Marketing Energy Efficient Features and "Green" Attributes of a Home to Increase Its Market Value

How many times have you purchased a new home without reviewing a 12 month history of the utility bills for the home? If I were your agent, the answer would be "NEVER"! As a Certified EcoBroker. I have learned to market one of a homes most valuable features, its monthly expenses! In my opinion, many agents miss the mark on this issue. How many times has a new homeowner received the shock of their life in the form of an overwhelmingly high gas bill during the dead of winter or a sky high electric bill during the summer time when the air conditioner is running at its highest level?

It is very important for a prospective buyer to understand that the seller has taken the necessary precautions to guard against the highs and lows of a utility crisis. This could be a major selling point when buyers are making a decision between two very similar homes.

There are several ways that sellers can take advantage of energy efficient features to increase the value of their home, some of these items include:

1. Programmable Thermostat - lowers your heating and cooling expenses by 30-40% annually
2. Energy Efficient Appliances - decreases consumption of electricity, gas and water up to 50%
3. Energy Efficient Windows - decreases heating loss or gain and lowers annual heating costs up to 40%
4. Energy Star Certified products - homes tend to be 20-30% more efficient and can generate a federal tax incentive up to 25%
5. HERS index - A rating system for the Home Energy Rating System
6. Insulation with a greater 'R' value - could increase your heating savings by 20-30% monthly
7. Lighting - CFL's and LED's offer an average savings of $30 over the life of the bulb.
8. Site Design - including natural daylight, landscaping and shade trees as a factor on natural heating/cooling
9. Plumbing - low flow toilets, showers and faucet aerators
10.Indoor Air Quality - increased ventilation, low VOC paint, lead

If you'd like to get an edge on your competition, make sure you hire an agent who is well educated in these area's and can orchestrate a proper marketing approach to making your home stand out in a sea of similar homes. An agent with the designation of Certified EcoBroker is your best option but if you can't locate someone in your market, simply interview each agent by asking what features they would highlight to showcase your home's Energy Efficiency and 'Green' attributes.

15 Energy Efficient Tips For Your Home

The ideas listed here are are just some of the items that can be done to lessen your energy expenditures month in, month out. They have low or no fees and may be performed quickly to allow you to be secure, comfy all the while helping the environment and being economical. Share these with the whole family and try to get each person included.

1. Install a programmable thermostat in order to maintain your own home pleasantly heated in winter and adequately cool in the summertime.

2. Take advantage of compact fluorescent light bulbs using the ENERGY STAR® label.

3. Air dry the dishes as opposed to using your dishwasher's drying cycle.

4. Put off your PC and keep track of when not in use.

5. Connect home electronics, including TVs and DVD players, right into power strips; flip the power strips off if the products are not in take advantage of (TVs and DVDs in standby mode still employ several watts of power).

6. Lower the thermostat on your hot water heater to 120°F.

7. Take short showers as opposed to baths.

8. Clean mainly full loads of the dishes and clothes. With clothing take advantage of cold water.

9. Drive shrewdly. Aggressive driving (racing, quick acceleration and braking) squanders gasoline

10. Check for the ENERGY STAR label on home appliances and merchandise.

11. Ensure your appliances and heating and cooling systems are correctly cared for. Check your owner's manuals for the suggested repair.

12. Search for open fireplace dampers and make certain they are closed when not in use.

13. Look at the insulation values in your attic, exterior and basement walls, ceilings, floors, and crawl spaces.

14. Look at for holes or cracks around your walls, ceilings, windows, doors, light and plumbing fixtures, switches, and electrical outlets that can leak air right into or out of your home.

15. You may also get the assistance of a professional. Many utilities execute energy audits for free or for a small charge. For a fee, a professional contractor will analyze how well your home's energy systems interact with each other and compare the analysis to your bills. He or she will making use of a variety of equipment such as blower doors, infrared cameras, and surface thermometers to find leaks and drafts. After gathering information about your home, the contractor or auditor offers you a list of recommendations for cost effective energy improvements and enhanced comfort and safety. A professional licensed contractor can even calculate the actual gain on your investment in high-efficiency products in contrast to normal equipment.

Is Energy Efficient Design Really Just a Fad?

Sustainable living is not only a growing business and news trend, it is also the direction home design and construction must move towards as valuable, limited resources become increasingly sparse for our growing population. Energy efficiency in the home building industry will remain the focus of some progressive, forward thinking companies, but not all of them. But when will this focus on efficient design become a commonplace reality of modern home design?

