Home sellers and buyers: The Home Energy Score is coming...

If you’re in the market to buy or sell a home, you’re about to get a peek at the inner workings of your Portland home. That’s because starting in 2018, most Portland home sellers will be required to include a City of Portland Home Energy Score and report in their public listings.

Developed by the U.S. Department of Energy, a home energy score predicts how much energy a home will use, similar to the way a miles-per-gallon score rates a car. It also provides transparency on energy costs and guides future upgrades, giving sellers credit for investments in energy efficiency and helping buyers understand how their future home will perform.

To prepare for the change, real estate professionals like Megan Kavanaugh, Professional Realtor at RE/MAX Equity Group, are getting a head start now to make sure their seller clients are educated about the home energy score and what it means.

“I want to make sure the sellers I represent understand and comply with the new rules,” Kavanaugh said. “I think it’s important information for a consumer, whether they are selling their house or whether they want information on a future home.”

Transparence in home energy use is a growing trend among cities, including Berkeley, California, and Santa Fe, New Mexico. Portland City Council unanimously approved the home energy score policy last year, and it goes into effect on January 1, 2018.

5 Things You Need to Know

With the Home Energy Score coming to Portland soon, here’s what homebuyers and sellers need to know:

1. It’s straightforward: The score and accompanying report rank homes on a 1-10 scale, with 5 representing the average Portland home and 10 representing the most energy efficient homes.

2. Based on building science: The score is based on a home’s physical characteristics, not the current homeowner’s behavior or energy use or the types of lighting and appliances. Assessors look at features like the “envelope” of the home (the roof, foundation, walls, insulation and windows), its energy systems (like heating, cooling and hot water), and floor area or square footage.

3. Delivered by an authorized professional: Sellers must hire an authorized, licensed home energy assessor to perform a home energy assessment, as required by the local law. This is the best way to protect home sellers and homebuyers by ensuring an apples-to-apples comparison among homes.

4. Everyone benefits: For sellers, listing home energy costs may ultimately yield higher sale price and a quicker sale. For buyers, the score helps predict future utility and energy expenses. And both sellers and buyers benefit from the list of cost-effective improvements the home energy report includes for homes scoring a 5 or less.

5. It’s not about quality: A below-average score does not mean a home is poorly built a beautiful, sturdy home can get a below-average score. It just means there’s opportunity for the seller or future owners to make improvements that reduce energy use.

Enhabit, a local nonprofit, has conducted more than 14,000 home energy assessments and 6,000 home performance upgrades since 2010. With Enhabit, homeowners can instantly schedule Home Energy Score assessments online. A home is assessed in person, and a score is delivered in just 90 minutes.

Enhabit is currently scheduling home energy assessments for sellers preparing to list their home in 2018. Learn more at enhabit.org.