So Many Ideas: How Do I Choose? G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
Five Filters How Much Does It Cost? How Much Will It Save? How Much Comfort Will It Add? How Much Value Will It Add? How Much Will It Increase Rent
Stay “On Mission”
G r e e n E a r t h E q u i t i e s . C o m
2011 © 2010
Saving The Planet One House At A Time
Green Or Energy? Of Course we want both where possible ... But if you had to choose...? This is usually a philosophical decision that we dont need to waste time debating. There is no wrong answer But you should have an answer G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
There Are No Silver Bullets ... Only A Thousand Silver BB’s
Beware The Tin Man! Commonly Overstated Claims: Solar Windows Radiant Barrier GeoThermal High SEER HVAC Tankless Water Heaters
ANY product that claims huge savings without addressing “the house as a system” Is being less than 100% truthful. G r e e n E a r t h E q u i t i e s . C o m
2011 © 2010
Saving The Planet One House At A Time
Put In The Big Rocks First Steven Covey popularized an old story of putting various sized rocks in a fish bowl. More rocks fit in if you put in the biggest ones first ...but ...
What are the BIG ROCKS? G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
Loading Order Which should go first? Sometimes an improvement done too early in the process will make another improvement difficult or impossible to install. Classic Example: Adding R 55 of attic insulation Before shell sealing the attic floor.
Others? G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
Energy vs Wow! vs Done The “Market” Challenge 1. If you cut Wow too much, It will cut your price more... 2. If you cut Energy too much, you will become a Lipstick on a Pig Flipper and you will grow a pig’s snout and a curly tail... 3. The Done Package is the easiest place to cut.
Balance Is The Key! G r e e n E a r t h E q u i t i e s . C o m
2011 © 2010
Saving The Planet One House At A Time
Additional Balancing Act: That Pesky Appraisal The more you improve the home ... The less likely it is to receive an adequate appraisal. You may wind up with a buyer who wants to buy at your price but their bank wont lend because of a low appraisal. Best to have a “Plan B” and not be forced to sell at “fire sale” rates. G r e e n E a r t h E q u i t i e s . C o m
2011 © 2010
Saving The Planet One House At A Time
Tighten Up The Building Envelope Shell sealing is probably the most important Thing you can do ... And the most avoided and skipped. ... Because it is hot, dirty, work in tight places which few know how to do and no one enjoys. But it’s the most important! G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
Envelope #2 Windows 30 - 30 is good Weatherstripping Caulk etc Insulation Walls Ceiling Do it yourself & save?
G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
The Comfort System High Efficiency or Standard? Mini Split or Conventional? How about GeoThermal? Ducts may be more critical than the machinery. Sized, Placed, Sealed, Insulated & Registered Right. Inside the envelope? Or None? G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
Water & Water Heating The Next Crisis: Conserve Water Inside Aerators & Flow Restrictors Two Stage Toilets Front Load Washer & Dryer Outside Drip Irrigation Low Water Plantings Minimize Lawn G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
Plug Load & Lifestyle Choices You dont have total control of occupant behavior but you can do your best to influence it. Educate Your Buyers - Renters Keep them Involved (various bill sharing programs) Provide feedback mechanisms for homeowners. (TED etc) G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
Dont Forget Safety CO, Carbon Monoxide should be checked on every job! 400 people per year die of CO poisoning. Dont let it happen in one of your projects.
G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
Q. Do I Need An Energy Audit Or A HERS Rating Or Computer Modeling Or A “Green” Certificate?? A. They cost money & wont save any energy but they may help your sale and may be required for rebates & the HVAC permit. G r e e n E a r t h E q u i t i e s . C o m
2011 © 2010
Saving The Planet One House At A Time
Testing? Yes, Absolutely! Who performs the test? HVAC Contractor HERS Rater - Consultant You Testing works best when work crews get regular feedback.
G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
Blower Door Test Depending on your leakage at the beginning ... About 1 CFM at 50 Pascals per square foot of floor space is “Acceptable” Less is better and moves into needing “Ventilation On Purpose” (Mechanical = ERV or HRV)
G r e e n E a r t h E q u i t i e s . C o m
2011 © 2010
Saving The Planet One House At A Time
Duct Blast Test If you have ducts Programs require 6% leakage or less. We shoot for 3%. Average homes may have 30% leakage to start with.
