Yes. Energy-efficient homes generally command higher sale prices compared to less efficient homes.
Case in point: A study in California found that homes with green labels sold at an average premium of 9% compared to similar homes without such labels.
The National Association of Home Builders published an extensive report titled "What Home Buyers Really Want," and the answer is: energy efficiency.
Here's how features such as heat pumps, induction stoves, EV chargers, solar panels, and other home electrification measures meaningfully increase your home's value.
Energy Efficiency and Home Value
1. Solar Panels
According to a 2019 Zillow study, homes with solar panels sold for 4.1 percent more than comparable homes without them. Solar panels are especially attractive in areas with frequent power outages.
2. Heat Pumps
Heat pumps can increase home values by 4.3 to 7.1 percent. This is especially true in mild climates where heat pumps are most effective. The return on investment (ROI) is compelling: studies indicate you could recoup anywhere between 35–71% of the cost of replacing an older HVAC system.
3. Energy-Efficient Appliances
Energy-efficient appliances are a sought-after feature in modern homes. “Quality appliances, especially energy-efficient ones, are the best kitchen upgrade that significantly increases home value,” says Stephen Keighery, CEO and founder of Home Buyer Louisiana. Energy-efficient dishwashers, ovens, and other appliances not only save on utility bills but also enhance the appeal of your home to potential buyers.
4. Electric Vehicle (EV) Charging Stations
While EV chargers might not significantly change a home’s value today, they do help homes sell faster. According to Zillow, homes with EV chargers sell nine and a half days quicker than comparable homes without.
5. Double-Pane Windows and Other Efficiency Features
Homes with double-pane windows, drought-resistant landscaping, and other energy-efficient features can sell six to nine days faster than homes without these upgrades. These features also contribute to a higher sale price, as buyers recognize the long-term savings on energy costs.
Nine out of ten buyers would rather buy a home with energy-efficient features and permanently lower utility bills than one without those features that cost 2% to 3% less. (From "What Home Buyers Really Want")
Beyond Financial Value
Investing in clean energy goes beyond increasing home value and saving on utility bills. These improvements contribute to lower carbon pollution and a cleaner environment, benefiting the community and the planet.