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Common Misconception: Brand New Homes don't Always Mean Energy-Efficiency

By
Real Estate Agent with Prudential Preferred Realtors

 Alright, alright.  I have to tell you that I love green.  Green to me means "Go", means $ signs, and also means a well-built house.  In fact, my next article was supposed to be about the first stages of building a green home, but realized that I need to back up a bit. 

In talking with several people, most people BELIEVE that when they buy a brand new home that they will have some of the qualities of a green-built home.  Some of characteristics of a green built home include:

 

  1. Energy - Efficiency  
  2. Safe for occupants (natural disasters etc.)
  3. More comfortable (temperature, humidity)
  4. Healthier environment
  5. Durable (Structural, moisture managed)

Honestly, you should expect those things in a new home but in reality, it is not always there.  Builders have to build to minimum code for construction and I hate to say it, but some do.  Meaning with today's market and economy everyone is looking at ways of cutting costs.  Other builders build a "good" home or at least they think so.  In fact, many of them think they are already building "Green" when in essence they truly are not.  That's why there are another set of requirements and a certificate that is issued when a builder actually builds a green-built home.

If you want to know the true definition of Green, here a few links about the history and where the term actually came from:

http://ezinearticles.com/?What-Does-It-Mean-to-be-Green?&id=82615

http://www.sustainabilityinstitute.org/dhm_archive/index.php?display_article=vn361greened

http://www.fastcompany.com/magazine/99/two-cents.html

http://www.commondreams.org/views05/0807-26.htm

Challenges and Common Misconceptions

  • Any Builder can claim to be "Green" - ask for proof and remember a truly green built home comes with a certificate.
  • Just because it is newly built, don't be deceived into thinking that you will have a comfortable and energy-efficient home.

 With the rising costs of gas and electric, most people today are looking for energy-efficiency.  After all, who wants to pay higher utility bills?  Some (especially those with families that have allergies and asthma) look at the indoor air quality as a big issue for them in their next home.  And of course, others are concerned about the waste and the environment.

 

If you have questions regarding a home being energy-efficient...

There are few things that you can do:

  1. You can always perform an energy audit and find out ways to increase your home's energy efficiency.
  2. If you are getting ready to build or are thinking of building, give me a call.  As a member of the Grand Rapids, Michigan Home Builders Association (GRHBA), I've done my research and would be happy to make some recommendations of builders that build a good "green" homes.

 

Tammy Stone
Prudential Preferred Realtors - Grand Rapids, MI
"Eco-Green" Agent in West Michigan

Charles - you are funny

Chris - I know the difference between the two but didn't want to confuse everyone with the differences of Energy Star and Green.  Most people have heard of "Green" and I did group it because energy efficiency is a part of the Green Built Home Certificate.  And of course, you are right... you have to look for more than just ENERGY STAR :)  Maybe you should write a blog between the differences of ENERGY STAR, GREEN, and LEED for Homes?

Michael - I'm part of the LEED group.  It's a great place to be, but also important to realize the difference between the different categories.  I consider LEED to be the Elite category for home building and a great program.

Joan - There are so many misconceptions.  The biggest is detrimental to the buyer who thinks they are getting a great home, specifically with energy efficiency and they truly don't.

Feb 05, 2008 08:32 AM
Tammy Stone
Prudential Preferred Realtors - Grand Rapids, MI
"Eco-Green" Agent in West Michigan
Side note: There's a lot more to: Energy Star, "Green", and the LEED program than one may think.  Make sure you do your homework if you are going to be advising a client on any of these programs or if they are thinking of buying an energy efficient home.
Feb 05, 2008 08:37 AM
Mary McGraw
GLREA - Rockford, MI
2015: Solar Energy Is Still A Simple Machine!

Hi Tammy - good post. I listened to an interesting discussion tonight in our Certified Energy Efficient group about a couple of relatively new homes (less than 5 years old) that have been audited because of energy inefficiencies the homeowners were experiencing. What was discovered in each of the homes were problems with insulation and sealing.

