“Hey, knock it off in there!”
Noise. It’s hard to escape it. No wonder it’s such a high-value consideration with more and more home buyers. One recent survey revealed 62 percent of the homeowners said reducing home noise is important and they would be interested in a quieter new home.
Many factors go into the comfort and livability of the homes you build. Everything from the home’s floor plan and siting to floor covering, plumbing fixtures, and HVAC specification can influence “the livability factor.”
To that list, acoustics takes an increasingly high rank as buyers seek secluded retreats within the home, away from noise-producing activity. For example, noise can be particularly bothersome in rooms with high-vaulted ceilings. What steps are acoustic-smart home builders taking to enhance their properties? Here are a few field-tested approaches:
In a marketplace that rewards differentiation, acoustics can be a trump card – a high-value, affordable way to separate your brand from competitors.
One more tip to take to the bank: More than 60 percent of surveyed home buyers state their sales agent never mentioned sound control in the new home pitch. If you’re looking to make an indelible mark with top prospects, exploit that overlooked sales hook.
Shhhhh … you may have the playing field to yourself.
As building envelopes get tighter, air flow through the building is choked off and VOCs and allergens are trapped inside homes. In light of concerns about the amount of formaldehyde found in Lumber Liquidators’ products (which only violated California standards), more home buyers are going to be concerned about the level of air quality in their new living spaces. Here’s what you need to know about indoor air quality and how you can make your homes healthier and your customers happier.
KB Homes is building them in several states.
Meritage Homes may build up to 50 of them this year alone.
Toll Brothers is sitting tight for now, gauging customer demand.
And Lennar Corp.? They now offer solar panels and other advanced energy-saving features in select markets but so far say the idea is “… far from commercially available and financially affordable.”
The idea, of course, is the net-zero home. The subject is getting a lot of media traction these days. A Google search now presents nearly 12 million hits. What’s your position? Time to steal market share from slow-moving competitors? Or wait on the sidelines? Here are some things to consider.
What Is a Net-Zero Home?
The answer isn’t as obvious as it seems. True, it usually means installing photovoltaic panels on the home’s rooftop. But from there, definitions can vary widely.
For example, the U.S. National Renewable Energy Laboratory (NREL) cites no less than four categories of definitions, each depending on the owner’s net-zero objectives:
Other definitions embrace zero-heating home concepts, such as the conservation approaches used in passive home construction (ample insulation, tight sealing, optimum site orientation, excellent windows, etc.). Most home builders settle on this simple one, says Katherine Austin, AIA, and member of the National AIA Board Knowledge Committee Advisory Group: “… an all-electric home with a solar array large enough to meet demand.”
Reduce Before You Produce
Few dispute the growing consumer interest, if not outright requirement. In recent months, the U.S. Department of Energy has certified 370 “net-zero energy ready” homes. An additional 14,500 homes are considered close to zero-energy specifications by the agency.
If you’re considering working with a home buyer to build at or near net-zero specifications, keep in mind the energy mantra, “Reduce before you produce.” The home must be built to squeeze-out every possible dime of energy savings, starting with the insulation and running through the energy-efficient appliances, windows, doors, lighting, water heating, and the HVAC system.
Don’t forget the passive building strategies mentioned earlier like the building orientation to the sun, window and door placements, deep overhangs, and other tried-and-true green building techniques. They reduce heating and cooling loads by using solar energy when needed and avoiding it during the summer months.
Next Steps
What’s your next move if you’re thinking of offering a net-zero option?
A good place to start is Home Innovation Research Labs of Upper Marlboro, MD. They’ve taken some of the guesswork out of searching for budget-friendly ways to build green by categorizing the most cost-effective building methods. For instance, builders who construct houses to its National Green Building Standard have access to information and resources that list step-by-step ways to construct economical high-performance houses.
The trend line is clear. If you’re looking into net-zero building options, congratulations. You’re making a prudent business move. If you haven’t, there’s never been a better time to start.
According to the Urban Land Institute’s report “Emerging Trends in Real Estate 2015,” the combined impact of millennials and aging boomers—all 160 million of them—will have a significant impact on the housing market for years to come.
Let’s put that prediction into context…
Zillow estimates that by the end of 2015, millennials (aka “Generation Y”) under the age of 35—born between 1980 – 2000—will overtake the Generation Xers—children of the boomers, between the ages of 35-50—to become the largest group of homebuyers in the U.S. And according to a recent report released by the Joint Center for Housing Studies of Harvard University, millennials will form 24 million new households from 2015 to 2025. Wow!
Homebuyer SOM
SOURCE: 2015 National Association of Realtors, “Home Buyer and Seller Generational Trends”
And because the median age of the millennial generation is only 23, the economic buying power of this group is on the upswing. Millennials represent the largest share of first-time homebuyers, at 68%. But a tough credit climate—affecting buyers and builders alike—as well as a tight job market will be an obstacle for many of these young homebuyers.
Similarly, aging boomers will continue to influence the market as their housing needs change. According to the NAHB, the number of households headed by individuals 55 and older will comprise 45% of the total U.S. housing market by 2019. And currently, one in eight U.S. residents is 65 or older. This generation however, has stronger credit and more accumulated wealth, on average.
One of the most interesting housing trends created by these two demographic phenomena is the emergence of the multi-generational home. It turns out that a full 13% of all homebuyers purchased a multi-generational home last year to accommodate either aging parents on the one side or boomerang children on the other, according to the National Association of Realtors. A recent Pew research study concluded that 50 million Americans currently live in a multi-generational home—a 10% increase since 2007.
What Does This Mean For Builders?
