A relatively recent (I was on vacation in July, OK?!!) California study by Nils Kok and Matthew Kahn, The Value of Green Labels in the California Housing Market, shows that green-certified homes have higher value than their non-certified counterparts — a 9 percent premium, in fact. Citing this study, Rona Fried in ThinkProgress notes, “The average sales price of a non-certified California home is $400,000. Green certification raises the price by more than $34,800.” Nothing to sneeze about, and excellent news for those who have been struggling with the barrier to getting green homes fairly appraised.
One such champion is Debra Little, a home performance consultant with an appraising background. Debra directed a recent valuation study of three existing homes located in Los Angeles. The study results indicate that the energy upgrades in these cases added 6-9% to the homes’ current market value. Progress is being made!