Real Estate Articles

Green Remodeling Becoming More Popular

Friday, March 19, 2010

Energy efficiency is the most popular reason why consumers choose a green remodeling project, and REALTORS® say it's becoming an increasingly important factor among buyers in their decision to purchase a home.

According to the 2009 NAR Profile of Home Buyers and Sellers, many buyers considered environmental efficiency and commuting costs very important when evaluating their options. Energy efficient appliances and energy efficient lighting were also "very" or "somewhat" important to a majority of buyers. Forty percent of all buyers said heating and cooling costs were a "very important" environmentally friendly feature in a home.vironmentally friendly feature in a home.A long commute to and from work or in running errands, can likewise affect commuters' wallets. The NAR survey found that commuting costs were "very" or "somewhat" important to 78 percent of home buyers.

According to the National Association of Home Builders, the U.S. has 125 million single-family homes with the majority built before energy-efficiency developments. The results of survey conducted by NAHB suggest a huge market for green remodeling - 72 percent of consumers stated energy efficient features in a home would influence their purchase decision and that 61 percent of consumers said they would spend more than $5,000 upfront to save on utility costs.

Why so much interestto go green? Green remodeling incorporates sustainable, durable, and healthy design into the renovation of existing homes. A house with poor energy efficiency tends to result in higher electricity bills. Increasing energy efficiency can offset the monthly costs of a home equity loan by dramatically lowering energy bills. Also, green remodeling can adapt a home to regional conditions like natural landscaping, provide increased comfort, better air quality, and make a home easier and less expensive to maintain.

Eighty-five percent of remodelers surveyed by the National Association of Home Builders already incorporate low-emmisivity windows into their projects; 68 percent have installed insulated exterior doors; and 65 percent have upgraded existing insulation. According to NAHB, over 75 percent of remodelers use building techniques that minimize the amount of lumber taken from old-growth forests, such as recycling from previous structures and using engineered lumber; 65 percent already incorporate recycled or recyclable materials into their projects.

"More buyers are recognizing the importance of a home's green qualities," said Jeff Bell, president of the Silicon Valley Association of REALTORS®. "I would suggest asking a REALTOR® how important energy efficiency is to their clients. REALTORS® have a sense of how a buyer can tell if a property is 'green,' and energy saving features that are important to prospective buyers."

Here are ways to increase energy efficiency:

  • Install appropriate insulation in your home.
  • Install high-efficiency windows instead of those that minimally meet the energy code.
  • Seal all exterior penetrations in areas being remodeled.
  • Purchase only Energy Star®-rated appliances and upgrade to at least an Energy Star®-rated water heater, or better yet, a tankless water heater.
  • Install only low-flow water fixtures.
  • Purchase the highest efficiency HVAC system you can afford and make sure it is correctly sized for the area you want to condition.

The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.

The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.

Variations of this article have appeared in local area newspapers.

For further information, please email or call the SILVAR office at (408) 200-0100.

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