Understanding How Green Upgrades Can Increase Your Home’s Sales Price
Getting your home ready to sell involves a lot of steps. You must organize your home to showcase your home’s large rooms and plenty of storage space. You may need to paint the walls of your home using a neutral color to attract more buyers. Another thing to consider when getting your home ready for the market is curb appeal. Planting some bright, colorful plants can help add interest to the exterior of your home.
After you have done all of the aforementioned things, you may still find it difficult to stand out from the other houses on the market. What can you do to increase your competitivity in the local real estate market?
Real estate and letting agents across the country agree that making green upgrades in a home can increase its sales price and help the home sell much more quickly. USA Today reported in their July 2012 issue that homes with green upgrades sell for almost 10 percent more than homes that do not offer energy efficient features. Additionally, USA Today reported that homes in Seattle that were certified as eco-friendly netted an 8.5 percent per square foot increased sales price and sold 22 percent faster than non-eco-friendly homes.
If you would like to make green upgrades to your home, you should learn more about the best upgrades. Both small and large upgrades can not only help you sell your home quicker and at a higher sales price but can also save you money on your utilities.
Many homeowners find that doing small eco-friendly projects like installing a programmable thermostat or installing wood floors increase the usability and eco-friendliness of a home. Programmable thermostats save you money on your heating and cooling costs immediately. Eco-friendly floors like cork or recycled wood are durable and utilize reclaimed materials. In addition to these small changes, larger changes like new energy efficient appliances or efforts such as renewable friendly ground source heat pumps can improve the marketability of your home.
Most homebuyers want an eco-friendly home that does not require expensive upgrades. The National Association of Home Builders and Remodelers (NAHBR) states that seven out of ten home buyers prefer homes with green upgrades because they do not have to worry about purchasing expensive energy efficient heating and cooling systems or appliances. Having these green updates can be a huge selling point.
Although federal tax credits for energy efficient appliances ended in February of 2012, many states are still offering incentives. You can visit the Database of State Incentives for Renewables and Efficiency (DSIRE) to find out if your state offers these credits. This site also provides you with other information, including loans, grants and state tax credits to help you update your home with energy efficient appliances and heating and cooling systems.
Larger green updates such as solar panels or geothermal heating systems are expensive; however, if you purchase and have a system installed before December 31, 2016, you will be eligible for up to a 30 percent federal tax credit. For more information and how to apply visit EnergyStar.gov. Remember that in addition to federal tax credits, you may be eligible for state incentives and credits. Visit the DSIRE website for more information.
Many people wonder why an energy efficient home sells quicker than a traditional home. One of the main reasons for this is Americans are becoming more conscientious of sustainability and protecting the environment. When less energy is wasted, fewer fossil fuels are needed. Additionally, remodeling a home with recycled materials help protect the planet.
Others are more concerned with the amount of money they will save on their utility bills. Saving money on monthly utility bills can help the homeowner pay for other important things such as groceries or building a savings fund.
More and more potential homebuyers are looking for energy efficient homes. Start making changes today to increase the marketability of your home and its sales price.