“The term ‘green’ is not a new concept within the property market; however, with electricity pricing pressure it continues to gain momentum among home buyers. More and more buyers consider energy efficiency as an important factor when searching for the ideal property,” says Adrian Goslett, regional director and CEO of RE/MAX of Southern Africa.
“Last year the National Association of Home Builders (NAHB) conducted a study which revealed that apart from a safe neighbourhood, the factor that influenced home-buying decisions the most was a home’s energy efficiency. Aside from the cost factor, the reason for this is a movement towards being more environmentally conscience and reducing the household’s carbon footprint.”
Most home owners who decide to introduce green elements to the home do so to reduce their utility costs and conserve energy, however going fully green can sometimes be challenging. It is important to remember though, that the home owner can start by making small changes such as installing energy-efficient lighting.
“Consistent small changes will add up and make a big difference over time. Once a few changes have been made the home owner will be able to compare their utility bills and see a reduction of costs. This can be used by an estate agent to market the property when the home owner decides to sell. If the property offers similar features to others in the area, but costs less to operate, it will at the very least grab buyers’ attention,” says Goslett.
There are a lot of different green products available on the market, so it is vital that home owners carefully consider their options and make the correct decisions when selecting the green elements they use. Goslett says that when looking at green products, there are several factors that home owners should be aware of.
Goslett says that due to the trend of buyers specifically looking for homes with green features and many buyers prepared to pay more for these homes, the home owner will recoup a large percentage of their cost back when they sell.
“According to the NAHB, approximately 61% of home buyers would be prepared to pay an additional R50,000 to R100,000 on a home that had features which would reduce utility costs. Adding green features can add value to the property and give the seller an added advantage in the market.”
Goslett concludes by saying that although going green will save money on utility costs and attract buyers to the home - it is not the only reason. It is also about sustainability and reducing the household’s effect on the environment and its surroundings.
