The Appraisal Institute has developed a Residential Green and Energy Efficient Addendum. The Appraisal Institute Green Addendum is the first residential green and energy efficient appraisal report addendum developed by appraisers, for use by appraisers when appropriate. The Appraisal Institute Green Addendum provides items of high performance house features for consideration by appraisers.
The Appraisal Institute Green Addendum will provide appraisers a tool for selecting comparable sales for the property they are appraising. If an appraiser had a completed Appraisal Institute Green Addendum on every high-performance house used as comparable sales, it would leave little question on the comparability of the data. It may also aid in a more accurate valuation of the property.
Through the agreement with Appraisal Institute, RESNET accredited Home Energy Rating Software Programs will be able to generate the Appraisal Institute Green Addendum and auto-populate it from the data collected in the home energy rating. The U.S. Department of Energy’s Building America provided great assistance in the Appraisal Institute and RESNET entering into the agreement.
With a push or a key stroke, a Home Energy Rater will be able to populate much of the Appraisal Institute Green Addendum, which will allow their builder clients to communicate the home’s potential energy performance to the appraiser.
The goal is to have the Appraisal Institute Residential Green and Energy Efficient Addendum available in early 2014.
The Appraisal Institute is a global professional association of real estate appraisers, with nearly 23,000 professionals in almost 60 countries throughout the world. Its mission is to advance professionalism and ethics, global standards, methodologies, and practices through the professional development of property economics worldwide.
To learn more about the Appraisal Institute Residential Green and Energy Efficient Addendum, don’t miss the 2014 RESNET Building Performance Conference