From textured walls to industrial-style flooring, concrete makes an excellent choice for eco-conscious clients searching for high style and low maintenance.

Concrete has been a construction mainstay for a very long time. Perhaps that’s why many Americans consider concrete a purely functional material. But designers say this durable material can also add sleek sophistication and exciting texture to new homes and renovation projects.

One more point for concrete? It’s a sustainable material, making it a desirable option for the environmentally conscious. Recently, more than 50% of real estate professionals reported that their clients have shown an interest in sustainability, according to National Association of REALTORS® data.

Sustainable Concrete 101

As long as sourcing, production, and construction methods are considered, concrete makes for an incredibly sustainable material, according to designers.

Concrete’s durability reduces the need for frequent replacements, minimizing resource consumption over time, says Danielle Nash, project director and interior designer with Freemodel. “Concrete also can be recycled at the end of its life … and the techniques used in concrete production are energy efficient.,” she adds.

But the beauty of concrete is that it helps homeowners keep saving on energy and utility costs.

“Concrete’s thermal mass properties help regulate indoor temperatures, reducing energy consumption,” explains Bilal Rehman, interior designer and owner of Bilal Rehman Studio in Houston. He says concrete’s potential to reflect sunlight can also reduce “the urban heat island effect” — the higher temperatures experienced in cities compared to surrounding rural areas.

Sustainable Concrete Trends in Home Design

Concrete, like cork or reclaimed wood, can be used in large-scale and small room renovations. It’s a versatile material that can add an industrial or earthy textural aesthetic, depending on its use in a space.

Here are five ways concrete can be used in upcoming personal or client construction and design projects.

Concrete Wall Finishes

Looking for a fun alternative to wallpaper or wood paneling? Nash and Rehman suggest concrete.

“Textured or stamped concrete used on walls adds visual interest and a unique tactile experience,” says Nash.

For a visual pop in new construction and remodels, Rehman loves the high-end, sophisticated look of a single concrete wall surrounded by conventional sheetrock walls.

Concrete Flooring

Concrete flooring has been used in garages and industrial spaces for decades. Today’s homeowners have a wide range of concrete flooring options that elevate the look of a space without adding complicated maintenance protocols.

Rehman opted for sleek black concrete floors in his Houston-based studio. “The concrete floors create an intense contrast to the more opulent elements like lighting and furniture, resulting in a captivating interplay,” he says.

Concrete Light Fixtures

Nash says minimalist pendant lights made of concrete are a great way to play with this material without committing to major changes like concrete walls or concrete flooring.

Unlike glass light fixtures, which emit a glow, opaque concrete shades and pendants act as spotlights. The way concrete pendants channel light in a single direction can help add a dramatic element to layered lighting schemes.

Concrete Countertops

Concrete’s durability and low maintenance make it ideal for kitchens and bathrooms.

Homeowners who have latched onto the minimalist decor trend will also appreciate concrete slab countertops’ sleek, modern appearance. Because pigments can be added to the concrete before it is poured, concrete countertops are available in every color. Finishing the countertop with a stain can even give the concrete a look that mimics natural stone, according to Angi.

Concrete Accessories

“For those that want to dabble and experiment with the use of concrete, accessorizing is a wonderful way to see if the look is something that suits your design needs,” says Nash. “Many [retailers] offer a wide range of accessories, ranging from coasters to sculpture art pieces for people to experiment with how much concrete to incorporate into their design.”

Finding Sustainable Concrete Resources and Retailers

Not all concrete products are the same. Homeowners should understand that unsustainable sourcing and production methods can counteract the low carbon footprint of the concrete product itself.

“Look for concrete suppliers in your local area that prioritize sustainability. Many suppliers provide information on their practices, such as the use of recycled materials or energy-efficient production methods,” says Nash, who also recommends asking architects, contractors or other homeowners for recommendations on sustainable concrete sourcing.

Wondering which retailers offer trendy concrete home decor and furniture? Both designers recommend CB2. Other recommendations include:

• West Elm
• Holly Hunt
• Umbra Shift
• Concrete Cat

“Concrete is definitely one of those materials just like rattan that circulates in and out of trend really often and really fast,” says Rehman. “When not in trend, you’re left with a few options like Etsy, vintage finds or even, dare I say, a little DIY moment.”