One of the homes had a bonus room over a 4 stall garage that wasn't insulated properly - the bonus room was at 55 degrees while the rest of the home was comfortable after improvements. Just think of the exhaust they must also be pulling into that room! Great points!

Feb 05, 2008 11:07 AM
Rob Clark
MKB, REALTORS - Roanoke, VA

Hi Tammy,

You raise some good points. Now that "green" is gold to many people (and businesses) it is important to be on the lookout for "greenwashing". I'm afraid it is inevitable.

Feb 05, 2008 11:46 AM
Anonymous
Chris Hall
Good idea on the post. That is one of the items I am going to discuss at our upcoming workshop. Anyone in West Michigan is welcome. Just drop us an email or give us a call to RSVP. The more homes certified under these programs the better--whether GreenLife Homes builds them all or other builders do...well. Actually, I'd rather build them all ; )
Feb 05, 2008 02:46 PM
#10
Reuel Grierson
The Millworks of York Co. - York, SC
The Millworks of York Co.

Tammy,

Nice!  But you have to remember all that green stuff costs more, and building is a very competitive biz.

It goes back to the old saying "You get what you pay for".  SIPs are starting to come of age in construction, and tankless water heaters as well.  All this will help save energy.  The most important thing is to get people to pay for it.

Feb 05, 2008 02:46 PM
Tammy Stone
Prudential Preferred Realtors - Grand Rapids, MI
"Eco-Green" Agent in West Michigan

Mary - We had the same issue with a bonus room over the garage in our last house.

Rob - "Greenwashing" is a huge problem.  That's why I tell people to do their homework. I know of so many people claiming to be "green".

Chris - shoot me a reminder email on the workshop

Reuel - Green may cost more in the beginning (although I really want to argue that point) but will pay off in the longer run if the home is built better and more durable.  I think you said it best when you said, "You get what you pay for."

Feb 06, 2008 01:11 AM
Charles Buell
Charles Buell Inspections Inc. - Seattle, WA
Seattle Home Inspector
Tammy, along with your response to Reuel, I would add that you should be able to build "green" cheaper.  If it costs more, one is most likely using technologies that are not really Green.  I was a design/build general contractor for over 30 years and built many houses that would be considered "Green" that cost far less than conventional houses---this was in the late 70's and early 80's near Syracuse NY.  These were passive solar super insulated houses---with virtually no heating systems (by conventional standards:) I would also argue that charging more for a home because it is green-----is in itself not green (or at least anti-green).
Feb 06, 2008 02:45 AM
Tammy Stone
Prudential Preferred Realtors - Grand Rapids, MI
"Eco-Green" Agent in West Michigan
Charles and Chris - Thanks for the comments
Feb 06, 2008 05:14 AM
Gary White~Grand Rapids Home Selling Pro Call: 616-821-9375
Flexit Realty "Flexible Home Selling Solutions" - Grand Rapids, MI
Real Estate Services You can Trust!
Hi Tammy, you spent a lot of time and homework on this post.  It is easy to see why you are the authority on "Green" homes in the Kent County area.  Nice post.
Feb 10, 2008 11:06 AM
Tammy Stone
Prudential Preferred Realtors - Grand Rapids, MI
"Eco-Green" Agent in West Michigan

Thanks Gary,

Always continually learning about the "Green" movement.  So much to learn, so little time but it's fun!

Feb 10, 2008 12:54 PM
Stephanie Edwards-Musa
thredUP.com - The Woodlands, TX
knitwit at thred UP
Hi Tammy, this is great stuff and very informative. Awesome job!
Feb 12, 2008 12:38 PM
Daniel Sundberg
Crystal Springs Real Estate - Kentwood, MI

Off all things I drove by a house today and saw a sign in the front yard..  Its on M57 West of Greenville if your interested..  The sign said:  

This Homes Utility bills are less than a $1000 a year!!!

