When the term “green” was first mentioned to describe a house a few years back, most people, including myself, thought of an outdoor dwelling where plants were grown. But today, “green house” has a much broader and larger meaning. When green house construction is mentioned now, people think of energy-efficient heating and cooling options, sustainable flooring and the like.

Green house construction has gone mainstream in many areas across the country. One may ask, what about the Georgia market? Is anyone even still purchasing homes with the ever-changing challenges in the market and fluctuating interest rates? Are buyers still as concerned with conserving energy and helping the environment as they are with “getting a good deal?” A recent article in the ajchomefinder (the Atlanta Journal Constitution’s source for home listings and classifieds, www.ajchomefinder.com) entitled “Builders, Owners Keen on Green” dated January 6, 2008, states that ten percent of all new homes will be built utilizing green construction techniques by 2010, up from two percent in 2005.

There was once a time when location, schools and price were the main concerns of a homebuyer; however, in Georgia, the need to conserve water and keep rising energy costs at bay are becoming priorities. Therefore, we’re finding buyers being more inquisitive, informed and concerned regarding energy efficient homes.

The U.S. Green Building Council says the net cost of purchasing a green home is comparable to purchasing a traditional home. One of the major savings, according to ajchomefinder, is that month-to-month people who live in green homes save money by consuming 40 percent less energy and 50 percent less water than standard homes.

A home purchaser in the ajchomefinder was quoted in “Builders, Owners Keen on Green” as saying, “Our house stays at a constant temperature. When I set the thermostat at 72 degrees, the house is 72 degrees. We went from 2,300 square feet in Dunwoody to about 3,800 square feet here, and our energy bill is less than it was in that house almost half the size.”

In Georgia, green townhomes currently range from $190 to $450 thousand. However, the average single-family residential green home ranges from the high $300s to the $700s.

Tori Ewing with Haven Properties says that because of last year’s housing market challenges, their sales numbers are not what they use to be. However, over the past several years, Haven Properties has built 100 plus homes to meet or exceed EarthCraft House™ standards. She also says that they are just beginning to see consumers at large be more mindful of a home’s energy consumption and savings. Everything else is “a tie breaker—all things being equal—price, location, size of home, etc.,” she says.

Dina Gundersen of Monte Hewett recently stated that their green home sales have been affected because of the challenges in the market, just as the builders in the standard home sales market have been affected. Like standard builders, they too have standing inventory. She noted that because their homes sell in the price range of mid $400s-$700s, their buyers are normally not first time homeowners and may not need to purchase at this time. Their purchases are more discretionary, and they can choose to make an environmental transition.

A lot of builders here in Georgia are focusing on selling all standing inventory before they start new building projects. Because of this, they are offering great buyer’s incentives. Dina also stated that those who want take advantage of the standing green home inventory are wise to do so now. After all, green home construction is part of a growing global eco-movement, and once inventory is gone and the market becomes more stable, the supply and demand for green construction will be much higher.

Overall, green construction market sales in Georgia are comparable relative to the market conditions. The current water crisis in Georgia has definitely raised more awareness for those that are currently in the home buying market. I believe that as the market begins to stabilize and the more education people receive about the benefits of purchasing a green home, the faster the green house market will grow across the board.

Sources: “McGraw-Hill Construction Green Building SmartMarket Report,” 2006.

Monique Howard is a REALTOR© with the Atlanta Upscale Living team, a firm that specializes in green home construction. She can be reached at 678-760-7433 or Monique@atlantaupscaleliving.com.

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