2012 International Energy Conservation...

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2012 International Energy Conservation Code Upgrading new homes in Houston, Texas to the 2012 International Energy Conservation Code (IECC) will reduce out-of-pocket expenses for homeowners – paying off their initial investment in a matter of months. Energy Code Payback for Houston Single Family Homes Break-Even Point 22 MONTHs $36.59 13% $569.03 Annual Energy Reducon 2-year Profit 5-year Profit The added mortgage costs will be offset by monthly energy savings of $21, helping homebuyers pay off their initial investment in only twenty-two months. After breaking even during that time, the home will return buyers a profit of $15 per month—for a total return of $177 every year. This return on investment is shown in balance sheet below. For the average new home, the 2012 IECC will only increase construction costs by a total of $1,622. When this amount is rolled into the average mortgage, real costs to homebuyers will mean a down payment increase of only $324.58, and $6.21 extra on monthly mortgage bills. Month Mortgage Increase Monthly Energy Savings 1 $324.58 $21.00 -$303.58 2 $6.21 $21.00 -$288.79 3 $6.21 $21.00 -$274.00 4 $6.21 $21.00 -$259.21 5 $6.21 $21.00 -$244.42 6 $6.21 $21.00 -$229.63 7 $6.21 $21.00 -$214.84 8 $6.21 $21.00 -$200.05 9 $6.21 $21.00 -$185.26 10 $6.21 $21.00 -$170.47 11 $6.21 $21.00 -$155.68 12 $6.21 $21.00 -$140.89 19 $6.21 $21.00 -$37.36 20 $6.21 $21.00 -$22.57 21 $6.21 $21.00 -$7.78 22 $6.21 $21.00 $7.01 23 $6.21 $21.00 $21.80 24 $6.21 $21.00 $36.59 BREAK EVEN AND START EARNING $15 IN PROFIT EVERY MONTH. Cumulative Cost/Benefit For additional Incremental Cost Analysis, please visit energycodesocean.org. This model assumes a 2,400 square foot home. The mortgage is conservatively set at 30 years, with 20% down and the current average nationwide interest rate of 4.03%. With a lower down payment—such as 10% down—consumers will break even on their investment even sooner. FOR NEW HOMES IN Houston, TX

Transcript of 2012 International Energy Conservation...

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2012 International Energy Conservation CodeUpgrading new homes in Houston, Texas to the 2012 International Energy Conservation Code (IECC) will reduce out-of-pocket expenses for homeowners – paying o� their initial investment in a matter of months.

Energy Code Payback for Houston Single Family Homes

Break-Even Point22 MONTHs

$36.59

1 3 %

$569.03

Annual Energy Reduction

2-year Profit

5-year Profit

The added mortgage costs will be o�set by monthly energy savings of $21, helping homebuyers pay o� their initial investment in only twenty-two months. After breaking even during that time, the home will return buyers a pro�t of $15 per month—for a total return of $177 every year. This return on investment is shown in balance sheet below.

For the average new home, the 2012 IECC will only increase construction costs by a total of $1,622. When this amount is rolled into the average mortgage, real costs to homebuyers will mean a down payment increase of only $324.58, and $6.21 extra on monthly mortgage bills.

MonthMortgage Increase

Monthly Energy Savings

1 $324.58 $21.00 -$303.58

2 $6.21 $21.00 -$288.79

3 $6.21 $21.00 -$274.00

4 $6.21 $21.00 -$259.21

5 $6.21 $21.00 -$244.42

6 $6.21 $21.00 -$229.63

7 $6.21 $21.00 -$214.84

8 $6.21 $21.00 -$200.05

9 $6.21 $21.00 -$185.26

10 $6.21 $21.00 -$170.47

11 $6.21 $21.00 -$155.68

12 $6.21 $21.00 -$140.89

19 $6.21 $21.00 -$37.36

20 $6.21 $21.00 -$22.57

21 $6.21 $21.00 -$7.78

22 $6.21 $21.00 $7.01

23 $6.21 $21.00 $21.80

24 $6.21 $21.00 $36.59

BREAK EVEN AND START EARNING $15 IN PROFIT EVERY MONTH.

CumulativeCost/Bene�t

For additional Incremental Cost Analysis, please visit energycodesocean.org.

This model assumes a 2,400 square foot home. The mortgage is conservatively set at 30 years, with 20% down and the current average nationwide interest rate of 4.03%. With a lower down payment—such as 10% down—consumers will break even on their investment even sooner.

FOR NEW HOMES IN

Houston, TX

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Homes are the biggest investment we make—and everyone deserves a home that meets national minimum energy e�ciency standards. While it’s true that homeowners can always improve the e�ciency of their homes, it is far more cost-e�ective to upgrade building components during construction, putting in better windows or swapping out one grade of insulation for a better one. Here’s what buyers get with the 2012 IECC:

For additional Incremental Cost Analysis,please visit energycodesocean.org

High-efficiency Lighting

HOUSTONCLIMATE ZONE 2

$ 5 0

Window Upgrades

$ 1 , 4 2 8

Hot Water Insulation

Additional Upgrades:

Sealed & Insulated Attic Hatch

$ 1 0 0

$ 1 0 0

$3 0 2 ATTIC

Insulation Upgrades

$15 profit every monthHomes built to the 2012 IECC could yield a

and $5,000 over 30 years.

2012 ENERGY CODE Payback:

FOR NEW HOMES IN

Houston, TX

HVAC System Savings $ 4 0 8+

Programmable

$ 5 0Thermostat