{"id":890,"date":"2020-06-08T06:09:11","date_gmt":"2020-06-08T10:09:11","guid":{"rendered":"https:\/\/www.deeds.com\/articles\/?p=890"},"modified":"2024-04-25T23:20:31","modified_gmt":"2024-04-26T03:20:31","slug":"sustainability-a-brief-guide-to-green-homes","status":"publish","type":"post","link":"https:\/\/www.deeds.com\/articles\/sustainability-a-brief-guide-to-green-homes\/","title":{"rendered":"Sustainability: A Brief Guide to Green Homes"},"content":{"rendered":"\n<div class=\"wp-block-image\"><figure class=\"alignright is-resized\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.deeds.com\/articles\/wp-content\/uploads\/2020\/06\/green-homes-768x1024.jpg\" alt=\"Image of a bee on a flower\" class=\"wp-image-891\" width=\"384\" height=\"512\" srcset=\"https:\/\/www.deeds.com\/articles\/wp-content\/uploads\/2020\/06\/green-homes-768x1024.jpg 768w, https:\/\/www.deeds.com\/articles\/wp-content\/uploads\/2020\/06\/green-homes-225x300.jpg 225w\" sizes=\"auto, (max-width: 384px) 100vw, 384px\" \/><\/figure><\/div>\n\n\n\n<p>Walkable neighborhoods, green buildings, energy efficiency, low-carbon living\u2026 they\u2019re all going mainstream now. Sustainable real estate is no longer a mere preference or buzzword. It has evolved into a basic need, addressing climate-related <a rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\" href=\"https:\/\/wamu.org\/story\/19\/11\/13\/rising-waters-are-swallowing-a-chesapeake-education-center-forcing-it-to-close\/\" target=\"_blank\">sea level rise<\/a> and flooding in cities such as <a rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\" href=\"https:\/\/resilient.dc.gov\/page\/climate-action\" target=\"_blank\">Washington D.C.<\/a> We know the tide is turning when <a href=\"https:\/\/www.pwc.com\/jg\/en\/publications\/etre_us_2019_report.pdf\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">investors<\/a>\u00a0screen properties for sustainability. <\/p>\n\n\n\n<p>What does this mean for individual homeowners? In increasing\nnumbers, we\u2019re integrating our environmental concerns into our lives at home. Here,\nwe explore what today\u2019s buyers and owners might want to know.<\/p>\n\n\n\n<!--more-->\n\n\n\n<h2 class=\"wp-block-heading\">The Greening of Homeowners\u2019 Associations<\/h2>\n\n\n\n<p>Most new developments in the United States today are regulated\nby HOAs, which typically bar renewable energy devices, solar drying, vegetable\ngardens, compost collection, natural landscaping, dandelions, and other\nvestiges of nature in the cities and suburbs. Generally, resistance to change\nis justified by the need to maintain property values. Yet today, property\nvalues may be supported by a green sensibility. Some HOAs do make room for\ncommunity gardening and other environmentally friendly practices \u2014 to some\ndegree. If you\u2019re sensitive to chemicals or object to regular lawn sprays,\ncheck with the offices before touring the properties. <\/p>\n\n\n\n<p>Recently, state legislatures mindful of sustainability goals have legislated allowances for native gardening, solar panels, and solar water heaters for condo residents. If you already live under the regulations of an HOA and wish to champion wildlife-friendly policies, <a href=\"https:\/\/content.yardmap.org\/learn\/homeowner-associations-wildlife-gardening\/\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">read up on some case studies<\/a> and gather allies \u2014 perhaps by using a page on social media to organize your thoughts collectively.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Eco-Awareness Meets Collaborative Living<\/h2>\n\n\n\n<p>It\u2019s a rising imperative. Millennials and younger home\nbuyers are looking for sustainable <a href=\"https:\/\/www.statista.com\/statistics\/782364\/share-of-millennial-home-buyers-in-selected-cities-usa\/\" target=\"_blank\" rel=\"noreferrer noopener\">urban<\/a>&nbsp;living, including the&nbsp;<a href=\"https:\/\/www.deeds.com\/articles\/owning-a-co-op-different-from-traditional-real-estate\/\">green\nco-op<\/a> model. Mature buyers, too, are embracing green living: common\nareas with gardens as well as conference space and places to meet, have a\ncoffee, and collaborate. <\/p>\n\n\n\n<p>The housing co-op market is responding. In Philadelphia, Mt. Airy Nexus is a leading example of green co-operative living, attracting city dwellers who want to live in a sustainable, mutually supportive environment. The co-op is run in partnership with the <a href=\"https:\/\/sustainability-nex.us\/\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">Sustainability Nexus<\/a> nonprofit, whose mission includes amplifying \u201cenvironmental change efforts by networking the movement itself\u201d and creating examples of \u201chow our urban and societal systems could be structured differently to support all life far better.