National Association of REALTORS®

Reprinted with permission

Homeowners unlock federal energy-efficiency rebates, influencing market trends.

The housing market stands on the verge of a significant transformation, driven by evolving sustainability trends that are reshaping buyer preferences and home construction standards. In fact, the 2023 National Association of REALTORS®’ Sustainability Report for the residential sector highlights the consistent demand for energy-efficient features, transcending the North-South or red-blue state divide.

Angi, the home improvement website, asked homeowners about their major investment plans for the next five years. While traditional projects such as bathroom remodeling and basement refinishing remain popular, the Angi survey showed a growing interest in new projects, such as heating and cooling system upgrades and the installation of solar panels. Notably, a ratio of 1 in 3 homeowners is considering solar panel installation, and 1 in 4 is planning a heating and cooling system upgrade.

New building codes aimed at enhancing energy efficiency and reducing household energy consumption have also had an impact on market transformation.

Between 2006 and 2015, newly constructed residential buildings saw a nearly 30% improvement in energy efficiency due to updated building code requirements, according to the U.S. Department of Energy’s Building Energy Codes Program. Since 2009, almost every state has updated its building codes, contributing to significant reduction in energy usage. (See energycodes.gov/infographics.)

Unlocking Funds for Sustainable Home Enhancements

The Inflation Reduction Act, passed in August 2022, is expected to greatly accelerate this market shift through its home energy rebate program. It heralds a new chapter in property ownership and investment practices. The act allocates a substantial $8.8 billion for programs encouraging homeowners to enhance the efficiency of their homes through two primary initiatives.

1. High-Efficiency Electric Home Rebate Act (HEEHR)

This program allocates $4.5 billion to individual states to help low- and moderate-income residents create energy-efficient homes, save on monthly utilities, and lower their carbon footprints. Through point-of-sale rebates on electrification appliances and equipment, the act offers 100% rebates (up to $14,000) on electrification projects for low-income households and 50% rebates (also to $14,000) for moderate-income households.

Some items included in these rebates are:

• Heat pump HVAC systems
• Heat pump water heaters
• Heat pump clothes dryers
• Electric stoves and cooktops

Also included are “enabling measures” for projects such as upgrading ventilation, circuit panels, air sealing, insulation and wiring.

2. Homeowner Managing Energy Savings Program (HOMES)

This program allocates $4.3 billion under HEEHR to individual states’ energy offices. Funds through the program are available to every household regardless of income; however, low- and moderate-income homes are eligible for higher rebates. Also, like HEEHR, this allocation is designed to provide rebates to help Americans create more energy-efficient homes—but that’s where the similarities stop.

Unlike HEEHR, HOMES doesn’t provide point-of-sale rebates on equipment purchases. Instead, it offers rebates based on modeled or actual home performance. There are two paths for rebates through the HOMES program.

First, the modeled-performance pathway calculates rebates based on the projected ability of an improvement to increase a home’s energy efficiency compared to its historic usage.

Contractors or other program implementers will use energy modeling software to establish an initial baseline for a home’s energy consumption and to propose a new energy model depending on the type of retrofit the homeowners have undertaken and their home’s historical energy usage. How much of a rebate can homeowners expect from this model?

For low- and moderate-income homes:

• Retrofits that achieve energy system savings of at least 20% but less than 35% are eligible for the lesser of $4,000 or 80% of the project cost.
• Retrofits that achieve energy system savings of at least 35% are eligible for the lesser of $8,000 or 80% of the project cost.

For high-income homes:

• Retrofits that achieve energy system savings of at least 20% but less than 35% are eligible for the lesser of $2,000 or 50% of the project cost.
• Retrofits that achieve energy system savings of at least 35% are eligible for the lesser of $4,000 or 50% of the project cost.

It’s worth noting that projects that result in energy savings of less than 20% are not eligible for rebates, regardless of cost.

