⚡️ Did you know? A better energy rating could save you $350–$1,500 a year on bills ⚡️🏠 Homes with higher NatHERS ratings sell for up to 10% more 🏠🌿 Australia's average home rating is just 2.9 out of 10 stars — find out yours 🌿⚡️ Did you know? A better energy rating could save you $350–$1,500 a year on bills ⚡️🏠 Homes with higher NatHERS ratings sell for up to 10% more 🏠🌿 Australia's average home rating is just 2.9 out of 10 stars — find out yours 🌿

7 Star Home — NCC 2022 Cost, Savings & How to Get There

Every new home built in Australia now needs a minimum 7 star NatHERS rating and a Whole of Home score of 60. Here's what that costs to build, what it saves, and the design levers that actually move the needle.

What is a 7 star home?

A 7 star home is a new Class 1 house or Class 2 apartment that meets the NCC 2022 minimum thermal-performance standard of 7 stars on the NatHERS scale. It uses about 25% less energy for heating and cooling than the old 6-star minimum, and it must also achieve a Whole of Home score of at least 60 — a separate calculation covering hot water, lighting, cooking, pool/spa and on-site solar.

The rating is issued by a NatHERS accredited assessor using approved software and lodged with the building permit application.

6, 7 and 10 stars compared

RatingHeating + cooling loadTypical annual bill (Melbourne)Notes
5 stars~155 MJ/m²~$1,650Pre-2011 minimum
6 stars~114 MJ/m²~$1,200Old NCC 2019 minimum
7 stars~85 MJ/m²~$900Current NCC 2022 minimum
8 stars~60 MJ/m²~$650Achievable with good design, no exotic tech
10 stars~0 MJ/m²~$0 heating/coolingPassive House territory

Bill estimates: 160 m² Melbourne home, gas ducted heating + split-system cooling, 2026 tariffs.

What 7 stars costs to build (2026)

ScenarioCost uplift vs 6 starsPayback (bill savings)
Well-oriented, standard footprint$0–$2,0003–8 years
Typical project home, corner block$2,000–$5,0006–12 years
Poor orientation, west-facing glass$5,000–$10,00010–20 years
Double-storey with feature glazing$7,000–$15,00012–25 years

Sourced from CSIRO/DCCEEW 2023 Regulatory Impact Statement and 2025 industry updates.

The design levers that get you to 7 stars

You almost never need every lever — a good assessor will pick the two or three cheapest for your plan and climate:

  • Orientation: living zones facing north, small openings west. Free star, done at concept stage.
  • Insulation: hit or exceed the R-value targets for your climate zone — ceiling R6.0+ in cold zones, R5.0 in temperate.
  • Glazing: Low-E double glazing on south/west, thermally broken frames in Melbourne, Canberra, Hobart.
  • Sealing: perimeter draught seals + draught proofing — cheapest star you'll buy.
  • Eaves & shading: 600–750 mm eaves on north-facing glass to block summer sun without losing winter gain.
  • Thermal mass: exposed concrete slab in living zones — free in a slab-on-ground build.

Whole of Home 60 — the second target

NCC 2022 pairs the 7-star thermal rating with a Whole of Home score of at least 60. It's a separate calculation covering hot water, lighting, cooking, pool/spa and on-site solar/battery. The easiest way to hit 60 is a heat-pump hot-water system, LED lighting throughout, and a small (3–6 kW) rooftop PV array — most new-builds land at 70–90 with those three moves. See our Whole of Home assessment guide.

Get quotes from a 7-star-ready assessor

Every assessor in our directory is NatHERS accredited and set up for NCC 2022 — thermal rating + Whole of Home on one certificate. Compare quotes and choose the practitioner who fits your build.

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