Yesterday, RealtyTimes ran an article about a unique partnership between BP and Shea Homes. The joint initiative, called Victoria Gardens by Shea Homes, is part of the builder’s efforts to reducing the carbon footprint of its homes. The homes will have BP Solar Home Solutions systems installed and will reduce electricity consumption by 30-60 percent.
In Congress, legislation is pending that would require appraisers to consider energy efficient improvements in appraisals. HR 6078 requires the “consideration of any renewable energy sources, or energy-efficiency or energy-conserving improvements or features of, the property.” Appraisal standards would actually be revised within 6 months of passage.
The question is around valuation. Are green features something that should be specifically valued? Will this legislation effectively assign a value to something that might not have a value? We’re not sure if this is comparing apples to apples but some homes have swimming pools. To some, pools (particularly if in ground) make a home worth more. Others have no use for pools – maybe they spend all summer on their boat.
We would love to hear some thoughts on this from appraisers.