As followers of this blog will know, we at Endeavour have spent a lot of time on our Canada’s Greenest Home project. Our goal was to make the greenest home possible on an urban infill lot in Peterborough, and then to sell it on the open market to show that there is an appetite for “deep green” amongst home buyers.
The final phase of the project is now underway, with the house going on the market this week. Here is the Listing for 136-1/2 James Street.
The most interesting part of selling this home is how to put forward the unique value proposition we are attempting to make. Most home buyers look within a set price range for their new home, and do this with an implicit understanding that they will be assuming utility costs (heat, electricity, water) that are within a similar range to all other homes. This house radically alters that outlook: There are no utility costs and the home provides an income.
This means that the higher up front cost of buying a super-insulated and completely non-toxic home (LEED Platinum certified) has a very compelling overall financial picture. The solar income from the house averages about $3300 annually. The annual utility costs are around $1800 or $150/month (inclusive of heat, electricity and water, plus services charges and delivery fees). This means that for the remaining 18 years of the Micro-FIT contract, there is a $1500 annual income from the home after all utility costs have been covered!
Considering that an average home of a similar size in Peterborough will have total utilities bills in the $250-600/month range (from census data, 2011), this means that there will be an annual savings of $3,000-8,700 for this homeowner. Putting that extra money against the mortgage for the home can result in the mortgage being paid off 5-6 years earlier. And all that while enjoying a healthy and efficient home.
But can this case be made effectively in the current real estate market? There is no way to show this information in a quick and easy-to-digest form… the listing for the house shows the asking price, and a curious buyer would have to read the listing and inquire about more details in order to learn the whole story.
We hope that there are buyers out there who will be interested enough to find out the details. And we also hope that this helps to set a precedent for builders who want to make healthy houses that earn money and real estate agents who want to sell this kind of home!
If you’d like to help us set this precedent, please share this listing with your networks.