You can’t Ignore these Net Zero Ready Energy Bills Savings!

A Closer Look at the Savings and Thy They Matter

Let’s take a look at what utility bill savings are possible when building an Energy Star Zero Energy Ready (Net Zero Ready) home.
To start with, look at this case study home from past articles. This Zero Energy Ready home design is a 3 bedroom 2 bath rambler that is a 1420 finished sq ft above grade. With 1,000 unfinished sq ft below grade for future use.  Currently homes built to the Zero Energy Ready standard in climate zone 6 are estimated to save $1 per square ft for above grade square footage compared to a home built to the 2009 Energy code.

If you need a refresher on what the insulation standards are for a Zero Energy Ready Home in climate zone 6 take a look at this article from the Build Series that goes over all the insulation requirements.

Estimated Gas and Electric Bill Savings

When $1420 is our first year of savings we can now do some calculations into the future to figure out potential money saved on gas and electric bills. For this article the 6.75% historical average increase from Real Cost of Energy is going to be used because 10% annual increases for any period of time is just too scary. Let’s take a look.

Looking at the potential savings for our case study home, lets add some cost estimates to see if it’s worth it to build this case study home to the Zero Energy Ready Home standard.

Return On Investment (ROI)

The upgrade costs cover several different styles of construction for this home.  If we are looking for the shortest ROI the lowest figure (using EcoSmart™ Studs)  makes the most sense. It would take about 4 years of saving to equal your Zero Energy Ready home upgrade cost investment.  Even at the higher amount the ROI is under 10 years and that is at only with utility bill costs going up 6.75% per year, the historical average. Any higher increase per year shortens the ROI figure considerably in the first 10 years.

Notice that the figures are forecasted out 30 years or the length of the mortgage. The savings over 30 years are not just considerable, they are significant. These savings are 100% safe unlike any other investment you can make. Modern homes will always need power, and with a Zero Energy Ready home, you can look forward to substantial savings over the short and long term.

The designation Zero Energy Ready or Net Zero Ready home means that the home is designed for solar panels to be added at a future date to make the home a Net Zero home. A Net Zero home produces as much energy as it consumes. A Net Zero Home is not just a goal for individual homeowners, but a larger movement towards sustainability, with the aim of all new single-family homes being Net Zero by 2050. A Net Zero home would have $0 energy bills.

What if we started with a Net Zero home? What would the saving look like? Up next the Net Zero home savings.

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