The conservation of energy, as part of the design process itself, is not the main focus or even a standard practice in the site built home construction industry or in the manufactured, modular and pre-fabricated home industries. Comparing these two categories of home building, I am confident that if the average consumer compared major site built home companies to the high-end factory built home builders, their ultimate conclusion would be that the factory built home builders put more emphasis on energy efficient design, and have a much more inherently efficient building process, than their site built counterparts. If the future of home construction will be heavily influenced by efficient design, why, then, aren't more site built and factory built home construction companies currently working towards this end?

There are three main reasons why more homebuilders, factory built or otherwise, are not working swiftly towards energy efficient design within every home they build. These reasons are: first, the cost of new design plans that are energy efficient is greater than sticking to standard practices; second, many of these homebuilders do not have the technical aptitude or interest to undertake energy efficient design, and lastly, consumer demand has not reached a fever pitch.

As a homebuilder, it takes serious commitment of financial and human resources to develop a new product line or commit a company completely towards green design. Those in charge of making these financial decisions must determine if their new energy efficient design will easily fit within the framework of existing building codes. They must also consider whether or not the commitment to energy efficient design will be rewarded by a consumer base willing to pay for an extremely efficient home. Consumer demand, therefore, is extraordinarily important in making these decisions.

At present, there are two main issues affecting consumer demand: first, education on the benefits and implementation of energy efficiency; and second, the general uncertainty and pessimism that lingers from the recent meltdown in housing brought about by "McMansion" sprawl. in our recovering economy, many consumers are focused on basic necessities, obtaining benefits and features consumers are currently familiar with, and of course the overall price. The purchase price and anticipated resale value of a home is far more important than green design in the minds of many consumers as the notion of never-ending home equity growth has been dashed by the recent debacle with mortgage lending. However, this will most likely change in the future substantially.

Regardless of if our economy remains sluggish or worsens, it remains likely that the price of electricity, water and gas will increase. We have seen this in the price of gasoline. Throughout the economic crisis, gas prices have risen and fallen and, in California, we are still paying over $4.00 per gallon. Whereas the price of gasoline peaked at over $5.00 a gallon a few years ago, we have not seen the price of gas drop to pre-recession levels. If our economy improves substantially, what incentive do the producers of gasoline, electricity and heating oil have to reduce the price of their commodities? None really. And with a growing population, the scarcity of these resources will always command a higher value in the eyes of commodity owners and producers.

Energy efficient design is really a niche in the home building industry. It is definitely not a standard practice. There is a trend towards energy efficient design because a segment of the population is very concerned about the conservation of energy and sustainability. Green builders must compete to win the attention of this consumer niche. However, over time, considering the scarcity of resources, growing population and lack of any incentive for owners and producers of commodities to reduce their premiums, energy efficient design will be a standard practice and those home builders that invest the time, energy, and financial resources in to energy efficient design today, will reap significant benefits in the future.

What Is A Net-Zero Energy Efficient Home?

Energy efficient homebuilders are constantly improving on design and sustainability to offer solutions to consumers that really want the most efficient home on the planet. The balancing act that an green home builder must pull off is not an easy feat: they need to provide a home with the creature comforts we have all come to take for granted and, at the same time, they must also provide a measurably superior alternative in their offerings that the public will appreciate and be able to afford. Value is exceedingly important given our current economic situation in America.

In the past, energy conscious design was exceedingly expensive and, in turn, was not something the average consumer could afford even if they could appreciate the fact that energy saving homes are good for the environment. Now, building homes that are so efficient they can nearly power themselves is not only technologically possible, but consumers can obtain these superior products for the same price range as a standard, site built home. While these homes go by many names, manufacturers refer to affordable, efficient homes as "Net-Zero energy efficient homes."

Net-Zero energy efficiency aims at supplying the total electrical needs of a household. The goal of the Net-Zero home building process is two-fold: first, to supply the total energy needs of a home and second, to do so at the least possible expense. Some critics of the phrase "Net-Zero energy efficiency" claim they can achieve the same results of a Net-Zero home by merely by adding a large number of solar panels to any home they build. In all fairness, it is true that you can supply all of the electrical needs of a home by adding a lot more solar panels, but this is not nearly as efficient, effective or economical as designing a home and its various components as a system that seeks to reduce energy consumption from as many points of design as possible.

The goal of Net-Zero design should be, then, not to add as many expensive solar panels as required, but to reduce the overall electrical consumption of a home such that the least amount of expensive solar photovoltaic system components need be used.

The reason that many homebuilders are not moving in the direction of improving efficiency is because the research and development costs alone are enormous. However, the builders that do not match pace with efficient designers will, in the future, lose market share to more forward thinking homebuilders.