 

Feb 19, 2008 01:00 PM
Tammy Stone
Prudential Preferred Realtors - Grand Rapids, MI
"Eco-Green" Agent in West Michigan

Stephanie - Thanks for the compliment.  It's regarded highly- Miss Queen of Green.

Daniel - Like the sign.  How about a better address? :) P.S. Is it FSBO? :)

Feb 19, 2008 08:23 PM
Eric Hughes
Image Design, LLC - East Grand Rapids, MI
the green home designer

Great post Tammy! Green is just as affordable as a standard home. The Green builders I work with are building at the same cost per square foot as my builder that are not building green.

 

 

Feb 20, 2008 03:43 AM
Tammy Stone
Prudential Preferred Realtors - Grand Rapids, MI
"Eco-Green" Agent in West Michigan
Eric ~ it would be a great post to somehow show proof that building green isn't necessarily more money.  People automatically think it's more expensive, but like you mentioned it doesn't have to be.
Feb 20, 2008 04:46 AM
Eric Hughes
Image Design, LLC - East Grand Rapids, MI
the green home designer

Tammy I have several builder that charge more per square foot than my green builders for the same level of quality.

Feb 20, 2008 04:54 AM
Daniel Sundberg
Crystal Springs Real Estate - Kentwood, MI

lol.. no idea and no idea.... could hardly make out the sign with all the snow yesterday.

From the looks of the sign, probably a builder. 

Feb 20, 2008 08:05 AM
Anonymous
Hybrid Homes- Adam

Tammy-

I am impressed!

I have built ultra green homes that have ranged in price from $80 per square foot to $180 a square foot. There are a lot of ways to keep the cost of a green home in check. I think the most important thing a person can do is be honest with their designer/architect so that they are designing a home that has exactly what one can afford on it. It would be up to us as a proven green builder with several projects under our belt to decide what direction we would take on the home to keep it on track budget wise.

Also, condider this. When a person figures out a budget for their new home, it is often times based on a per month budget rather than a per project budget. Most people tend to push their budget to the top edge of what they can afford each month to build their new home. From talking to many, many people who have been down this road, the biggest shock to a family after moving into their new home, is how much of a payment each month their heating costs are. My point is this. If your monthly budget is $1,500 US and that is pushing what you can afford, what will happen if you have an additional $300 a month to heat this home. Your $1500 just became $1800 and you are over budget! $300 per month over 30 years is $108,000! And, that is assuming that energy costs do not go up, which they most certainly will. See my point?

Our customers have a very distinct idea of what they want and what they will end up paying to run their new Hybrid Houses..Everyone of our new Hybrid Houses come with some form of renewable energy on them and the prices still compare to what other builders are building gas guzzlers for.

One last point to ponder. The Platinum level LEED for Homes project we completed a few monthes ago cost less than $130 per square foot and the home has a wind generator, solar hot water, is designed passive solar, built of ICFs from the footings to the roof, and is absolutely totally custom! The comparable home to this one in Minnesota cost over a million dollars to build.

My suggestion, take your green-o-meter and turn it up to the shade of green you wish to be. The Platinum Homes we built is extremely dark green compared to other green homes out there. The great thing is, even if you are only light green, you are heading in the right direction, so congratulations! Pick a builder you feel you can trust based on their experience and character, compare prices of projects they have been a part of and most of all, trust your gut. If you are thinking of building green, chances are you have done a lot of research and can spot the right builder when they come along.

Tammy, great post, see you at the next LEED for Homes meeting. I am impressed at how involved you have become with LEED for Homes and going green!

 

Mar 21, 2008 07:55 PM
#25
Tammy Stone
Prudential Preferred Realtors - Grand Rapids, MI
"Eco-Green" Agent in West Michigan

Thanks Adam~ I know I've said I wasn't really interested in becoming a builder :) but thanks to my many contacts including yourself... I'm getting there in my knowledge of green. 

Thanks for the detailed explanation of things.  Although I need to get busy writing more posts, I felt it necessary to back up and let people know that a lot of homes are not "green" and don't have some of the great features that they assume will be there. 

Mar 28, 2008 02:32 PM