One of the most common misconceptions I hear as a designer is that going green is costly, and will add

thousands to the bottom line of a project. In my experience working with architects, builders and

homeowners on many projects over the past decade, that is not the case. Especially in the higher end of

custom homes, choosing green design from the beginning will have minimal impact on the total project cost.

Many people dramatically overestimate the cost of green building, believing it will add 17% to the cost of a

building. In fact, a study of 146 green buildings found that the actual cost was less than 2% higher than

similar conventional buildings. In the same category of building, there are always expensive green buildings

and expensive conventional buildings.

Sustainable design seems more expensive than conventional building because building materials that make a

home more durable and energy efficient aren’t cheap. Common sense would tell you that it will cost more if

the basic materials are more expensive.

But appearances are often deceiving. Spending more for durable materials is cheaper in the long run because

they won’t need to be repaired or replaced as soon. Life-cycle costs, and not just initial costs, are an

important consideration when considering investing in green design.

For instance, high-performance windows may cost more upfront, but they allow for a smaller heating and

cooling system that is less expensive, and also keep electric bills lower. Even more importantly, if we think of

creating healthy, energy efficient homes as a necessary requirement for well-being, then the cost is truly

insignificant.

Planning Ahead is Key

The best returns on investment in green design happens when these features are integrated into the design

process from the very beginning rather than as a last-minute effort. With healthy, energy- and water-efficient

measures taken up front, the added costs are balanced by long-term savings. Initial expenditures continue to

pay back over time, like a good investment.

The good news is that building green is continuing to become more cost effective at all levels. There are

many more options and resources out there for green materials. For instance, low- or -zero-VOC paint is

readily available from all manufacturers, whereas that was a completely different story in 2006 when I

started my business. Countertop materials created from recycled materials, such as Ice Stone, are in the

same price range as a mid- level granite. Recycled glass tiles are no more expensive than many other tile

options for decorative backsplashes. Sustainably forested wood is easy to find in many price points.

There are many features in the interior of a green home that create benefits both financially as well as in

overall health and well-being, for little to no additional cost.

Indoor Air Quality: Non-toxic materials can often be purchased at no premium, and

ventilation and lighting can be improved through smart design. Financial benefits of clean

air, connection to nature and natural lighting are difficult to assess, but what is the value of

maintaining your health? Kids and pets are especially sensitive to toxins, making a healthy

home a high priority for families.

Water Conservation: WaterSense® plumbing fixtures are widely available from all

manufacturers, including Kohler, Hans Grohe and Toto. Products that carry the label achieve

a water savings of at least 20% without sacrificing performance and generally at no

additional initial cost. With drought an increasing concern in many areas, this is a critical

savings.

Energy Conservation: This is the largest potential investment, but savings can be achieved

with minimal cost through passive design strategies such as siting and window placement.

Implementing renewable energy such as solar creates greater energy savings, but at added

expense. The latest advances in this area such as solar roof tiles and battery storage systems

are helping to make solar a better investment.

Materials: Choosing your interior finish materials is a matter of preference and taste. There

are options available at every quality and price point and in every style. Reusing materials

can even save money. In a high-end custom home, many materials that would be selected

for their aesthetic value also create energy or health benefits. For example, venetian or clay

plaster walls are anti-microbial and help to regulate humidity levels.

Furnishings: There are now amazing options available at every price level and from many

manufacturers. This is an area to be aware of green-washing practices, so do your

homework on their claims. Reusing and repurposing items can be a great option. Choosing

durable materials that will last many years and still look good is a very important strategy,

but will cost more than buying cheap, throw-away pieces.

Green Homes Create Value

LEED (Leadership in Energy and Environmental Design) certified homes are designed to use about 30 to 60

percent less energy. Nationwide, the typical family lives in their home on average seven or eight years. The

savings in energy costs can add up to many thousands of dollars over that time.

Green homes are healthier to live in. Typical houses have indoor pollutant levels four to five times outdoor

levels. With people spending an average of 90 percent of their time indoors, this creates significant exposure

to unhealthy indoor environments. Respiratory ailments such as asthma and allergies are on the rise, and

indoor air quality directly affects your health.

Green homes are increasingly desirable. More than 50 percent of consumers rank green and energy-

efficiency as top requirements in their next home.

Green homes sell at higher prices and sell faster than comparable conventional homes. A 2011 study found

that green certified homes sold for 8 percent more on average than non-certified green homes, and about 30

percent more than conventional, non-green homes.

Average upfront costs to build a green home are just 2.4 percent over conventional home construction.

These expenses are quickly recouped on energy costs, and homeowners will continue to save money for the

duration of the home’s lifespan.

To Get Certification or Not

There are some costs to having your green home certified by a third-party organization. Many options exist,

and can vary by location. National programs include LEED, HERS (Home Energy Rating System), EnergyStar

and others. LEED is the most well-known program as they were the first nationwide program to gain traction

and awareness. Different levels of certification are available based on strategies implemented in the design

and construction. Many local programs also exist.

The primary advantage to having your home third-party certified is the additional credibility for resale

purposes. Certified homes sell for significantly more than non-certified, even though they may have the same

features built in.

LEED certification has four required fees for a typical single-family home. These include:

1. Single-family home fee: $650

2. USGBC Registration fee: $150/$225 depending on USGBC membership

3. Green Rater fee: Varies on scope of work, typically $1700-$2000

4. USGBC Certification upon completion: $225/$300 depending on USGBC membership

Total fees for typical home: Approximately $3000. This is a tiny fraction of the cost of most new homes,

probably less than your countertops! Other programs have different fees and costs, often lower than LEED.

There may be optional fees for design and assistance with documentation. Using a LEED AP as part of your

design/build team can gain you several cost savings, especially if they are also USGBC members. They can

provide the documentation as part of their services and be more time and cost efficient than hiring an

outside service.

Third-party certification provides peace of mind that your home was constructed properly and will be more

likely to meet energy savings goals. EnergyStar for Homes is basically a prerequisite for LEED homes, and can

qualify you for an energy-efficient mortgage. Green homes have reduced home insurance and higher

property values now that many real estate MLS listings show green features.

Want to Learn More?

If you are considering a green remodel or building a new sustainable home, the next step is to draft up your

Right Track action plan. Call 480-275-2968, or send an e-mail to design@sesshudesign.com.

You can schedule your Right Track 30-minute action plan building session with a LEED AP interior designer to

go through basic green design options for your project. At the end of your call you will not have a design or

final options but you will have an action plan based on your specific situation to make sure you are covering

all the key steps and avoiding the early risks of moving forward without your priorities clearly defined.