Does ‘Green’ Create Green and Sell Homes?

February 26, 2010

Green car racing, green travel, green eating: everything is getting a little greener nowadays.  Surprisingly, builders are still slow to adapt to the greening of the new American home.  Of those who do offer ‘green’ features in their homes, only 39% (according to a Professional Builder survey) of builders share with prospective buyers energy / sustainable benefits that their homes may have.   Marketing of green and the selling of green technology, sustainable resources and energy performance are, as it turns out, two entirely different things.

So does marketing green, installing high performance features and gizmos sell more homes?  As it turns out, not really and the data is probably skewed due to the state of the new housing market.  Cost is a significant issue in any market and today more so than ever.  The bottom line is that ‘green’, although nice to have and definitely a plus for down the road energy costs and resale value is in the future, not in the present.  Short-sighted home buyers? Yes, but that is a tradition in the American market place where instant gratification sells.  According the builders surveyed, the most buyers are willing only to put up an additional 2% on their home.   Those purchases are mostly directly tied to saving money on energy bills.  Read-the Energy Star program.  Most new home buyers today are not luxury-level buyers, they are first-timers looking for a deal.

This trend is certain to change for a number of reasons.  New building codes are raising the minimums in energy standards, insulation techniques and water saving measures.  ‘Green’ is becoming part of the building code.  The market will recover and when home building picks up again in earnest as economists predict for the coming housing shortage, demand will be met for the new ‘greenie’ consumers ready to take additional green steps.

Categories: Green Living

About The Author

Read All Stories By Mitch Levinson

Mitch Levinson is the author of “Internet Marketing: The Key to Increased New Home Sales” published by BuilderBooks. He is an Internet marketing expert with expertise in search engine optimization, website development, email marketing, social media and CRM consulting services. He is known for creating effective programs that can be tracked through analytics to prove effectiveness and ROI. Mitch is founder and president of MLC New Home Marketing and MLC FlatFee Realty, as well as managing partner of mRELEVANCE, LLC, a Marketing, Communication, Interactive agency with offices in Chicago and Atlanta. He currently leads the Chicago team. A Multi-Million Dollar Sales Producer who earned an MBA in Computer Information Systems and eCommerce, he brings a unique perspective and experience to the field of real estate communications. Mitch combines the two interests in order to help home builders and developers gain a competitive advantage through the Internet and technology. When he isn’t behind a computer, he enjoys participating in sports and coaching his kids’ teams. Mitch resides in Arlington Heights, Ill., a northwest suburb of Chicago, with his family, which includes two rambunctious labs. Visit my Google+ profile.

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