Green is Good for Home Sales
Demand for environmentally friendly green homes will play an increasing role in the overall housing market, according to a recent study by Dodge Data & Analytics, Green and Healthier Homes: Engaging Consumers of All Ages in Sustainable Living. The study, which was conducted in partnership with the National Association of Home Builders (NAHB), finds that 54 percent of homebuilders are currently constructing at least 16 percent of their new homes green and 39 percent of remodelers say at least 16 percent of their projects are green.
Although green construction can be more costly, a high percentage of homebuilders and remodelers plan to build that way, the study finds. This higher cost is an obstacle to building green, but it does not appear to have dampened the drive toward construction and remodeling of environmentally friendly homes. The study finds that the greatest demand for green homes does not come from millennials. Rather, consumers age 55 and older are driving the market.
Builders and remodelers have long recognized that green is the future of homebuilding, says NAHB chairman Tom Woods, a homebuilder from Blue Springs, Missouri. Most builders recognize that they need to be at least conversant in green to stay competitive.
One key factor driving the growth of green is the association of green homes with healthier living. Home builders and remodelers certainly recognize the potential: Most (83 percent) believe that consumers will pay more for homes that are healthier.