\u201d\u00a0<\/p>\n\n\n\n<p>As you can see, a sustainability-focused housing co-op blends\ntwo major trends: green living and a collaborative spirit. In the co-op model,\na corporation owns the whole deed. Buyers get proprietary leases by buying stock\ncertificates. &nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Energy Efficient Mortgages: Perks for Efficient Houses<\/h2>\n\n\n\n<p>How does an Energy Efficient Mortgage (EEM, or \u201cgreen mortgage\u201d) work? A lender modifies your loan terms after a home energy rating of an existing or <a href=\"https:\/\/www.energystar.gov\/newhomes\/mortgage_lending_programs\/energy_efficient_mortgages\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">newly constructed home<\/a>. <\/p>\n\n\n\n<p>With a green mortgage, you can: <\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Plan to handle the costs of expensive improvements\nbefore you move in; <\/li><li>Make an <a href=\"https:\/\/www.energystar.gov\/newhomes\/?s=mega\" target=\"_blank\" rel=\"noreferrer noopener\">EnergyStar-certified\nhome<\/a> easier to purchase; or <\/li><li>Take advantage of today\u2019s very low interest\nrates by financing energy upgrades through a new mortgage on your current home.<\/li><\/ul>\n\n\n\n<p>The first step is the <a href=\"https:\/\/www.hud.gov\/program_offices\/housing\/sfh\/eem\/eemhog96\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">home energy assessment<\/a>. A rater determines a property\u2019s compliance with U.S. Department of Energy standards, and prepares a report containing energy upgrade recommendations, with the prices and expected cost savings. Thus the lender can see how much the property will gain from the proposed efficiency improvements, and draw up the loan terms accordingly. The report could, for example, recommend water pumps, duct repairs, solar systems, weather-stripping and insulation, HVAC improvements, energy-saving windows, efficient thermostats and so forth. <\/p>\n\n\n\n<p>The final loan extended will amount to more than the buyer\ncould have otherwise qualified for. In this way, an EEM lets a home buyer\nfinance green features in the main mortgage, averting the need for extra loans.\nThe buyer will need to make a slightly larger monthly mortgage payment \u2014 but\nit\u2019s more than covered, given the smaller electric bills.<\/p>\n\n\n\n<p>Energy Improvement Mortgages (EIMs) constitute a subcategory\nof EEMs. A new homeowner buys a regular home, then installs upgrades. The loan\nprovides for the expense of installing them, without hiking up the minimum down\npayment. Here again, EIMs depend on the money saved through lower utility bills\nto cover the upgrade costs. <\/p>\n\n\n\n<p>Your mortgage representative should be able to explain your\noptions, which may be:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Conventional mortgages: The conventional EEM assigns a borrower a better income-to-debt ratio. Why? The projected savings on energy bills is tantamount to a higher income. <\/li><li><a rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\" href=\"https:\/\/www.bankrate.com\/loans\/\" target=\"_blank\">FHA loans<\/a>: Anyone, in any state, who meets the FHA&#8217;s income standard can apply for a green mortgage. The buyer can fold energy efficient expenditures (up to a cap, conforming to <a rel=\"noreferrer noopener\" href=\"https:\/\/cmadmin.energystar.gov\/sites\/default\/files\/asset\/document\/EEM_Fact_Sheet.pdf\" target=\"_blank\">EnergyStar rules<\/a>) into a new or existing house or condo. The eligible allowance for improvements in the mortgage will be around <a href=\"https:\/\/www.fha.com\/lending_limits\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">5%<\/a> of the property value. <\/li><li>An EEM is also offered by the Veterans Administration for purchases of existing homes. <\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Solar Tax Breaks<\/h2>\n\n\n\n<p>Through the Residential Energy Efficient Property Credit,\nthe government has offered rewards to homeowners who buy alternative energy\nsystems. <a href=\"https:\/\/www.deeds.com\/articles\/real-estate-taxes-tips-and-updates\/\">Credits\nfor residential solar-powered water and electrical systems<\/a> now\nextend through 2021. How much is your credit?<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>For home solar installations purchased in 2019,\nowners (not renters) may claim a 30% credit. <\/li><li>For home solar installations purchased in 2020,\nowners can claim a federal tax credit for 26% of the costs. <\/li><li>In 2021, owners of new residential solar systems\ncan deduct 22% of the costs. <\/li><\/ul>\n\n\n\n<p>A credit is only meaningful if you own taxes when it\u2019s time\nto file your federal income tax return, so you can actually apply the credit to\nyour tax bill. If you cannot claim your full credit this year, the amount of\nunclaimed credit can be rolled over to future returns \u2014 but only while the credit\nallowance is in effect.