Alternatively, the measured-performance pathway provides rebates based on a home’s actual energy performance. These rebates require the use of an approved open-source measurement and verification software to measure and verify a home’s energy savings based on historical and future utility bills. Homeowners still get their rebate upfront, most likely through an aggregator, who is in turn paid once the savings are demonstrated.

For low- and moderate-income homes:

• Retrofits that achieve energy system savings of at least 15% are eligible for a rebate that’s based on the number of kilowatt hours saved.
• Rates will be set at the state level based on the energy usage of an “average home” in that state.
• Or, rebates may be issued for up to 80% of the project cost.

For high-income homes:

• Retrofits that achieve energy system savings of at least 15% are eligible for a rebate that’s based on the number of kilowatt hours saved.
• Rates will be set at the state level based on the energy usage of an “average home” in that state and will be lower than the rates for low- and moderate-income homes on a per kilowatt hour basis.
• Or, rebates may be issued for up to 50% of the project cost.

If the actual savings resulting from an improvement is less than 15%, the home-owners aren’t eligible for a rebate. Also, the bill itself does not specify that homeowners pursuing measured-performance rebates are automatically given the lesser of the amounts above, but it may be wise to operate under that assumption.

Clean Energy Tax Credit (Code 25D)

Also stemming from the 2022 Inflation Reduction Act is an array of tax credits designed to promote the use of clean and efficient energy sources by homeowners. (Visit energy.gov/eere/solar.) Fortunately, the credits are all much simpler to understand than the rebates available through HEEHR and HOMES.

Under Code 25D, between now and 2032, homeowners can qualify for a 30% tax credit on purchases of or expenditures related to qualified:

• Solar electricity generators
• Solar water heaters (if at least half of the energy used in the home comes from the sun)
• Fuel cells and battery storage with a capacity of at least three kilowatt hours
• Small wind energy generators
• Geothermal heat pumps that meet Energy Star requirements

Heads up to homeowners: Act sooner rather than later, because the credit begins to shrink starting in 2033. It drops to 26% that year and 22% the following year.

Energy-Efficient Home Improvement Tax Credits

Like the credits available via Code 25D, the credits offered through Code 25C are easy to understand and relatively easy to qualify for. Homeowners who make efficiency upgrades, such as better insulation and improved heating equipment, can claim a rebate of up to $1,200 or 30% of project costs on their annual tax returns.

Furthermore, homeowners who install heat pumps can claim up to $2,000, and another $600 is available for homeowners who make upgrades to their electrical panels. Lastly, homeowners who coordinate with their utility provider to conduct a home energy audit (sometimes called a “home energy assessment”) can claim an additional tax credit of $150.

In total, homeowners can claim up to $3,200 in energy-efficient home improvement tax credits each year.

EV Charging Station Tax Credit

Through the electric vehicle charging station tax credit (Code 30C), owners of alter- native fuel vehicles can claim a healthy tax credit when installing charging stations on their property. (Visit afdc.energy.gov to learn more.) Starting on Jan. 1, 2023, installing fueling equipment for alternative fuel vehicles—including natural gas, propane, hydrogen, electricity, E85, or diesel fuel blends containing a minimum of 20% biodiesel—began earning homeowners a tax credit of 30% of the cost of the installation project, or 6% of the project cost in the event that the property is subject to depreciation.

However, there are limitations. No matter what the cost of the installation is, home-owners can claim a maximum of $100,000 for each single item of property. Keep in mind that associated costs, like permitting and inspection fees, aren’t included in total expenses.

A charging cable that plugs into a 220-volt outlet doesn’t qualify as a charging station, according to the IRS. In other words, a charging station must be a permanent fixture at the location where the EV is charged. Additional qualifying language from IRS Form 8911 notes that to qualify for the credit, a charging station must meet the following conditions:

• The homeowner placed the refueling property in service during that tax year.
• The original use of the property began with the homeowner.
• The refueling property isn’t used predominantly outside the United States.
• If the refueling property isn’t for business or investment use, it must be installed on property used as your main home.
• Property placed in service after 2022 must be located in an eligible census tract.

