The housing market is crazy right now, which may lead you to consider upgrading your home’s heating and cooling system to increase your home’s value. Is it worth it?
The California housing market
This question really depends on your local market and how much competition you’re up against. In some markets, energy-efficient homes are in high demand and can help you sell your home more quickly. In other markets, buyers may not be as concerned about energy efficiency, so you may not see a return on your investment. But as you can probably guess, it has been proven to make a difference here in California!
Here’s a neat statistic from the U.S. Department of Energy: “Energy Upgrade California in Los Angeles County…and the Green Label Rebate Program funded three case studies to add support to a larger study that found upgraded homes sell for an average of 9% higher than those that are less energy efficient.”[1]
Benefits of an upgraded heating and cooling system
The families participating in the “Energy Upgrade” study by making these energy-efficient upgrades also saved $1,600-$2,237 per year in reduced energy costs! (To be fully transparent, we want to mention that these upgrades weren’t just limited to a new heating and cooling system but also included insulation upgrades like blown-in insulation and new windows/doors.)
So, not only can you make money from this investment when you sell your home, but if you don’t move, you’ll also save on your energy bills!
Go for the upgrade … in most cases
Of course, whether the investment is worth it also depends on your unique situation. Suppose your heating and cooling system is older than ten years old. In that case, there’s likely a significant SEER (Seasonal Energy Efficiency Ratio) difference between your current system and a new, energy-efficient model. Whereas, if your heating and cooling system is less than ten years old, then the upgrade may not be a worthwhile investment.
It’s all about perceived value
As we all know, going green is the new “it” thing. And for a good reason – it helps save our environment! (Not to mention, if you have a green heating and cooling system, you could actually get money back from the government in the form of a tax rebate.) But as the studies cited by the Department of Energy show, homeowners in California are also willing to pay more for an energy-efficient home.
So, if you’re considering upgrading your home’s heating and cooling system, then we say go for it! Not only will you be saving money on your energy bills, but you’ll also be increasing the value of your home, especially when considering the hot Inland Empire market!
If you’re still not sure whether or not it’s worth upgrading your heating and cooling system, talk to the experts here at Ballard! After a home examination, we can give you an estimate of how much it would cost to upgrade your home. Contact us online or give us a call! 909-297-1914