Recently, the Colorado Energy Office in conjunction with The Appraisal Institute and The Lawrence Berkeley National Laboratory Library, (A U.S. Department of Energy National Laboratory operated by the University of California), released the findings of a study indicating the following information concerning the sale of solar structure:
- Solar can increase the value of a property
- Solar can decrease the time it takes to sell a property
As a matter of fact the Build It Green Website reports that 40% of real estate buyers believe the energy efficiency of a property is a “very important” consideration. Additional studies across a broad range of real estate organizations found that properties with an actual green rating sold for up to 10% more than those that were not officially rated as “green”.
Even when the real estate market was struggling, the sale of green properties enjoyed a boom. Perhaps the best indicators of the popularity of energy efficient structures is that the NARS (National Association of Realtors) and the MLS (Multiple Listing Services) have jumped on the green bandwagon with the introduction of The NARS Green Designation and the MLS Green Toolkit, respectively.
The NARS Green Designation, the only title conferred by the real estate industry itself, was designed to educate real estate personnel on matters of energy efficiency, sustainability and other green-related facts to enable them to accurately communicate with clients and contemporaries on energy related issues. The goal of the designation is to better serve the rising number of clients hoping to purchase energy efficient housing and/or buildings for commercial use.
The MLS Green Toolkit was designed to assist realtors in locating and linking healthy, energy efficient green properties in each community with the rising number of buyers seeking them. The toolkit’s well-defined plan of action should also facilitate the rapid dissemination and communication of information on available energy efficient structures among: brokers, buyers, sellers and appraisers.
For some home buyers, the word of a real estate salesperson won’t be any more adequate than seeing solar panels on the roof. These clients may require a Home Energy Rating System (HERS) certification.
When it comes to home sales a HERS rating is the most accurate and prestigious means of classifying the actual energy efficiency of a home. The rating index ranges from net zero to 150. In this case however, the lower the rating the better. A net zero rating for example, indicates that this home produces the same amount of energy it consumes. Net zero homes are highly sought by green buyers because they:
- Provide comfort while improving health
- Are eco-friendly because they emit no greenhouse gases
- Eliminate or significantly decrease temperature fluctuations
- Drastically reduce energy fees, and in many cases, eliminates energy bills entirely
These points are important for anyone navigating his/her way through the green property sales marketplace. Statistics indicate that buyers are willing to pay more for an energy efficient property…residential or commercial. On the other hand, we don’t need statistics to tell us people expect to get what they pay for. Informed buyers will want informed sellers. So whether you’re a private owner selling your home or a real estate professional…now is the time to get to know Green.
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