Optimizing Savings With State and Local Incentives

Households stand to gain even more when they combine the rebates and tax credits availablethroughthe Inflation Reduction Act with rebates and incentives from state and utility programs. As of October 2023, DOE Home Energy Rebate guidance says the HOMES and HEEHR programs aren’t taxable and can be paired with the 25C Energy Efficient Home Improvement tax credit for certain upgrades. Although the Inflation Reduction Act doesn’t permit the simultaneous use of HOMES and HEEHR to finance a single upgrade, it does allow homeowners to combine these rebates across various federal funding sources, such as the Weatherization Assistance Program, a DOE program that focuses on retrofits for insulation, heating and cooling systems, and electrical appliances, with an emphasis on addressing the “whole home.” Each federal grant must be allocated exclusively for distinct and separable upgrades. For example, a household can’t get a rebate from the WAP and IRA for the same heat pump upgrade.

Accessing Funding Opportunities

Currently, states are in the process of finalizing their IRA rebate program designs, adhering to guidelines set by the DOE, which will review these program designs. Once approved, home-owners will be able to access rebates through state-identified channels, with program rollouts scheduled to commence this year and beyond.

States are required to submit a Market Transformation Plan to unlock 25% of the funding available to them. In their plans, states must describe how they will enable a market to recognize the value of homes that have been upgraded through the home energy rebates, including at time of sale or rental. This piece has major implications for the real estate community as green homes have the potential to influence and attract a growing set of buyers and their agents.

National Association of REALTORS®

Reprinted with permission

Weatherization, also known as weatherproofing, protects a home’s interior from outdoor elements, moisture and extreme temperature fluctuations.

Those who live in cold climates are well versed in adding an extra layer or two to stay warm as temperatures drop. Though homeowners might not think of it as such, the same concept applies to homes in cold climates. Weatherization, also known as weatherproofing, protects a home’s interior from outdoor elements, moisture and extreme temperature fluctuations.

Weatherization begins with a home energy assessment, a critical tool for any new homeowner to identify efficiencies (or lack thereof) and evaluate upgrades to reduce energy use. Real estate professionals can help educate clients and set them up for success by communicating the value of an energy assessment as part of a new home system review.

What to Expect From a Home Energy Assessment

The first step for any home energy assessment is to find a qualified professional who will determine the best course of action for improvements based on the home’s current systems and the homeowner’s energy goals. Many states, like New York, offer home energy assessments with certified energy auditors at no cost to homeowners, and technical assistance and incentives are often available for commercial and multifamily buildings. To find a qualified home energy assessor in your area, direct your clients to:

• Your state or local government’s energy or weatherization office
• Your local energy utility
• The Residential Energy Services Network
• The U.S. Department of Energy’s Home Energy Score tool

Before an energy assessment, homeowners should make a list of any known issues—drafts, condensation, etc.—and should prepare copies of their most recent energy bills. Assessors will use this information to guide their audit and complete a room-by-room walkthrough, including the attic and basement, to better understand energy usage. They pinpoint exactly where the home might be “leaking” air and wasting energy on both heating and cooling, as well as identify any potential health or safety issues.

Many factors, including the size and layout of your home, can influence an energy assessment. Homeowners should be prepared to answer a range of questions about energy useage or concerns, which will help assessors determine recommendations.

Weatherization 101: Why is it important?

Just like a thermos insulates hot coffee and a cooler keeps beach drinks chilled, weatherization gives a home a protective shield against the elements. The goal is to lock out extreme temperatures to help maintain consistent and comfortable temperatures inside.

In a typical home, 43% of annual energy consumption goes toward space heating, but if the home isn’t properly weatherized, air leaks can waste 25%-40% of the energy used for heating and reduce overall efficiency.

Beyond the potential cost savings, weatherization is also important for the comfort and safety of a home home. Drafts and air leaks can cause uneven temperatures throughout a home, and can also lead to poor ventilation, exposure to mold and allergens from moisture and pollutants.

Common and Cost-Effective Weatherization Upgrades

Seal Air Leaks

Air that leaks through cracks in the walls, floors and roof of the home can disrupt heating and cooling efficiency and comfort. Some leaks, like those around windows and floorboards, are easily noticeable, while others in less obvious areas like the attic or foundation may go unnoticed without a professional energy audit.

