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PUBLIC POLICY: GOING GREEN IS A COMPETITIVE ADVANTAGE . ( Elon Musk; Did you know that most of the new homes in Albuquerque are built and certified to one of the highest efficiency standards in the country?) Steve Hale; Program Director for Build Green NM Brian McCarthy; Abrazo Homes
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PUBLIC POLICY: GOING GREEN IS A COMPETITIVE ADVANTAGE (Elon Musk; Did you know that most of the new homes in Albuquerque are built and certified to one of the highest efficiency standards in the country?) Steve Hale; Program Director for Build Green NM Brian McCarthy; Abrazo Homes Jesse Deubel; Casa Verde Builders
If “Going Green” is a Competitive Advantage in HousingWho is the Competition? Regional Local Existing
Boom Times All around New Mexico’s Borders New Mexico is stuck in the doldrums
Most Green programs are local • Boulder Has a program Mandating efficiencies to equal HERS 60 to HERS 25 (based on Size) • Austin initiated 1strating program in country (1991) • Scottsdale AZ program = HERS 70 • Santa Fe Green Code HERS 70 to 0 (based on size) New Mexico scores at 24 of 50 in State ranking of Energy Efficient States
However, homes here in New Mexico are some of the Highest Performing Homes in the country. They are Certified under a statewide voluntary program which is based on national standards • What does this mean? • What will happen now that funding for the Sustainable Building Tax Credit has run out? • Will builders now go backward with regard to energy and water efficiency?
NM is not competitive in the Southwest Don’t blame Housing Public Policy Business Friendly (Not yet) Rely on Federal too much and they are tightening their belts What would it have taken to get Elon Musk here? We are in a slow recovery but it is crawling!
The other competition Existing and other local builders
Voluntary Green Programs are a peek into the Future…available today Energy Efficiency Water Efficiency Indoor Air Quality (IAQ) Net Zero (ready for Solar PV, etc) Comfort Build Green NM has Certified 4070 Homes
Price vs. PerformanceChange the Paradigm! • Appraisals do not count much, if any, for an Efficient home Hello? we pay mortgage, taxes, interest and utilities • Easier to sell based on price (I sell the “cheapest” home) vs. a knowledgeable sales force for “high performance” homes • “First Cost” vs. “Life Cycle Cost” Buyers want the most for the money (Most what?)
Sales people should avoid words like “sustainable”, “environment”, “Global Warming”, “price-per-square-foot” Tim O’Brien“It’s not about first cost it’s about operation and maintenance costs too”
Appraisals and Mortgagesare available that consider energy savings
Who Benefits in this new paradigm? • Homeowner Lower utility bills, better comfort • Builder Higher appraisal and selling price, referrals • Community Less need to expand infrastructure • State $ not going to utilities can expand purchasing power of homeownerand water savings are a big issue in New Mexico
High Performance Homes as seen by 2 local Production Builders Brian McCarthyAbrazo Homes Jesse Deubel Casa Verde Builders
Thanks! Steve Hale Program Director: Build Green NM bgnm@comcast.net