Green Labels and Real Estate Values

Happy New Year. 2013 is off and running and their is cautious optimism abound among area agents. We will be looking at year end stats that will show key indicators moving in the right direction for most segments of the market. The annual Nest Report will be shared here soon.

In the meantime, one of my favorite topics is energy efficiency and our homes. Most importantly, how these home performance features translate to market value. Check out this article.

This article supports and quantifies what I have been experiencing for a while. Buyers are willing to pay more for homes with green features, especially when they are easily translated into monthly and long term savings. I am working with a local agent that will be selling her personal residence soon. She has improved her home built decades ago with energy efficiency improving features. We are going to try and make a case study of this sale. Our goal is to try and understand how these features impact the value of the home and the days on market.

Another take away from this article is the positive correlation of green ideology and the premium for these features. In my opinion, Charlottesville is an area that is above average in this regard. About a year ago I was test driving cars and the local Toyota dealer was explaining how Charlottesville was well above avearage in Prius sales as compared to other localities across the country. This is not surprising to me.

If you are interested on more on this topic, feel free to contact me or visit www.leap-va.org.