Refrigerant Transition:

  • Air conditioning systems using R-22 and R-410A refrigerants are being fully phased out. The new refrigerants, R-32 and R-454-B, have significantly lower Global Warming Potential (GWP) ratings.
  • Real estate agents should inform buyers about the type of refrigerant their potential property uses and the implications for maintenance or upgrades.

    What does this mean?

    • The new refrigerants cannot be used in older systems. Using them in older systems is a potential explosion hazard!
    • If parts are not available for old systems, customers have no choice but to upgrade the entire system.
    • New refrigerant is flammable – this means new safety sensors and installation requirements, which can impact costs.
    • Homeowners can expect a 15-30% increase in cost compared to existing equipment.
    • R-410A systems can technically still be installed throughout 2025, but will be phased out completely beginning in 2026.

    These new mandates went into effect on January 1st, 2025. And remember, Choice Home Warranty plans cover the cost of refrigerant 100% – so make sure your buyers have a CHW policy at closing!

    Back to top