Sustainable and Energy Efficient Features in Real Estate
Sustainable and Energy Efficient Features in Real Estate: What Buyers and Renters Want
‘Sustainable living’ or ‘sustainability’ is one of the most trending words around the globe. Every discussion about future developments seems to involve sustainability, effectively making the term a buzzword. But sustainable living is more than just a popular term. It’s a philosophy about how we can reduce our impact on the environment and ensure this planet we call home can meet our needs and that of future generations. If the idea of being sustainable and energy efficient interests you, read on to see what buyers and renters want!
There is a growing awareness about sustainable living and home buyers are prioritizing energy-efficient homes to improve their environmental impact. This makes properties with energy-efficient features more valuable and updating a home’s energy-efficient features is an excellent way to make it more marketable.
As you may already know, there’s more to energy-efficient homes than just saving our environment. You pay less for utilities like electricity and water since your energy consumption and water usage is bound to reduce, a big boon in a world riddled with inflation and increasing prices of goods and services. A cleaner home also offers several notable health benefits as the interior will be warmer, drier, and generally very comfortable.
It’s becoming the norm for properties to have sustainable and energy-efficient features unlike in the past where only a few houses have them. Indeed, in the UK there are soon-to-be mandatory regulations that all rented properties (and in 12 years) to have a minimum “C” rating Energy Performance Certificate.
Below, you’ll find some of the energy-efficient features that homebuyers and renters are looking for:
Landscaping and Shade
Landscaping has to do with the exterior of a property. It refers to designing and maintaining gardens as well as architectural features like fountains.
Current trends show that homes with landscaping are specifically sought after by homebuyers and renters with these people willing to pay extra for properties that have these features. Of course, the key to increasing a value through landscaping is to make it aesthetically pleasing.
You may have heard this several times but first impressions are key in real estate. It can make or break a deal and if potential buyers and renters are blown away with the exterior of a house the moment they pull in through the driveway, the chances of a deal being agreed to and closed significantly goes up.
The most interesting part of landscaping is that it is generally affordable. It doesn’t cost much to maintain a lawn or simple garden and even the bigger ideas are still quite affordable.
An outdoor shade is something everyone can use. Whether it is to escape the scorching sun, rain, or wind, a shade will always come in handy. The two common types of shade found in both residential and rental properties are shaded parking spots and shaded gardens. People are willing to pay extra for properties with these features making them an excellent way to increase the value of a home.
Energy Efficient Lighting
Light fixtures are an important selling point in any property. While there’s always the chance that potential buyers or renters may not notice or overlook good lighting, you can count on them noticing poor lighting.
As the campaign for sustainable living continues to gather more momentum, people are prioritizing property with energy efficient lighting that has the potential of significantly reducing electricity bills. You get to play a small, albeit important part in saving our planet while cutting on electricity costs in the process. Sweet!
When it comes to energy efficient lighting, light-emitting diodes (LEDs) are the go-to option. LEDs use significantly less power than traditional incandescent bulbs while also being more durable. So, it’s easy to see why homebuyers and renters would want properties with LED light fixtures.
Getting the lighting of a property right is more than just installing energy-efficient fixtures. Tactical task lighting can be used to provide extra installation in certain rooms like the kitchen and bathroom. The area of focus in the bathroom is usually at the sides or top of vanity mirrors. Chances are you’ll find wall-mounted light fixtures in these places.
In the kitchen, areas to install task lighting include the kitchen island, hob, over the sink, and worktops.
Solar Panels
The demand for homes with solar panels is at an all-time high as homebuyers are becoming more environmentally conscious. Solar power is a clean and sustainable energy source that can reduce a household’s carbon footprint.
Traditional electricity generation emits a lot of greenhouses which has harmful effects on the environment. By transitioning to solar power partly or in full, people can at least cut out the greenhouse gasses that would have been resulted from using the grid.
Solar features are bound to increase the value of a home although the extent of this depends on location and the quality of the solar panels. Location is the most important determinant as solar panels may be more sought after in some states compared to the others. For example, in the United States, solar panels seems to be more in demand in States like New York, Los Angeles, San Jose, and so on. Installing solar panels in properties in this State will make them sell faster.
Solar panels typically require heavy investments. So, anyone intending to install one should first find out the overall cost. It’s important not to go ‘overboard’ with bigger installations especially in areas where solar panels aren’t in high demand as bigger installations may not have corresponding effects on the value of a home.
A safe approach is to install just enough panels to generate the amount of power your property needs. Nothing more.
Insulation
Our home is our safe space and escape from the hustle and bustle of our everyday lives. And such a place should be as comfortable as possible, right? Enter insulation. The most wonderful thing about insulation is how it can keep a property comfortable all year round.
During cold weather, insulation keeps the interior of a house comfortable as warm air is trapped inside. In warm climates, insulation prevents overheating in a property and reduces the amount of energy needed to cool the house. Who said insulation is only for cold climates?