Homeowners have multiple options for air sealing: weatherstripping, caulking and spray foams are realistic DIY projects to mitigate leaks and start to recoup energy savings. Working with a qualified contractor is recommended for larger air-sealing projects like attics, basements or crawlspace rim joists, or other hard-to-reach locations.

Upgrade Windows and Doors

Weatherstripping and caulking windows and doors can help minimize air leaks, but in some cases repairing or replacing them may be necessary. Homes with single-pane or older windows can benefit from installing storm windows or insulated panels, or upgrading to double- or triple-pane windows. Consider the National Fenestration Rating Council rating when looking for the most efficient option. Installing new exterior doors can also help with heat retention.

Add Insulation

Insulation creates a stronger thermal barrier between the interior and exterior of your home, which can improve efficiency and temperature control, limit noise, and protect against pests. Attics, basements, crawl spaces and exterior walls are all common locations that can benefit from adding or replacing insulation. By adding insulation and air sealing together, homeowners can expect to save as much as 15% on heating and cooling costs.

Check the HVAC System

Heating, ventilation and air conditioning systems regulate and move warm and cool air throughout your home. Over time, the air ducts in HVAC systems can develop leaks, especially at the seams, decreasing efficiency and increasing costs. Work with a reputable HVAC contractor to seal the ducts and, if your HVAC system is on its last leg, consider replacing the system with a heat pump that can deliver year-round comfort and long-term savings.

Next Steps

Weatherization is an investment in comfort, safety and long-term energy savings. Currently, many weatherization upgrades qualify for both state incentives and Inflation Reduction Act tax credits. Additional IRA rebates are planned for 2024, but are not yet available to consumers. Learn more about creating energy efficiencies at home by contacting the energy authorities in your state.

National Association of REALTORS®

Reprinted with permission

From induction ranges to faucet aerators, there are many ways to boost a kitchen’s sustainability score.

You’ve heard it here before: More than half of real estate professionals recently reported that their clients are interested in sustainability. For some homeowners, environmental consciousness is a lifestyle choice. For others, going green is purely practical. Reducing energy and water use lowers utility bills, after all. Sustainable home features can also become selling points in property listings.

Of course, every room in a structure comes with its own environmental challenges. Whether you’re interested in an eco-friendly new build or are considering a renovation, the kitchen is a great place to focus efforts.

The Importance of Sustainable Kitchen Design

“The first priority of a renovation or new build should be the sustainability and long-term use of the kitchen,” says Nicci Pucci, real estate professional and owner and principal designer of Tambourine Home in Las Vegas.

Jeff Manning, CEO of ABG Builders, a West Coast commercial construction and development company, agrees: “Kitchen and bathroom upgrades add more marketability, resale value, and open the home for greater appreciation.”

Homes with environmentally friendly kitchens pack in several selling points:

• Sustainable kitchens reduce energy and water bills.
• Sustainable kitchens lead to positive buyer perception.
• Sustainable kitchens are often healthier due to the incorporation of natural materials that are inherently antimicrobial.

Building a Sustainable Kitchen from the Ground Up

What makes a kitchen sustainable? Manning says it is a combination of several factors, from energy and efficiency to plenty of natural light and air circulation. Creating a sustainable kitchen in a new build is easiest, but there are still ways to boost eco-friendliness in existing homes.

Following these sustainable kitchen design ideas can help a new build stand out. They’re also helpful considerations for homeowners who want to renovate the kitchen to boost home value.

Consult the experts

Sustainability is trending, which means there are always new energy-efficient and eco-friendly products and materials on the market. To stay on the leading edge, builders and developers remain in contact with experts in the field.

“Consulting with the U. S. Green Building Council for Residential Kitchens is the first item a savvy home owner or developer might do,” says Manning. “This internationally recognized organization has guidelines and parameters for outlining the best methods for an energy efficient kitchen.”

Assess the ‘building envelope’

“In new construction, the first places to save energy would be through the building envelope — things like insulation and types of windows, then looking at the heating and cooling systems…” says Jennifer Turchin, a LEED–accredited architect at Coda Group, a sustainability consulting firm in Southern Nevada.

