Selling with Solar and the NAR Sustainability Report
While our mid-Atlantic Bright MLS has "green" data fields which agents can use to identify homes with sustainability features and green certifications, the data published in NAR's April 2022 report suggests that evidence of pricing benefits from green upgrades is murky at best.
Despite the fact that more than half of clients were reported to be interested in sustainability and energy efficiency, that interest didn't translate to a similar percentage of higher prices or shorter time on market for green homes. Why?
My guess is a lack of understanding on the consumer's part combined with inadequate and unclear presentation from the agents on both sides of the transaction. This can be daunting because there's so much to know in the field of home performance and sustainability. A recent sale involving seller owned solar panels (Hi, Mom :) bore out this murky scenario. There were zero comps with solar to be found so we clarified the value via the cost and age of the system (unfortunately not a 1:1 ROI) and savings from electric bills which were in the green, pardon the pun, because the power company buys the excess electricity being generated by the panels. Buyers and agents can easily understand the value of a solar system when it erases the monthly power bill and goes on to generate a profit for the homeowner.
Highlights from the report:
35% of respondents reported their MLS has green data fields, and respondents typically used the green data fields
63% said energy efficiency promotion in listings was very or somewhat valuable.
51% percent of respondents found clients were at least somewhat interested in sustainability.
45% of homes with green certifications spent neither more nor less time on the market. Another 46% said it was unclear.
76% of respondents said properties with solar panels were available in their market. 36% said properties with solar panels increased the perceived property value.
The home features clients listed as very important to their agent or broker included windows, doors, and siding, proximity to frequently visited places, and a comfortable living space.
Nineteen percent of respondents said that a high-performance home (defined as a systematic building science approach to home improvements that increase indoor comfort, health, operational efficiency, and durability) had an increase of one to five percent of the dollar value offered compared to other similar homes.
Fifty percent of respondents said that in the past 12 months they had been directly involved with a property that had green features, either on the buyer or seller side.