Homebuyers and renters are looped in on the benefits of insulation and are willing to pay for it. This is why houses with good insulation generally sell at a higher price point than those without it. The extra money home buyers pay for insulation is recouped in the form of lower utility bills.
Depending on the type of insulation installed in a house, location, and size of the house, homebuyers can potentially save hundreds and even thousands of dollars per year on utility bills. So, it’s no wonder why people would want their next home to be properly insulated.
A benefit of insulations that isn’t widely talked about is soundproofing, although the extent of this depends on the insulation materials. But in busy cities or high traffic areas, soundproofing can seem to be ‘God-sent’. If there’s any need for special soundproofing, check if the property you are buying or renting has insulation materials that can provide proper soundproofing.
Energy Star Rated Appliances
Ever came across an appliance with ‘Energy Star’ boldly inscribed on it? You may not give much thought to such products but you should. The Energy Star program is all about producing products that consume less energy. Such products offer similar functionalities to conventional products but with the added extra benefit of using more power which is good for the environment…and your finances of course, since you spend less on electricity.
Backed by the United States Environmental Protection Agency or the United States Department of Energy, products to be certified ‘Energy Star’ must meet strict standards of energy efficiency. And when it comes to energy-efficient appliances, homeowners value some more than the others.
Energy star certified refrigerators, freezers, washing machines, dryers, dishwashers, and air purifiers or dehumidifiers appeal to homebuyers more than other appliances. It’s no secret that these appliances are the biggest energy guzzler of any property. And we can’t do without them as they have important functions.
Many real estate investors, especially the ‘fix and flip investors’ are beginning to see the importance of energy star appliances and how they increase the value of a home. Energy star appliances are now becoming popular upgrades in many houses and it’s only a matter of time before these energy-efficient devices become mainstream.
Smart Home Technology
Smart home technology used to be something found only in luxury homes. But advancements in automation technology and ease of use means smart home technology is becoming the norm in many homes.
Tech-savvy generations like the millennials and Gen Z have high regard for smart tech and want it included in their next house. Older generations are also slowly but surely embracing smart home tech as many are starting to see the benefits the technology offers.
Perhaps the biggest driver behind smart home tech is their integration into a single app like Google Home App, Apple Home App, and Samsung Smart Things. These apps allow you to manage all smart tech in your home on your smartphones. And you don’t even need to be tech-savvy to do this as the interface of these apps are very intuitive and user-friendly.
The most in demand smart tech include smart thermostat, health tech like smart air conditioners and smart air purifiers, and smart home security systems. Smart thermostat allows homeowners to adjust the temperatures of their home even when they are not at home. High-tech security systems can allow you to check on your home from afar and switch certain security features on or off.
Moisture Control and Ventilation
Heating and cooling systems account for the bulk of energy bills. And by installing an efficient heating/cooling system, it’s possible to significantly cut down on power usage. Of course, this has tremendous benefits for your finances but the environment also benefits.
Just like the energy-efficient features discussed above, homebuyers and renters want properties fitted with good heating systems. And houses with these features sell faster and at a higher price point.
Efficient home ventilation also has many health benefits with the most obvious being an increase in air quality in the home. Poor indoor air has been associated with respiratory diseases, heart diseases, and irritation of the eyes and throat. So for homebuyers, proper ventilation systems are also about their general well-being and many aren’t willing to compromise on this.
A property can sell for far less simply because it lacks good ventilation and anyone intending to improve ventilation in a property should start with the windows and fans. There may be a need to weather strip the windows to contain interior and prevent external moisture from penetrating. The doors may also need to be weatherstripped.
Old heating/cooling systems will have to be replaced with energy-efficient HVAC systems that are designed to use the least possible energy to heat or cool a house. The HVAC systems will also need to be inspected to ensure there are no leaks in the system as leaks will reduce the energy-efficiency of the system.
Finding Energy-Efficient Homes
There are a few ways homebuyers and renters can go about finding energy-efficient homes. The easiest way is to hire a real estate agent specialized in green or energy-efficient homes. Ideally, such real estate agents should ideally have a green certification. There are a number of organizations that provide energy-efficiency training and certifications for real estate professionals.
Another way to find energy-efficient homes is to search for them on real estate sites dedicated to energy-efficient homes. There are a couple of those around. Even if the home search site isn’t exclusively for energy-efficient homes, you can check the features of the properties listed and watch out for energy-efficient features. Searching for keywords like ‘green’, ‘energy efficient’, ‘sustainable’, and ‘energy star’ may bring out energy-efficient homes.
Unable To Find An Energy Efficient Property?
If for any reason, you can’t find a property with energy-efficient features, you can find these features yourself. Financing energy-efficient upgrades can be capital-intensive and you can pay for it out of pocket or apply for an Energy Efficient Mortgage (EEM). Carry out an energy-audit on your existing property or the one you intend to buy to know the type of energy-efficient feature to add.
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Sustainable and Energy Efficient Real Estate Features