Owning a green home is possible. In fact, you can buy a custom, factory built home now for the same cost of many standard site built homes that you find in common residential tract neighborhoods. In residential tract neighborhoods, you can add an island in your kitchen, but you can't move entire walls or add to square footage significantly; you buy exactly what the developer offers in standardized plans. Custom, factory built homes differ in that you have far more control over design and the end product. Perform research online about Net-Zero homes and solar homes and you will come to find that there are a number of viable options available at a wide range of prices.

Energy Efficient Mortgages + Distressed Real Estate = A Match Made in Heaven!

The housing market crash resulted in a surge in foreclosures and bank owned properties, especially in the Miami market. Foreclosures and REO properties are typically considered distressed properties because of deferred maintenance. If you're thinking of buying one of these properties, you should know that these distressed properties will likely need some work, and will seldom be move in ready. Homeowners in foreclosure often neglect essential upkeep, or worse, may even vandalize/strip their properties down vhen they learn that the bank is coming in to take over.

According to RealtyTrac, about twenty-five percent of all residential sales for the fourth quarter of 2010 were either REO (real estate owned) or short sales. On average, these homes sold for roughly forty percent less than comparable (non-distressed) homes. The undesirable conditions of these properties make most buyers walk. Given the current depressed economic climate, most homeowners are not eager or able to complete high-end remodeling projects. However, through an energy efficient mortgage (EEM; aka energy improvement mortgage) program, remodeling and renovating can be very affordable, requiring minimal, if any, out of pocket costs. And with the help of an energy efficient mortgage, these distressed properties can be transformed into ideal green homes.

Distressed properties may require simple sustainable projects, like replacing older features or upgrading basic systems to take advantage of energy efficient improvements, or more involved projects such as complete kitchen renovation. Maybe the place needs a new roof, new flooring, or has an electric system that is not up to code. EEMs allow the homebuyer to obtain financing to purchase a house in need of such repairs or modernizations, and incorporate the additional funds needed for the rehabilitation into the mortgage. EEMs allow for renovations and sustainable improvements up to $45,000, which, when rolled into the mortgage would result in a payment increase in the ballpark of $270.* That's much easier to swing than fronting $45K!!! This program is perfect for those who are first time home buyers, or for those with limited cash for a down payment/closing costs/renovation expenses.

So, if you want to get a great deal on a house but don't have the money that may be needed to renovate a foreclosed/REO property, think twice before you pass on buying a distressed property. An EEM may be just the solution for you!

*based on a 6% interest rate, 30 year amortization schedule

Certified in Energy Improvement Mortgages
FHA 203k
Specializing in distressed properties offering borrowers an opportunity rehabilitate the cost of energy-efficient "green" improvements.

What is an energy efficient home zero?

Energy efficient manufacturers are constantly improving the design and durability to provide solutions to consumers who want more efficient home on the planet. The balancing act that a constructor green homes must rid is not an easy feat: they need provide a House with the creature comforts we just all take for granted and, at the same time, they must also provide a superior measurable alternative in their offers public will appreciate and be able to offer. Value is extremely important, given the current economic situation in America.

In the past, energy design was extremely expensive and, in turn, was not something that the average consumer could afford even if they could appreciate the fact that energy efficient homes are good for the environment. Now, construction of houses that are so effective that they almost can feed themselves is not only technically possible, but consumers can obtain these products of superior quality for the same price as a standard, home built site range. While these houses go by many names, manufacturers of refer to effective and affordable houses as "zero homes efficient."

Zero net energy efficiency is designed to provide total needs of a household electricity. The purpose of the housing process void is double: first, to meet the total needs of a home energy and, secondly, at the least possible expense. Some critics of the term "zero net energy efficiency" say that they can achieve the same results of a net zero home by simply by adding a large number of solar panels in every home they build. In all fairness, it is true that you can provide all the electrical needs of a House by adding much more solar panels, but it is not nearly as effective, efficient or economical than design a House and its various components as a system which aims to reduce energy use by as many points of the design as possible.

The goal of zero net design should be, then, not to add panels of solar dear as needed, but to reduce overall power consumption of a home such as the less than components expensive solar photovoltaic system must be used.

The reason why many manufacturers do not move in the direction of improving the efficiency is because the only research and development costs are enormous. However, constructors that do not match the pace with effective designers, in the future, will lose market share to more forward thinking manufacturers.

It is possible to have a green home. In fact, you can buy a home built custom, now for the same price of site standard built many houses you can find residential neighbourhoods in common tract. In residential tract, you can add an island in your kitchen, but you can move whole walls or add significantly square feet; you buy exactly what the developer offers standardized plans. Custom, factory built houses differ in that you have much more control over the design and the final product. Conduct research online on houses zero and solar homes and you will arrive to the conclusion that there are a number of viable options to a wide range of prices.