Green home construction has moved into the mainstream among single-family and multifamily home builders, according to the new report “Green Multifamily and Single Family Homes 2017 SmartMarketBrief.” The report was conducted by Dodge Data & Analytics in conjunction with the National Association of Home Builders.

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At least one-third of builders surveyed say green building is a significant share of their overall activity (more than 60 percent of their portfolio), according to the report. By 2022, this number is expected to increase to nearly one half in both the single-family and multifamily sectors.

“These findings show that green building has become an established part of the residential construction landscape,” says Granger MacDonald, the NAHB’s chairman. “It is no longer a niche business; our members recognize the value of building green and are incorporating these elements into their standard business practices.”

Builders report the top drivers to building more green has been due to customer demand, greater availability and affordability of green products, the prospect of producing a higher quality home, and appraisers recognizing the greater value in green homes.

The most common method of improving the performance of a green home is increasing a home’s energy efficiency, followed by creating a healthy indoor living environment, according to the report.

“As consumers become more familiar with the impact that their homes can have on their health and well-being, we wouldn’t be surprised to see the influence of this factor continue to grow,” says Steve Jones, Dodge’s senior director of industry insights research.

Builders report an increase in customer demand for net zero homes too. More builders are reporting developing net zero homes or have plans to build one soon. Twenty-nine percent of single-family home builders say they’ve built a net zero home in the past two years; 44 percent plan to do so in the next two years.

Builders are becoming less concerned about the higher startup costs of building a green home. More builders believe consumers will pay more for a green building.

Source: “Green Multifamily and Single Family Homes 2017,” National Association of Home Builders (Sept. 27, 2017)