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Green Deed Restrictions<\/h2>\n\n\n\n<p>When a property is developed for sale, buyers are often impressed by the surrounding green space. They may be told that the land cannot be built up. But watch out for <a href=\"https:\/\/www.mcall.com\/news\/mc-xpm-2003-10-09-3512253-story.html\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">illusory deed restrictions<\/a> placed on properties by developers. If the deed limits adjacent or nearby development, check for language stating that the developers may waive this same language at their discretion.<\/p>\n\n\n\n<p>Generally, homeowners do not have indefinite dibs on their\nclean air and scenic views. Someone can build on nearby green space, unless there\u2019s\na hard prohibition in an ordinance or the subdivision\u2019s regulations. Some cities\nknown for their striking natural features do enshrine protections in local ordinances.\nSome local ordinances prohibit high fences, trees, or construction. But each\nlocation is unique, and must be researched individually. In short, if the\nscenery matters to you as a buyer, do some digging into the regulations\npublished by the local government as well as the property development. Simply\ntaking the developer\u2019s or agent\u2019s assurances may not be enough.<\/p>\n\n\n\n<p>To know where you stand, check:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Local zoning and planning rules.&nbsp;Do they\nbar buildings higher than a given number of floors? How much of a lot do they\nallow to be built up with residential structures? Finding the answers will give\nyou an idea of how much green space could be removed from your area over time.<\/li><li>Covenants, conditions, and restrictions\n(CC&amp;Rs). Condo properties and subdivisions will be governed by a detailed\nrulebook; get one of the binders and read it carefully before buying. Note that\nthese rule sets can later be amended by the property\u2019s board of directors. <\/li><\/ul>\n\n\n\n<p>And don\u2019t neglect your own powers of observation. Are there\nsmall trees next door that could grow into large trees, for example? If the\nowner of the nearby trees is available, why not introduce yourself? Find out if\nyou and your potential new neighbor share the same love for the scenery \u2014 or can\njust have comfortable conversations \u2014 in the years to come. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Challenges Ahead, and How to Meet Them<\/h2>\n\n\n\n<p>Social distancing slowed the clean energy sector in 2020. Consider New York \u2014 which exemplifies a strong resilience commitment by striving for a carbon-free grid by 2040. Covid-19 <a href=\"https:\/\/www.newsday.com\/news\/health\/coronavirus\/green-energy-nassau-suffolk-coronavirus-1.43929087\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">interrupted<\/a> the state\u2019s rooftop solar array installations, wind turbine construction, and geothermal energy placements, as nonessential businesses were compelled to suspend their work. Some 4,800 clean energy jobs were lost in New York during the height of the pandemic.<\/p>\n\n\n\n<p>To support green energy, governments have responded by\npermitting virtual site inspections and online green jobs training, and by extending\nclean energy installation rebates. Over the long term, expect residential green\nenergy to flourish and to help people thrive. <\/p>\n\n\n\n<p>A\u00a0<a href=\"https:\/\/www.hsph.harvard.edu\/news\/hsph-in-the-news\/air-pollution-linked-with-higher-covid-19-death-rates\/\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">Harvard study<\/a>\u00a0shows Covid-19 is more dangerous around areas of fossil fuel combustion. The findings indicate the need for clean energy to support human resilience. By adopting clean energy in our own homes, we can make our communities stronger \u2014 and that\u2019s good to know.<\/p>\n\n\n\n<p class=\"has-small-font-size\">Photo credit: <a href=\"https:\/\/unsplash.com\/photos\/6csuZQ9oZcI\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">Aaron Burden<\/a>, via Unsplash.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Walkable neighborhoods, green buildings, energy efficiency, low-carbon living\u2026 they\u2019re all going mainstream now. Sustainable real estate is no longer a mere preference or buzzword. It has evolved into a basic need, addressing climate-related sea level rise and flooding in cities such as Washington D.C. We know the tide is turning when investors\u00a0screen properties for sustainability. [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[71],"tags":[],"class_list":["post-890","post","type-post","status-publish","format-standard","hentry","category-general"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Sustainability: A Brief Guide to Green Homes - Deeds.com<\/title>\n<meta name=\"description\" content=\"Sustainable real estate is no longer a mere preference or buzzword. 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