Green-Certified Homes Get 9% Higher Sales Price in California
Daniel Bowen, via Flickr by Rona Fried, via Sustainable Business Having a green certified home adds 9% to its appraised sales value in California, finds a new study. The study is the first rigorous, large-scale economic analysis of the value of green home labels in California and was conducted by state university professors. Researchers conducted a pricing analysis of all 1.6 million single-family home sales in California from 2007-2012, controlling for all other variables that typically influence selling price, such as location, size, age and amenities. They documented that homes labeled with Energy Star, LEED or Greenpoint Rated (California’s label) sell for a premium of 9% compared to average similar homes. The average sales price of a non-certified California home is $400,000. Green certification raises the price by more than $34,800. Interesting that the sales premium is greater than the cost of the green features people are paying for and it’s greater than resulting utility sav...