Green homes sell for more
California houses with green certification sell for average of 9 percent more
A green-certified home sells for significantly more in California than a similar, less-efficient home, a study finds.
Research conducted by UCLA professor Matthew E. Kahn and Nils Kok of Maastricht University in the Netherlands documented homes sold in California between 2007 and 2012, finding a green certification, such as Energy Star, adds an average of 9 percent to its selling value, according to the Los Angeles Times.
The researchers also discovered what they called the “Prius effect,” where buyers in ZIP codes with high percentages of hybrid-auto registrations are more willing to pay more for green-certified homes than buyers in areas with fewer hybrid registrations.
The study found no correlation between local utility rates and consumer willingness to pay more for green homes.