Bennet's New Bill Would Appraise Zero-Energy Homes Higher

DENVER (CBS4) - There's a bill in Congress that would not only save Americans energy but also add to their wallets.

It looks like any other home in the Stapleton neighborhood, but the home is a first of its kind in Denver -- a home that produces as much energy as it uses -- and on some days produces more.

"Think about your electric meter spinning when you use energy. This is figuratively a way to make it spin backwards," Gene Myers with New Town Builders said.

New Town Builders specializes in energy-efficient homes. They're homes that cost more to build, but aren't appraised at any more when they sell. A bill sponsored by Sen. Michael Bennet would change that.

The so-called Save Act would require lenders to factor energy costs in home appraisals.

"It recognizes the value that's been created by the work that's done to make the house more energy efficient," Bennet said.

Right now if a homeowner installs energy-efficient appliances, for example, it has no bearing on the home's appraised value. Under the Save Act, it would. The idea is there would be added incentive to make the upgrades and in turn create jobs.

"When you've got a 25 percent unemployment rate for carpenters and trades people who've been put out of work because the housing industry collapsed in this country; putting them back to work by doing smart retrofits like this that don't cost taxpayers a dime just makes sense," Bennet said.

Bennet says it will benefit not only builders and sellers, but buyers.

While a zero-energy home would appraise higher than a similar home without the upgrades, making principal, interest, tax and insurance more; when a lender factors in the energy savings the overall monthly payment would be about the same -- making places like as such within reach for more people.

"The era of waiting years and years for payback is over," Myers said.

The bill is bipartisan. Republican Sen. Johnny Isakson is co-sponsoring the legislation with Bennet.