Of course, this assessment applies to the entire building, not just the kitchen. But kitchen cooling and insulation are critical since the space tends to be heated and used frequently.

Install an under-sink heater

In the kitchen, hot water is necessary for cooking, washing up, and making hot drinks. Have you ever noticed how much time and water are wasted running the tap while you wait for it to get hot? There’s a solution for that.

“Adding insta-hots” — under-counter instant water heating tanks — “directly under the water fixture in the kitchen can speed up the time it takes to heat water and reduce the wasted amount of water significantly,” explains Manning.

Choose energy-efficient appliances

More than 60% of agents and brokers say promoting energy efficiency in listings is valuable, according to National Association of REALTORS® (NAR) data. But real estate professionals should also stay educated on which Energy Star kitchen appliances are turning buyers’ heads.

“Something to point out to buyers is the brand of appliances, and what those brands are doing on a broader scale when it comes to eco-friendly manufacturing and packaging,” says Pucci.

“Brands like Asko, Miele, Speed Queen, Sub Zero and Wolf test their products for at least 20 years of regular use.”

Top-of-the-line appliances aren’t cheap — Pucci says a 72″ refrigerator and freezer cost about $18,000 — but sustainability-savvy buyers appreciate the brands’ reputations and how these units are built to last. Turchin points out that modern refrigerators can save energy in small ways, such as how some units show you what is inside without opening the door.

Skip the gas stove

Energy Star data shows that induction cooktops are up to 10% more efficient than electric and 300% more efficient than gas.

If an induction range is out of the question, opt for electric over gas. “There are some studies that show electric appliances are both more efficient and produce less toxins in our indoor environment,” Turchin explains.

Be strategic about natural light

Natural light reduces reliance on electricity, but that doesn’t mean floor-to-ceiling windows are best. Windows should be well-insulated (triple-pane, if possible) to stabilize indoor temperatures. Because heat rises, skylights and operable clerestories — rows of windows above eye level — allow light to pour in without heating the kitchen.

Of course, natural light isn’t available all the time. Manning says LEDs are the best artificial lights for sustainable kitchen designs.

Install proper venting

Proper air exchange is crucial for sustainable kitchen design, according to Manning. Adequate venting helps maintain a comfortable temperature while eliminating smells and toxins from cooking.

“Recirculating charcoal filters are great and the best option if a route to an outdoor vent is not possible,” adds Pucci.

Incorporate sustainable, healthy materials

Kitchens have a lot of surface types: floors, countertops, cabinetry, and more. Opt for sustainable materials such as natural stone, reclaimed wood, cork, or concrete whenever possible. According to Manning, eco-friendly countertops, wallpapers, and even insulation products are all available.

“There are countertops that have antimicrobial properties built in, so they don’t need to be cleaned with as many harsh chemicals,” says Turchin.

As for cabinets, Pucci recommends Greenguard Gold–certified cabinetry because it is guaranteed to have low levels of formaldehyde.

Boosting Sustainability in Existing Kitchens

If homeowners want to leverage the benefits of sustainable design in an existing kitchen, the experts have a few tips:

When possible, work with an interior designer. “A $30,000 renovation can easily double in value come appraisal time, and an interior designer is your best resource in finding environmentally friendly options for a simple kitchen update, renovation or new build,” says Pucci.

• Swap out old lightbulbs. One of the easiest updates also offers immediate benefits. “All lighting should be replaced with LED bulbs which last longer and immediately reduce energy consumption,” says Turchin.
• Replace outdated appliances. This lowers energy costs and increases value to potential buyers. “The EPA estimates that a typical household using Energy Star appliances can expect to save $450 on their energy bills each year,” says Turchin.
• Aerate the faucet. “A high-efficiency aerator will save overall water use and provide energy savings,” says Turchin. Faucet flow restrictors can reduce water consumption from 2.5 gallons per minute to 1.2 gallons, all without a loss of pressure, according to kitchen fittings company GROHE

National Association of REALTORS®

Reprinted with permission