Residential Green and Energy Efficient Addendum

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Additional resources to aid in the valuation of green properties and the completion of this form can be found at http://www.appraisalinstitute.org/education/green_energy_addendum.aspx


The appraiser hereby certifies that the information provided within this addendum:
• has been considered in the appraiser’s development of the appraisal of the subject property only for the client and intended user(s) identified in the appraisal report and only for the intended use stated in the report.
• is not provided by the appraiser for any other purpose and should not be relied upon by parties other than those identified by the appraiser as the client or intended user(s) in the report.
• is the result of the appraiser’s routine inspection of and inquiries about the subject property’s green and energy efficient features. Extraordinary assumption: Data provided herein is assumed to be accurate and if found to be in error could alter
the appraiser’s opinions or conclusions. • is not made as a representation or as a warranty as to the efficiency, quality, function, operability, reliability or cost savings of the reported items or of the subject property in general, and this addendum should not be relied upon for such assessments.

Green Building: The practice of creating structures and using processes that are environmentally responsible and resource-efficient throughout a building’s lifecycle from siting to design, construction, operation, maintenance, renovation, and deconstruction. This practice expands and complements the classic building design concerns of economy, utility, durability, and comfort (US EPA). High Performance building and green building are often used interchangeably.

Six Elements of Green Building: A green building has attributes that fall into the six elements of green building known as (1) site, (2) water, (3) energy, (4) materials, (5) indoor environmental quality, and (6) maintenance and operation. The energy and water elements are the most measurable elements of green or high performance housing. Appraisers need savings amounts to develop an income approach to support energy efficient contributory value
THIRD-PARTY VERIFICATIONS (See types defined in glossary).
The following verified items are considered within the appraisal analysis of the subject property.
Green Certification
Certifications attest that the home meets certain minimum thresholds.
Environmental Protection Agency (EPA):
Energy Department (DOE):
Home Innovation Research Labs NGBS Home Remodel:
Home Innovation Research Labs NGBS New Home:
Living Building Challenge (LBC):
Passivehaus standard
Passive House Institute US:
USGBC LEED:
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ABOVE VALID ONLY IF CHECKED

Energy Label
Labels disclose the state the home’s energy assets.

RESNET'S HER Rating ( 0 to 150 )
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Energy Savings includes electricity, heating & Cooling. Score below 100 indicates energy costs are expected to be lower than average local code home per square foot. HERS Index Report estimates energy cost based on number of bedrooms plus one. Only a “confirmed rating” is a diagnostic test.
DOE’s Home Energy Score
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Energy Savings includes electricity, heating & Cooling.
Score above five indicates energy costs are expected to be lower than average local home. Home Energy Score estimates energy cost based on state average energy rates and the home’s energy features.
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ABOVE VALID ONLY IF CHECKED:

Verified Energy Improvements
Only include improvements with verified documentation

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ABOVE VALID ONLY IF CHECKED:

EFFICIENCY FEATURES (Water, Energy, and Environmental. See types defined in glossary).
The following items are considered within the appraisal analysis of the subject property:

Insulation
Building Envelope
Unit
Instructions: Insert the rating as a number that could be 0.5 to 7ACH50 or higher. The lower the number, the more air tight the envelope. Building Codes for area show maximum Envelope Tightness allowed based on the climate zone. Not all areas have adopted a building code. http://bcap-energy.org
Windows
Day Lighting
ENERGY STAR® Appliances
ENERGY STAR®:
Energy Source:
Note: ENERGY STAR® appliances do not result in an ENERGY STAR® Home.
Water heater
ENERGY STAR®
Water heater
Water heater
HVAC & Related Equipment
Describe in comments area.
Heatpump Efficiency rating
Indoor Environmental Quality
Indoor Environmental Quality
Radon system
Water Efficiency
Water Efficiency
Utility Costs
Includes (check all that apply)
Comments
Include source for information provided in this section.

If a property is built green but not formally certified, it still deserves proper description and analysis to value the features. The market analysis is of the structure’s physical, economic, and locational attributes and not an analysis of its label alone. Provide additional information that illustrates how this property exceeds local building code. This document is intended for new construction or existing homes that have been retrofit to include higher energy or green features. The objective of this Addendum is to standardize the communication of the high performing features of residential properties. Identifying the features not found on the appraisal form provides a basis for comparable selection and analysis of the features. Builders, contractors, homeowners, and third party verifiers are encouraged to complete this Addendum and present to appraisers, agents, lenders, and homeowners. Complete the pages that apply to the property appraised and provide to appraiser prior to the completion of an appraisal. Provide the Addendum to the lender at the time of loan application to assist them in understanding the property type so an appraiser with sufficient knowledge of this property type will be engaged to provide an appraisal to meet secondary mortgage market guidelines.

The objective of this Addendum is to standardize the communication of the high performing features of residential properties. Identifying the features not found on the appraisal form provides a basis for comparable selection and analysis of the features.Builders, contractors, homeowners, and third party verifiers are encouraged to complete this Addendum and present to appraisers, agents, lenders, and homeowners. Complete the pages that apply to the property appraised and provide to appraiser prior to the completion of an appraisal. Provide the Addendum to the lender at the time of loan application to assist them in understanding the property type so an appraiser with sufficient knowledge of this property type will be engaged to provide an appraisal to meet secondary mortgage market guidelines.