Beware the “Green” Label

It seems that the entire country is trying to be more eco-conscious and join the green revolution. Builders, much like other businesses, have jumped on this bandwagon and are now building "green" houses. However, what exactly does the term "green" mean and how does a potential buyer go about determining the extent to which a property is eco-friendly and energy efficient?

The term "green", unlike the term "organic", does not have any government definition or oversight. In reality, someone can refer to anything as "green". In real estate, the term "green" can refer to a property with photovoltaic solar panels and a geothermal heat pump, but it can also refer to a property with above average insulation and thermal windows. On the other hand, the terms Energy Star or LEED refer to properties that meet the guidelines of the US Department of Energy or the US Green Building Council.

Newly built Energy Star certified homes must meet EPA guidelines and be 15% more energy efficient than homes built to the 2004 International Residential Code (IRC). Energy Star homes are verified through a third party Home Energy Rater and are typically 20 – 30% more energy efficient than standard homes. Energy Star certified homes are available in Massachusetts and more builders are signing on to build properties that meet the Energy Star requirements. Currently 184 Massachusetts on-site builders are Energy Star New Homes Partners. Some of the builders are new partners with homes in planning stage, while others have built over 100 Energy Star certified homes since joining.

Leadership in Energy and Environmental Design (LEED) supports building projects that incorporate sustainability in five key areas of human and environmental health: sustainable site development, water savings, energy efficiency, material selection and indoor environmental quality. LEED properties, like Energy Star certified homes, are also verified through a third party and are rated certified, silver, gold, or platinum. For those looking for a "green" property, LEED certified homes are the "gold standard" and are a bit more difficult to come by. Currently there are 64 LEED for Homes certified residential projects in Massachusetts.

So what can you do find a home that meets your definition of "green"? You and your real estate agent need to ask questions. Is the home Energy Star certified? Is the property a LEED certified home? If so, what type of rating? What specific features make the property "green"? Each consumer has a different list of desirable "green" property features. The trick is to ask the right questions and work with a like-minded agent willing to go out and find you the right "green" home.