Environmentally Friendly Fix-and-Flip: “What Home Buyers Really Want”

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Environmentally Friendly Fix and Flip What Home Buyers Really Want

If you're a fix-and-flip investor who has been thinking about incorporating more environmentally friendly materials into your flip renovations, you might be interested to know that a recent National Association of Home Builders (NAHB) survey reveals that home buyers prefer green over non-green amenities when they are given a choice--and half of them say they are willing to pay thousands more for a green home if they are shown how those amenities will save on utility costs.

The NAHB's 2019 edition of “What Home Buyers Really Want,” is based on a nationwide survey of 4,000 recent home buyers (or those who plan to buy a home within the next three years).

Do Home Buyers Care About Environmentally Friendly Amenities?

74%     Want features and finishes made of durable materials that will last longer (even if they cost more)

65%     Prefer low-maintenance landscaping with minimal watering and upkeep

63%     Want their home to make efficient use of the sun's energy for heating and cooling

63%     Prefer HVAC that is designed to be energy efficient

35%     Prefer conventional landscaping with lots of lawn, trees, shrubs

26%     Prefer features and finishes that cost less, but will need to be replaced sooner

Which Green Features do Home Buyers Find Most Desirable?

89%     Energy Star-rated windows

86%     Energy Star-rated appliances

77%     Energy efficient lighting

77%     Triple-pane insulated glass windows

73%     Insulation above minimum code requirement

63%     Water-conserving toilets

61%     Tankless water heating

59%     Solar water heating and electricity

It is important to keep in mind that home buyers will need to be made aware of the potential energy savings these amenities can provide--especially if these features increase the home's purchase price. This is where finding the right real estate agent to market and sell your eco-friendly house flip is imperative. A knowledgeable  agent who can highlight the benefits of environmentally friendly amenities will help potential buyers who are interested in "going green" see your eco-friendly features in the best possible light.

What Do Realtors Say Home Buyers Want?

The National Association of Realtors (NAR) conducted a survey of Realtors and they report that eco-friendly homes are in higher demand now more than ever.

81%     said home buyers are interested in reduced utility costs

70%     found promoting energy efficiency in home listings is valuable

67%     said clients desire efficient use of lighting

64%     reported their clients are concerned with indoor air quality

While you are estimating your fix-and-flip project's ARV, and as you decide which materials you think buyers will get excited about, try viewing your options through a "green" lens. If potential buyers are looking for the value green features can add, and it will benefit your business' bottom line,  consider incorporating the use of environmentally friendly materials into your fix-and-flip business plan.

If you are ready to explore financing options for your next flip project, start your fix-and-flip financing journey with Anchor Loans here opens in a new window.  We can fund your next fix-and-flip investment in as few as 5 to 10 days.

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