The Green Home Movement: Craig Foley at TEDxSomerville

Craig Foley is the Chief of Energy Solutions for RE/MAX Leading Edge, and a co-founder of inCharge Energy. Craig is also the author of the first report on hi...

Views: 207

Comment

You need to be a member of Home Energy Pros to add comments!

Join Home Energy Pros

Comment by Craig Foley on June 5, 2014 at 12:44pm

Hi James, thanks for your kind words.

Before I answer the question about the market value of distributed generation and EE improvements, I think it's worth talking about some of the challenges my industry faces in addressing these issues. it is not uncommon for the average agent to answer the question with a quick roll of their eyes and a under the breath "There is no value" response. That kind of response is fairly common here in MA, but I am guessing it is true throughout the U.S. The response is understandable when you consider we are in the midst of an energy paradigm shift; assumptions about how we produce and consume energy are rapidly changing. Terms/acronyms like solar PV, ASHP, PPA, AFUE, HERS rating, energy performance scores take traditional agents/brokers out of their comfort zones. The natural reaction for many is a derogatory statement involving the word "green." That's too bad; it holds back market transformation because of short term thinking and insecurity. If a buyer or seller hears a RE agent reply like that, my advice is run in a different direction as soon as possible.

The general rule of thumb is that for each dollar saved by EE improvements it equates to roughly a $15-20 value at the time of sale. When I investigated this issue in the MA market in 2012, I found this to be in line. I work for a large RE firm in MA that had 12 offices in the Greater Boston area at that time. Hearing complaints from several of the agents in our offices that buyers didn't want to buy homes heated with oil I investigated. Given that the EIA projected that the average home heated with oil would cost the homeowner $2553, and that the average homeowner that heated there home with NG would cost $1007 for the 2012-2013 heating season, I wanted to see if there was a price premium buyers were paying for homes heated with NG. After studying all the homes that sold in 2012 in our 12 communities I found that there was an $11 per sq ft price premium for homes heated with NG. For a 2000 sq ft home this equates to a $22,000 premium. Using the $1500 delta between oil and NG, that equates to for everyone dollar saved in the NG home it equated to $14.67 of value.

Comment by James White on June 5, 2014 at 12:01pm

Very well done presentation Craig.  Definitely worth watching.  I like your statement that we each have both an opportunity and an obligation to reduce our energy consumption.  It would be interesting to hear from a realtor's perspective how much value was added by the energy efficiency improvements and distributed generation system installed at the home you mentioned.

Home Energy Pros

Home Energy Pros was founded by the developers of Home Energy Saver Pro (sponsored by the U.S. Department of Energy,) and brought to you in partnership with Home Energy magazine.

Latest Activity

Craig Foley posted an event
Thumbnail

NESEA BuildingEnergy '15 at Seaport World Trade Center, Boston

March 4, 2015 from 10:30am to 12:30pm
High-Performance, Green Homes in Residential Real EstateInstructor Craig Foley will present three…See More
22 hours ago
Casey Gesell posted a video

ThermalDry® Insulated Floor Decking!

Larry Janesky, owner and founder of Dr. Energy Saver is once again On the Job insulating and finishing a basement in the northeast – and introducing a brand new insulation product: ThermalDry Insulated Floor Decking. ThermalDry Floor Decking was…
23 hours ago
Profile IconBergen Heat, Travis Thom and Amita Singh joined Home Energy Pros
yesterday
Tom White's video was featured

U.S. Department of Education Webinar for HVACR Educators

Rebroadcast from On April 30, 2013 Sharon Miller and Robin Utz of the U.S. Department of Education conducted a one hour webinar for HVACR educators to provide them firsthand information from Washington. Highlights include: * A blueprint to revise…
yesterday
Tom White posted a video

U.S. Department of Education Addresses HVACR Educators 4-30-2013

Rebroadcast from On April 30, 2013 Sharon Miller and Robin Utz of the U.S. Department of Education conducted a one hour webinar for HVACR educators to provid...
yesterday
Nate Adams's discussion was featured
yesterday
Bud Poll replied to Bud Poll's discussion CO poisoning in Yarmouth Maine
"Hi Chad, I sure would like to hear the follow-up on what caused the CO issue down there.  As…"
yesterday
Chad Mcaulife replied to Bud Poll's discussion CO poisoning in Yarmouth Maine
"I got a call yesterday from a homeowner who had a direct vent furnace installed a year ago and she…"
yesterday

© 2015   Created by Lawrence Berkeley National Laboratory.

Badges  |  Report an Issue  |  Terms of Service