As we delve into the individual building costs of different elements required for the Energy Star ZERH builds with Blue Barn Construction, it’s crucial to remember that base building costs are the primary driver of new home costs. This underscores the vital role of a strategic approach in addressing the base building costs of new homes, highlighting the need for careful planning and decision-making.

Our comparison of building costs for two different homes has revealed intriguing insights. When we compared a 2400 sq ft two-story above-grade home with an unfinished basement and a triple-car garage from 2017 with the sworn construction statement for the Blue Barn Construction home, a 1400 sq ft above-grade rambler with a basement and double-car garage, it became abundantly clear about the base building cost.

The build cost in 2017 was about $145 per finished sq ft, but now it’s about $236 per finished sq ft., excluding the lot. That’s a 62% increase in cost in only seven years. That is with many building materials falling in cost over the last two years.

Now, let’s consider the Energy Star ZERH upgrade costs. They account for about 2% of the total building cost for the Blue Barn Construction home. However, the potential financial benefits are significant. The tax rebate from the Energy Star ZERH program, combined with Xcel Energies rebates for building a new energy-efficient home, could cover the cost of all upgrades and even contribute to the base building costs. The annual energy savings for the new home owner could approach $14,000 in the first 10 years.

Let’s examine the individual costs now, but first, let’s determine what is covered by the current Minnesota energy code.