Highland Street Weston project article on the green certifications we are pursuing by developer Steve Snider. If you have wondered about the value proposition of independent 3rd party certifications, this article should help clarify your thinking…
) Long-term investors- including banks, GSEs, and insurance companies- take a serious look at the impact of climate change on their bottom line
2) The high-performance home market continues to gain traction, particularly in the new construction market
3) Consumer demand for sustainable products continues to rise
4) Backlash against climate-change deniers increases
5) Science/data makes a comeback
6) The National Association of REALTORS® makes major advances at the intersection of sustainability and real estate
7) Inman makes sustainability a key talking point
1) Stock market experiences a correction
2) Interest rates rise
3) Affordability remains a major concern in the real estate industry
Using data from the multiple listing service most real estate agents use in MA, MLS PIN in Shrewsbury, MA, here is a quick update on the high-performance home market. MLS PIN is a leader in advancing green data fields in their MLS. They were an early adopter of fields in 2009, and did a significant update of fields at the beginning of 2015.
As I have blogged, under-reporting of green certified homes is a problem. There is clear evidence that agents without knowledge and competence in green features and certifications have under-reported green certified properties in MLS PIN by as much as a 3.5 to 1 ratio.
Currently there are 34 single family homes with some type of green certification currently available. Single family homes with a reported HERS Index Score is 72 properties that are currently for sale.
There are 16 condos currently active with some type of green certification and 28 active condos the listing agent has entered a number for the HERS Index Score field.
I have been studying the emerging high-performance home market for several years. The numbers have been impressive. In Massachusetts we have seen an explosive growth of solar panels on homeowners rooftops in the last few years. The states largest multiple listing service has an impressive array of green data fields that real estate agents can use to market homes that have HERS Index Scores or green certifications like LEED. Data around consumer demand for homes that are more energy efficient and healthier to live in and how the real estate industry may or may not be supporting demand is evident.
I have also spent time in my advocacy work to talk about the opportunity the real estate industry has to be part of a solution for the energy and environmental challenges that we face. In the U.S. almost 40% of total energy consumption can be attributed to the buildings that we live and work in; in Massachusetts the number is higher - 50%. The inevitability of a deeper intersection between the real estate and energy industries is very clear to me.
This blog will explore both the opportunities and the challenges the real estate industry faces in supporting market transformation of buildings that are more energy efficient and healthier to live in...