Wayne National Forest/Flickr
A new study by researchers at UCLA and UC Berkeley has found that having an environmentally friendly home in California can increase the sale price by about 9 percent.
The researchers analyzed data on 1.6 million single-family homes sold between 2007 and 2012, with approximately 4300 of them being certified by Energy Star, LEEDS for Homes or GreenPoint Rated. Based on an average selling price of $400,000, the study found that green certified homes sold for about $34,800 more than the rest.
“In certain regions of the state, we observed a phenomenon we’ve termed the ‘Prius effect’ — a positive correlation between the value of green home labels and environmental ideology, as measured by the rate of hybrid registrations,” said researcher Nils Kok in a statement. “In communities with strong environmental values, residents may see green homes as a point of pride or status symbol… It appears that a hotter local climate also provides a practical reason to value green homes. With both ideological and pragmatic reasons to go green, it’s no surprise that the popularity of these labels is rising.”