G r e e n E a r t h E q u i t i e s . C o m
2011 Š 2010
Saving The Planet One House At A Time
Get and Stay Clear On The Basics & Avoid Train Wrecks 1. Evaluate Sales Pitches (based on the basics) 2. Deliver Value (based on the basics) 3. Evaluate The Real Cost Of “Gifts, Programs, & Free Money” (based on the basics) G r e e n E a r t h E q u i t i e s . C o m
© 2009
Saving The Planet One House At A Time
The Four Pillars, Like The Legs Of The Eiffel Tower, All Are Necessary 1. Envelope 2. Comfort System 3. Health & Safety 4. Water G r e e n E a r t h E q u i t i e s . C o m
Š 2009
Saving The Planet One House At A Time
#1. Build A Tight, Well Insulated Envelope & Prove It. 1. All Six Sides 2. Especially The Joints 3. Includes Windows & Doors 4. Minimize Thermal Bridges & Bypasses Proof is Blower Door & Infra-Red Camera Final Proof is Utility Bill G r e e n E a r t h E q u i t i e s . C o m
Š 2009
Saving The Planet One House At A Time
#2. Build An Efficient Comfort System & Prove It. 1. Properly Designed Ducts Tight & Well Insulated 2. Properly selected & installed & tuned equipment. Proof is Manual J, Manual D, Duct Blaster, Delivered BTU’s & even room temperatures = comfort & efficiency Final Proof is Utility Bill G r e e n E a r t h E q u i t i e s . C o m
Š 2009
Saving The Planet One House At A Time
#3. Ensure Health And Safety & Prove It 1. CO testing (minimum) 2. Filtration (more than Rock Stopper Standard Filters) 3 Ventilate On Purpose Build It Tight - Vent It Right Proof Is CO & other IAQ tests & existence of Mechanical Ventilation System Final Proof is Health & Safety (less illness etc) G r e e n E a r t h E q u i t i e s . C o m
Š 2009
Saving The Planet One House At A Time
#4 Heat & Use Water Efficiently & Prove It
1. Heat Water Efficiently 2. Minimize Waste of Water Inside, (Showers, Dish & Clothes Washing etc) Outside, (Landscaping) Proof is Utility Bills & Water Bill
(Water Is The Next Crisis) Energy Wise Investors Can Be Way Ahead Of Contractors Who seem to have to wait for Government Programs. Just Decide & Start Doing It! G r e e n E a r t h E q u i t i e s . C o m
Š 2009
Saving The Planet One House At A Time
Q. How Much BS (building science) Do I Need To Be Successful? A. There is a ton of Science and a Lifetime of Learning behind each of these 4 Basics of Home Performance. The Good News For Energy Wise House Flipping Investors-You Must Only Understand These Basics and How They Interact. There are scientists, technicians and subcontractors for the details. G r e e n E a r t h E q u i t i e s . C o m
Š 2009
Saving The Planet One House At A Time
The Four Pillars, Like The Legs Of The Eiffel Tower, All Are Necessary 1. Envelope 2. Comfort System 3. Health & Safety 4. Water Dont Take Short Cuts And Skip One Of The 4 Basics. G r e e n E a r t h E q u i t i e s . C o m
Š 2009
Saving The Planet One House At A Time
You Cant Do Everything Not Enough Wow?
? Is It Worth It?
Too Much Wow?
? ?
?
Will It Sell?
? Can I Afford That?
Will I Get A Reasonable Appraiser?
G r e e n E a r t h E q u i t i e s . C o m
? ?
? ? Š 2010
Saving The Planet One House At A Time
Realities We Live With 1. What I bought it for. 2. What I can sell it for. Of course I want #1 as low as possible and #2 as high as possible ... But they are finite numbers and determine the “Spread”
G r e e n E a r t h E q u i t i e s . C o m
© 2010
Saving The Planet One House At A Time
5 Olympic Rings - All Important 1. Buy it right 2. Design it right 3. Build it right 4. Market it right 5. Sell it right All are important. Do them all and win the gold! Missing any of these can be expensive.
