I caught a news piece this morning while at the gym. The title was something like the one above. The segment dealt with the question, Do energy efficient upgrades in a home make a difference in the sale price? Even with long-term energy savings, the short and resounding answer was, “NO.” While it makes all the difference for the environment, the sale prices do not reflect the upgrades, whether it be solar, added insulation, dual flush toilets, Energy Star appliances, etc. The target then got pinned on appraisers. They bluntly said that it was the appraisers fault… [paraphrased] The appraisers are behind the curve on this one. It’s the appraisers that have not gotten up to speed and are not giving correct value to these items. When an appraiser sees a furnace, whether it’s energy efficient or not, they just see a furnace…”
Now I have friends that are appraisers that will read this and have an acid reflex response (a little sour taste in their mouth). And I know theses appraisers do know the difference and can spot energy efficient systems.
I would love a response/rebuttal from the appraisal world. Sound off.
And don’t kill/hate the messenger – I’m just reiterating what I saw on the news this morning.
Keith Klassen – Real Estate Broker