But many Australians remain confused about efficiency ratings and potential savings from energy upgrades, and those aged over 35 are more likely to take action.
Origin Energy and the REA Group revealed the findings from the second PropTrack Origin Australian Home Energy Report on Wednesday, which also found efficient lighting and solar panels were among the most popular ways to save energy.
The report comes after the re-elected Labor government committed $2.3 billion to cut the price of solar batteries by 30 per cent, although renewable energy groups say the program could cast a wider net.
The research, which surveyed more than 4800 Australians, found more than half (56 per cent) planned to improve their home's energy efficiency in the next five years, and 40 per cent would consider an all-electric household upgrade.
The number of people who would not consider disconnecting gas and swapping to electricity also fell from 31 per cent in 2024 to 28 per cent.
But the study also identified widespread confusion, with two in five reporting they did not know how to improve their household's energy efficiency and most respondents (71 per cent) saying they were unfamiliar with the Nationwide House Energy Rating Scheme.
People who were confident about energy-efficient upgrades were more likely to invest in them, REA Group senior economist Eleanor Creagh said, indicating greater education was needed.
"It does clearly highlight there's a gap in consumer knowledge, not just around rating systems but also around many energy-related terms," she told AAP.
"Those who did respond that they had a good grasp of those key terms, they were significantly more likely to have made upgrades, to have shifted energy behaviours, to plan further energy improvements, and to have higher projected budgets."
The study also found most households (70 per cent) had tried to reduce energy use and Australians aged over 35 were more likely to invest in energy upgrades.
Efficient lighting and solar power were the most popular energy upgrades, while glazed windows and home batteries were among the least popular, but Ms Creagh said that could shift with financial incentives from state and federal governments.
"Financial motivations were behind a lot of the decisions people were making in terms of energy-efficient upgrades in the home," she said.
Interest in home batteries had already started to soar after the incoming Labor government's commitment to reduce their cost by 30 per cent from July, Solar Citizens Heidi Lee Douglas said.
But the scheme should be extended to more households, she said, to ensure the greatest benefit.
"People in apartments and people in rental (homes) might feel like they're locked out of batteries," she said.
"We'll be putting pressure on Labor to come up with policies that support electrification and rooftop renewables for the rest of Australia."
