Generally the conversation around ‘green’ homes is around their reduced impact on the environment. This is achieved through greater efficiency, drawing less power from the grid, using environmentally friendly building materials, and making use of renewable resources (ie solar panels).
Rightly so as these are all important factors, but what’s an added bonus to going green? Energy efficient homes sell for more.
Energy Upgrade California in Los Angeles County, funded three case studies that found homes upgraded with energy saving features sold for 9% higher than homes that were less energy efficient. While Earth Advantage institute in Portland reported “that efficiency-labeled homes sold for 30% more than non-labeled homes in 2011.”
In Australia, the Australian Capital Territory mandates the disclosure of an energy star rating for all homes. This is a rating out of 10, with 6 being the minimum rating required for any newly built homes. They found that “Compared with three-star properties, properties rated five and six stars attracted premiums of 2 and 2.4 percent respectively. But properties that went further on energy efficiency to gain a seven-star rating attracted heftier premiums of up to 9.4 percent.”
Redfin analyzed U.S. neighbourhoods and found that homes with green features sold for $33,894 (about 7%) more than the median sale price of all homes in the cities Redfin Analyzed.
Going green doesn’t have to be all solar panels and triple pane windows, it also includes installing low-flow faucets and energy efficient appliances. Depending on your home some improvements may be easier and more realistic to implement.
Energy efficient upgrades do take some upfront capital, but they make your home more comfortable, save money on your utility bills, reduce your environmental impact, and based on the studies, allow you to charge a premium when you sell you home. Sounds like a win-win to me.