The Appraisal Institute announced Oct. 9 that it has signed a memorandum of understanding with the state of Colorado to promote a wide use of tools to document home energy features. The groups also will jointly develop valuation studies.
AI will work with the Colorado Energy Office to identify market-specific trends in energy valuation. The organizations will collect information about the impact of energy efficiency on the residential real estate market and share that data as trends emerge.
“As a leader in green valuation, we are pleased and honored to be part of this agreement,” Appraisal Institute President Sara W. Stephens, MAI, said. “This effort is part of the Appraisal Institute’s mission of providing leadership in the real estate valuation profession, including in emerging areas such as valuing green and energy-efficient features.”
The memorandum of understanding, signed by Colorado Gov. John Hickenlooper and Appraisal Institute CEO Frederick H. Grubbe, seeks to address a need for data in valuing homes with sustainable and energy-efficient features. In addition to aiding appraisers, the data can be used to help consumers decide what improvements to pursue as they seek to maximize the value of their homes.
“Understanding the market reaction to high performing homes is a key component of the Colorado Energy Office’s residential efforts,” Peter Rusin, residential program associate at the state agency, said. “The agreement sets out a process that will allow the state to work with experts in the field to develop credible case studies, data sets and resources for residential appraisers.”
Read the Appraisal Institute’s memorandum of understanding. Learn about the Colorado Energy Office.