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Why do Some High-Performance Homes have Difficulty with their Appraisal?

07/01/2019 1:29 PM | Deleted user

Energy efficiency can be overlooked in the appraisal process for a variety of reasons, including a lack of access to quality data, underwriting impediments, and lack of appropriate appraiser qualifications. Many appraisers are not aware of the unique features of an energy efficient home.

High Performance Homes are Specialized Property Types and Complex Appraisal Assignments

  • High-performance houses have unique features compared to a traditionally built home
  • Databases are insufficient presenting research challenges (hard to find comparable sales)
  • Most appraisers do not have training about this specialized property type
  • Without knowledge of construction methods and benefits to the owner, it will be difficult for the appraiser to appraise this specialized property type appropriately

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