Today’s homebuyers and renters are looking for assurance that their homes and apartments are energy-efficient. Join thousands of builders and developers across the country that are using U.S. EPA’s trusted ENERGY STAR label, recognized by more than 90% of Americans, to give their clients confidence that they have made the right choice.
The Section 45L Tax Credit for Energy Efficient New Homes has been updated and extended through 2032. New single-family and manufactured homes acquired on or after January 1, 2023, are eligible to receive a Tax Credit when they meet ENERGY STAR Version 3.1 Program Requirements ($2500), or receive DOE Zero Energy Ready Homes certification ($5000). Multifamily homes are available for a tax credit of $500/$1000, or $2,500/$5000 when prevailing wage requirements are also met.
Builder & Developer Benefits
Improve Your Construction Process. Participating in the ENERGY STAR program can help you improve your construction process.
Reduce your construction costs: Building ENERGY STAR certified homes and apartments will reduce your lumber costs and offer cost savings through right-sized HVAC units.
Minimize costly call backs and retain residents: ENERGY STAR builders report that they experience a reduction in comfort-related complaints. Multifamily property managers report more satisfied residents who stay in their apartments longer.
Standardize your building practices: Using ENERGY STAR’s program requirements, you can help standardize specs for subcontractors for bidding and work performance purposes.
Obtain industry vetted support: EPA can provide you with best practices from builders and developers across the country and for your specific climate.
Sell More Homes & Rent More Quickly. Partnering with ENERGY STAR gives you access to a number of free ENERGY STAR sales and marketing resources that can help you sell more homes or lease your multifamily apartments more quickly.
Co-brand with ENERGY STAR: Display the ENERGY STAR logo with your own company’s logo.
Turn-key Marketing and Sales Training Tools: Use free marketing collateral and sales training resources to help position yourself as an ENERGY STAR builder or developer.
Awards and Recognition: Stand out from your competition by receiving national recognition from the EPA.
The Inflation Reduction Act of 2022 significantly modified the §45L Tax Credit for homes sold or leased in 2023 and onward. New homes that meet ENERGY STAR requirements are eligible for…» Read more
Third Party Verification
Third party verification is a central component of the ENERGY STAR Residential New Construction programs and gives homebuyers and renters confidence that their new homes are energy efficient. ICS works closely with builders and developers to design homes and multifamily buildings that meet the Program Requirements and verify critical construction details during and after construction.
ICS understands that your bottom-line matters, and our team of experts are specially trained to find the most cost effective path to meet new performance standards without sacrificing your integrity. Contact us today and find out why ICS is the fastest growing rating company in the US.
Builder & Developer Partnership Types
Single-family Homebuilder– An organization or individual that builds single-family homes that are primarily constructed on-site.
Multifamily Builder/Developer – An organization that constructs multifamily buildings of any height or number of units.
Factory Builder/Plant– An organization that produces manufactured homes. Learn more.
Becoming an ENERGY STAR partner is easy. Simply fill out an ENERGY STAR Partnership Agreement. There is no cost to partner with ENERGY STAR or use ENERGY STAR promotional materials.
While primarily intended for new construction, existing homes and buildings are now eligible to participate in the ENERGY STAR Single-Family New Homes (SNFH) and ENERGY STAR Multifamily New Construction (MFNC) program. This transformative change to the ENERGY STAR New Construction program allows remodelers and investors to market their home or building as an ENERGY STAR labeled product.
Here’s some reasons why you should call ICS to get your project prequalified to the ENERGY STAR New Construction Program:
ENERGY STAR certified homes meet requirements of the renewed 45L Energy Efficient Homes program and are eligible for a $2500 tax credit.
New single-family and manufactured homes acquired on or after January 1, 2023, are eligible to receive a Tax Credit when they meet ENERGY STAR Version 3.1 Program Requirements ($2500) or receive DOE Zero Energy Ready Homes certification ($5000). Multifamily homes are available for a tax credit of $500/$1000, or $2,500/$5000 when prevailing wage requirements are also met. Learn more at https://www.ics-inspectors.com/services/energy-star/
ENERGY STAR certified buildings are worth more
Energy cost savings lead to higher net operating income. Reliable, persistent energy savings make it more likely that this connection will be recognized with a higher building valuation. Numerous studies demonstrate a sale price premium from 1% – 31% among energy-efficient buildings.
ENERGY STAR certified buildings have higher occupancy rates and command higher rents
ENERGY STAR certified buildings have fewer vacancies and higher rents when compared to similar buildings. In fact, numerous studies demonstrate occupancy levels up to 10% higher and rental premiums 3% to 16% higher.
Federal tenants can only lease space in ENERGY STAR certified buildings
If you want to lease your space to a federal tenant, your buildings must be ENERGY STAR certified. (Executive Order 13514 mandates that Federal Agencies may only lease space in ENERGY STAR certified buildings.)
ENERGY STAR certified buildings get better financing terms
Several studies on commercial mortgages find evidence of lower default risk among buildings with labels such as ENERGY STAR. As a result, these properties often secure better loan terms (longer interest-only periods) and lower interest rates (typically about 30 – 35 basis points) than similar non-labeled buildings.
90% of Gen Z believe companies must act to help social and environmental issues
People prefer to work for organizations whose values match their own. According to a 2019 CONE Communications study (link is external), 90% of Gen Z believe companies must act to help social and environmental issues and 75% will do research to see if a company is being honest when it takes a stand on issues.