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Could a Net-Zero Home be Worth the Money?


How long before a net-zero home breaks even?

DENVER, Colo. – Dec. 12, 2018 – Net-zero homes – ones that make as much energy as they put out – cost more upfront to build, but they save homeowners money on their energy bills. Eventually, that monthly savings adds up and the home's net-zero cost pays for itself, a new study shows.

Net-zero energy homes usually have rooftop solar panels, energy-efficient insulation, triple-pane windows, energy-savvy appliances, LED lighting and smart thermostats. Builders also design the home's natural lighting to help save energy costs, such as the position of windows and overhangs that could supply additional heating in the winter or shade in the summer.

The Rocky Mountain Institute, a research nonprofit focusing on clean energy, looked at how long it takes for the savings on a net-zero home to cover the initial costs of a 2,200-square-foot home in the 30 largest U.S. cities. Here are the top cities where you can pay off a net-zero home in the fastest amount of time:

  1. San Francisco: 7.8 years
  2. Detroit: 9.1 years
  3. Baltimore: 9.2 years
  4. Columbus, Ohio: 9.7 years
  5. New York: 10.1 years
  6. Phoenix: 10.7 years
  7. Jacksonville, Fla.: 10.9 years
  8. Los Angeles: 11 years
  9. Washington, D.C.: 11 years
  10. Chicago: 11.4 years
  11. Sacramento, Calif.: 11.7 years
  12. Indianapolis: 12.3 years
  13. Portland, Ore.: 12.3 years
  14. Seattle: 12.4 years
  15. Dallas: 12.5 years
  16. Oakland, Calif.: 12.5 years
  17. Wichita, Kan.: 12.5 years

The cost of building net-zero homes varies widely geographically. The biggest savings tend to be in areas with high electricity rates and older building codes, according to the Rocky Mountain Institute.

"Zero-energy homes are actually affordable," Jacob Corvidae, principal at the Rocky Mountain Institute, told InsideClimate News. Corvidae said it's important to note because consumers, builders, and policymakers may be reluctant to encourage net-zero building over perceptions that it isn't affordable.

But even in places like Detroit – not known for its year-round sunshine that would make solar as attractive – net-zero homes can be paid off in less than a decade – one of the fastest regions in the country for break-even costs. A 2,200-square-foot net-zero energy home in Detroit would cost $19,753 more to build than the same house without any solar or standard efficiency, but that home's energy bill savings would be $2,508 in the first year. The solar and efficiency costs pay for themselves in about 9 years, according to the Rocky Mountain Institute study.

Some of the nation's largest home builders, like PulteGroup and Meritage Homes, are offering more net-zero energy options to consumers. Pearl Homes in Cortez, Fla., is building a zero-energy community that uses energy storage and electric vehicle chargers.

"We're starting to see the tip of that iceberg, and when it really hits, it's going to be huge," says Ann Edminster, a consultant and architect who works with the Net-Zero Energy Coalition.

Source: "Net-Zero Energy Homes Pay Off Faster Than You Think – Even in Chilly Midwest," InsideClimate News (Dec. 10, 2018) and "The Economics of Zero-Energy Homes," Rocky Mountain Institute

© Copyright 2018 INFORMATION INC., Bethesda, MD (301) 215-4688                 


Information provided by Florida Realtors.  Click here to see the original article.

Reprinted with permission Florida Realtors. All rights reserved. 

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