The Art is knowing When to hold ‘em When to fold ‘em
G r e e n E a r t h E q u i t i e s . C o m
© 2010
Saving The Planet One House At A Time
Designing It Right Lipstick on a Pig house flippers have an easier decision process. Their only question is will making it pretty bring more return than it costs. Our Mission of Saving the Planet, One House at a time requires a lot more than that. We cram in as much Energy Savings as the Free Market will allow. It’s Challenging and Rewarding G r e e n E a r t h E q u i t i e s . C o m
Š 2010
Saving The Planet One House At A Time
Mission Critical: The Energy Package Our determination to do the right thing and produce projects that conserve energy, & leave a lighter carbon footprint brings more complexity to our renovation and decision making process. How much Energy Package can we include and still make the sale and some profit? G r e e n E a r t h E q u i t i e s . C o m
Š 2010
Saving The Planet One House At A Time
Trojan Horse Remodeling Very few buyers were familiar with the Energy Package items before visiting the home they eventually bought. They still dont know the technical details. ... But they all like them and are happy with their homes and their utility bills, and send referrals ... They wouldn’t have bought the Energy without the Wow! ... But they are glad they did. G r e e n E a r t h E q u i t i e s . C o m
Š 2010
Saving The Planet One House At A Time
Where To Cut? Energy? - Wow? - Done? Note: ANY Energy improvement is better than none at all. No guilt here. Some omissions in each package damage the marketability, Some damage the Energy usage ... Others, Not so much ... The Art is Strategic Cost Cutting & Getting the Bang For The Buck! G r e e n E a r t h E q u i t i e s . C o m
Š 2010
Saving The Planet One House At A Time
Balancing Act Not enough Wow! The Buyers wont buy Too much Wow! (Or Energy) You’ll have to sell too high Or your profit will shrink. Not enough Energy You wont feel right... Too much, No profit It’s a Balancing Act.
G r e e n E a r t h E q u i t i e s . C o m
© 2010
Saving The Planet One House At A Time
Distractions & Detractors Enemies of our Mission I’m sure these are all nice people and their mothers loved them....... 1. The Appraisal System 2. The Banking System 3. Government Regulation All these are Protectors of the Status Quo = Slow Change We are all about CHANGE (So we must get used to Detractors) G r e e n E a r t h E q u i t i e s . C o m
Š 2010
Saving The Planet One House At A Time
Wow! Cut Carefully Keep The Bang!
Wow! Honey, Look at this kitchen!
Granite Non Negotiable Save on the backsplash Learn the trade. Solid Cabinets. Beat Home Depot & Lowes Stainless Steel Appliances Look for deals, ask for discounts G r e e n E a r t h E q u i t i e s . C o m
Š 2010
Saving The Planet One House At A Time
Wow! Bulk Buying & Special Pricing Tile, Travertine, Carpet Tile Showers & Floors Crown Molding, Base Board Doors & Trim, (Maybe)
G r e e n E a r t h E q u i t i e s . C o m
Š 2010
Saving The Planet One House At A Time
Notice the High- Low Disconnect!
Energy: When You Cant Buy Everything Item
Cost
Seal Attic
500 500 1500 2000 5000 4000 1500 1000 200 500 18,000 5,000
Seal Floor Treat Crawl New Ducts New HVAC New Windows Attic Insulation Wall Insulation Estar Lites Add Estar Appl Add Solar PV Solar DHW
Value (Kw per $) High High High High Medium Medium Medium Medium High High Low Low
G r e e n E a r t h E q u i t i e s . C o m
Value (perception) Low Low Low Low High High High Low High High High Saving The Planet high One House Š 2010
At A Time
Did You Notice? The highest bang for the buck items were not the highest priced items? Especially not Solar! Windows and HVAC gain value from their familiarity in the marketplace in addition to what they really save. Same with Solar, even more...
G r e e n E a r t h E q u i t i e s . C o m
Š 2010
Saving The Planet One House At A Time
Done: The Place To Save (Without Hurting The Mission Or The Sale Too Badly) Item Fence Blinds Gar Drywall Sprinklers Landscape Pool 2 wire Romex Garage Door Ext Lighting Cement Outdoor Living
High
Medium
Replace Repair All New Some Full & Paint Walls, Taped Full & Timer Front Full with drip Grass only Plaster & Equip Used Replace Replace Some New & Opener No Opener New & Motion Front only Walks, Drive Some Patio & Covers Patio G r e e n E a r t h E q u i t i e s . C o m
Low Original None None Original Original Clean Only GFI only Just Paint Original None Saving The Planet None One House Š 2010
At A Time
Famous Home Performance & Green Quote The Greenest Brick Of All, Is The One That’s Already In The Wall. This can apply: An Air Conditioner less than 10 years old. But almost never to ducts. Doors & Trim (maybe) * Roof with more than 10 years of life left
?
*The art is to keep the Wow and Energy Bang For The Buck! G r e e n E a r t h E q u i t i e s . C o m
© 2010
Saving The Planet One House At A Time
I Cant Cut Any More, What Else Can I Do? Options 1. Sell it yourself 2. Refinance and Rent 3. Refinance and Lease-Option 4. Connect a Buyer with a Direct Lender
G r e e n E a r t h E q u i t i e s . C o m
Š 2010
Saving The Planet One House At A Time