If diversification is the key to weathering the ups and downs of markets, these demographic trends represent a perfect storm for homebuilders—growth at both ends of the spectrum.
Well-designed, entry-level “starter” homes for the emerging millennial market is a long-term growth segment for builders. The homes serving this segment, however, need to appeal to the demographic: practical, functional, homes which are small, energy-efficient, and driven by technology. And because this group is facing a tight credit and job market, marketing these homes to potential buyers based on monthly, fixed payments and low energy bills will appeal to their underlying financial concerns. Assistance with financing may be key to increasing closing rates.
While builders are waiting for the credit and job market to loosen in the millennial’s favor, focusing on the changing housing needs of the aging boomer generation makes good business sense.
Most aging boomers would prefer to “age in place” and are downsizing from McMansions. This group prefers an active lifestyle; will probably work well beyond retirement age in some capacity; craves freedom from excessive home maintenance; and will often move to be close to children and grandchildren. While single-family homes–which can incorporate universal design principles—are still plenty viable for seniors, today’s emergent senior developments have migrated and evolved from the traditional “golf course” design into a variety of options that offer a little something for everyone.
Finally, multi-generational home design can be tricky depending upon the zoning restrictions within each community. Simply creating a separate, private entrance or an attached guest suite that can be opened or closed depending upon the owner’s needs may offer a solution for all concerned.
The bottom line is this: Know your customer. Adapt to those changes. And try a new approach to creating a product that will meet the needs of a changing marketplace.
The decision to offer homes that are high performance, energy efficient, non-toxic, sustainable—whatever the preferred term—involves many considerations and builders must weigh expenses and impediments against potential benefits. Of course, green building techniques and products reduce a home’s environmental impact as well as owners’ operational costs, but what do they do for a builder’s bottom line? In this special package, BUILDER presents a cost versus benefit analysis exploring the economics of green home building.
Add another selling point for new homes—homeowners consider them healthier than homes built before 2001, according to the Houzz 2014 Healthy Home Trends Study.
Houzz, an online platform for design and remodeling, surveyed 808 homeowners nationwide, asking them to rate the health of their homes when considering factors like air quality, comfort, pest control, and security.
What makes a house healthy? More than 60 percent of respondents rated their homes as healthy and more than half highlighted comfort; exposure to chemicals; exposure to germs; and security as factors very important to health and well-being. Read this article to find out more about the survey results.
There is a lot of talk about high-performance building envelopes. As the outer shell of a home, the building envelope encompasses the roof, exterior walls, and foundation. A “high-performance” building envelope is one that most efficiently facilitates the building’s climate and moisture control, thereby increasing comfort and energy efficiency, (which reduces energy costs), and lowers the home’s overall energy footprint. All good things.
There are many ways to increase performance – some produce only minor gains while others can significantly improve it. Whether you aim to simply meet code, achieve various certification levels, or go significantly beyond, here are some steps that are practical and fairly easy to implement on every project you undertake.
1. Roof
Roofs are subject to extensive heat, heavy rain, and/or snow, depending upon the zone. Its job is to resist water infiltration and protect the rest of the home.
2. Exterior Walls
The biggest issues for walls are related to moisture penetration, particularly wind-driven rain, and heat loss.
3. Foundation
There are two important facts about foundations and moisture control: The ground surrounding the foundation is always wet and foundation walls cannot dry to the outside. Once moisture hits the porous concrete, pressure differentials between the outside and the inside create capillary action that can pull moisture from the foundation all the way up to the roof, if the foundation is not properly protected.
Are you ready for the 2015 International Energy Conservation Code (IECC)? Changes to the 2012 code will make the 2015 version the most energy-saving code yet. But, as with any building code, the 2015 IECC has to be adopted by a state or local jurisdiction before it takes effect. Roughly half of the country is currently under the 2009 IECC, but many states and cities are considering the 2015 IECC as their next energy code. This will affect home builders across the country.
The biggest change to affect builders is the introduction of a new Energy Rating Index (ERI) compliance path. Overall, the ERI compliance option provides design flexibility that can lead to significant cost savings over the prescriptive path, while also allowing home buyers to understand a home’s energy efficiency and save money on utility bills.
Read this ARTICLE and get prepared for the 2015 International Energy Conservation Code (IECC).
To build a house to the super-rigorous energy conservations Passive House requires involves a large investment that may be challenging to many profit-minded home builders. The idea of lowering the home’s carbon footprint is certainly appealing to many homeowners, but the substantial upfront cost is a roadblock that may be tough to overcome.
That’s why many enterprising home builders “steal smart” from their high-end building brethren to construct homes that are impressively comfortable, efficient, and more marketable to a broader range of prospective home buyers.
It starts by critically thinking about all the areas where thermal bridges and outside air can compromise home heating and cooling performance, from the attic to the basement. Here are a few ideas:
You don’t need to build to a Passive House standard to create a better product for home buyers. By observing a few affordable conservation techniques, you can deliver a higher performance home that’s a market winner at a competitive price point.
Quail Homes is a premiere Northwest custom home builder and remodeler serving Vancouver Washington, Clark and Cowlitz Counties, and the Portland Oregon Metropolitan area. Quail Homes has been in the Northwest homebuilding business for over twenty years. They have been successfully building homes with staggered studs in the walls to help create a thermal break which reduces heat transfer from inside to outside of their homes (and vice/versa). Now, a recent change to their home building recipe to include the addition of 1″ thick continuous exterior foam board insulation has brought air tightness, improved thermal value and increased moisture management to their homes. As a result, homeowners enjoy a comfortable, energy efficient and durable home. Find out more HERE.
