In the Massachusetts housing market, energy efficiency is more than just a buzzword – it’s a measurable factor that directly influences property value. With rising energy costs and increasing buyer awareness of environmental issues, a home’s energy performance has become a significant selling point.
One of the clearest ways to communicate a home’s energy efficiency is through its Home Energy Rating System (HERS) score. As specialists in energy ratings, HERS Rating Company has seen first-hand how these scores affect resale value, market competitiveness, and buyer decisions.
This article explains the full picture of HERS ratings and their impact on resale value for homeowners, builders, and real estate professionals in Massachusetts.
Exploring the HERS Rating System
The HERS Index is a nationally recognised scoring method developed by the Residential Energy Services Network (RESNET). It measures a home’s energy efficiency and assigns it a score relative to a standard new home.
- A score of 100 represents the baseline of a standard new home built to current energy codes.
- Every point below 100 indicates the home is more energy-efficient, with a score of 0 meaning net-zero energy consumption.
- A typical resale home without recent upgrades often scores around 130 or higher, signifying higher energy use compared to new builds.
The rating is calculated through an in-depth assessment by certified HERS raters, who inspect insulation levels, HVAC systems, windows, air leakage, ductwork, and other energy-related factors to determine the score.
Buyer Perceptions of Energy Efficiency in Massachusetts
Massachusetts consistently ranks among the most energy-efficient states in the US. This is driven by:
- State energy codes requiring efficient building standards
- Municipalities adopting the Stretch Energy Code, which mandates HERS ratings for most new construction
- Strong utility incentives for energy-saving improvements
Because of these initiatives, homebuyers in Massachusetts are generally well-informed about energy performance. Many specifically request the HERS score when viewing a property. For these buyers, a low HERS score is not just a number – it represents:
- Lower long-term utility bills
- Better indoor comfort and air quality
- Reduced environmental impact
All of these factors create a positive perception that translates into higher resale value and quicker sales.
The Relationship Between HERS Scores and Resale Value
Increased Market Valuation Through Energy Ratings
Several studies have established a clear correlation between energy efficiency certifications and home prices. For example:
- Research by RESNET shows that homes with lower HERS scores often sell for 2-5% more than similar homes without ratings or with higher scores.
- In practical terms, for a $500,000 home in Massachusetts, this premium translates to $10,000 to $25,000 in additional value.
Buyers view homes with strong energy performance as worth the extra investment, especially in areas where heating and cooling costs are substantial.
Faster Sales for Energy-Efficient Properties
Homes with a low HERS rating often spend less time on the market. This is because buyers:
- Prioritise listings with proven energy efficiency
- Anticipate lower monthly costs
- Perceive these homes as better built or maintained
The confidence instilled by a verified HERS score creates urgency, giving sellers an advantage in negotiations.
Improved Marketability for Older Homes
Older homes in Massachusetts may have charm and location benefits but often struggle with high energy bills. By obtaining a HERS rating and making targeted improvements to lower the score, sellers can transform older properties into competitive, efficient listings that rival newer builds.
Factors Influencing the Impact of HERS Ratings on Resale
Several key aspects determine how much a HERS rating will influence your resale value:
- Local Market Conditions
In high-demand regions like Greater Boston, where buyers have many options, energy efficiency becomes a distinguishing factor. - Buyer Education Levels
In Massachusetts, buyers are typically aware of HERS ratings and actively use them as comparison tools, increasing their importance. - Extent of Energy Efficiency Improvements
Major upgrades such as installing high-efficiency HVAC systems, improved insulation, air sealing, and ENERGY STAR windows can significantly lower HERS scores and add resale value. - Marketing and Listing Strategy
Including the HERS score prominently in listings, open house materials, and agent presentations ensures buyers factor it into their decisions.
Energy Improvements That Enhance HERS Scores and Value
Upgrading Insulation and Air Sealing
Many homes in Massachusetts lose heating and cooling efficiency due to inadequate insulation or air leaks. Improvements in these areas can:
- Lower energy bills by reducing heat loss in winter and heat gain in summer
- Enhance comfort, which buyers immediately notice during viewings
- Significantly reduce HERS scores, improving listing appeal
Installing High-Efficiency Heating and Cooling Systems
Upgrading to modern HVAC systems, especially ENERGY STAR-certified models, improves energy performance dramatically. Massachusetts homes rely heavily on heating in colder months, so buyers value systems that:
- Reduce operational costs
- Provide better indoor climate control
- Require less maintenance due to advanced technologies
Adding Energy-Efficient Windows and Doors
Replacing outdated single-pane windows with double or triple-glazed, low-emissivity options reduces energy loss and improves a home’s aesthetic value. This upgrade contributes to a lower HERS rating and makes the home more attractive to buyers concerned about drafts and comfort.
Incorporating Renewable Energy Sources
Solar panels can reduce the HERS score to near zero when integrated properly. For buyers aiming for net-zero or near net-zero living, solar installations add:
- Future-proofing benefits
- Long-term energy savings
- Significant perceived value at resale
The Massachusetts Advantage for Low HERS Scores
Massachusetts has several programs and policies that make obtaining and improving HERS ratings even more beneficial:
- Mass Save incentives: Rebates for insulation, air sealing, and high-efficiency equipment installations.
- Municipal Stretch Codes: Encouraging or requiring lower HERS scores in new construction for compliance.
- Green financing options: Lower mortgage rates or better terms for energy-efficient homes through certain lenders.
These factors strengthen the connection between HERS ratings and higher resale value within the state.
Role of Real Estate Agents in Highlighting HERS Ratings
Educated real estate agents understand how to leverage HERS ratings to market homes effectively. By:
- Including HERS scores in MLS listings
- Highlighting energy-saving features during showings
- Providing buyers with projected energy costs based on the rating
agents can position the home as superior value compared to properties without verified ratings.
Learn More: What Triggers a HERS Rating in Massachusetts
Maximising Resale Value Through Professional HERS Assessment
A professional HERS rating from a certified provider like HERS Rating Company ensures homeowners receive:
- Accurate and RESNET-compliant assessments
- Detailed reports outlining where improvements can lower scores
- Guidance on cost-effective upgrades for maximum return on investment
Whether selling an existing home or building a new one, engaging professional raters ensures you fully capitalise on energy efficiency benefits.
Key Takeaways for Massachusetts Homeowners
- Energy efficiency sells: Homes with low HERS scores command higher prices and sell faster.
- Investments pay off: Upgrades that improve energy performance boost your home’s marketability.
- Buyers are aware: In Massachusetts, energy-efficient homes attract informed buyers willing to pay a premium.
- Professional ratings matter: Verified HERS ratings give buyers confidence in a home’s performance and quality.
Partnering with HERS Rating Company
At HERS Rating Company, we are committed to helping homeowners, builders, and real estate professionals maximise the value of their properties. Our certified team:
- Conducts comprehensive HERS assessments across Massachusetts
- Provides actionable recommendations to lower scores
- Supports you through compliance with local energy codes and stretch codes
- Helps market your home as an energy-efficient, premium listing
Final Thoughts
In a state that prioritises energy efficiency, a low HERS rating is more than just a number – it’s a strategic investment in your property’s future resale value. If you are preparing to sell your home or planning renovations to enhance market appeal, contact HERS Rating Company today for a professional assessment and unlock the full potential of your property in the Massachusetts real estate market.
