Affordability is reshaping priorities for home buyers. That’s why cost-conscious buyers and homeowners are seeking ways to keep utility bills relatively predictable and reasonable. Energy efficiency is a growing priority for home buyers, according to surveys from Realtor.com® and the National Association of Home Builders (NAHB).
“Utility consumers are feeling the squeeze, and the numbers back them up, says Charles Hua, founder and executive director of PowerLines, an energy consumer education nonprofit. “Bills keep rising, and people feel powerless to stop [increases].” Nationwide, utilities requested $9.4 billion in rate increases in the first quarter of 2026 alone, according to a PowerLines-Ipsos poll. It’s no wonder 77% of Americans are concerned about rising electric and gas utility bills, reports PowerLines.
Why Energy Efficiency Is So Important
- High monthly mortgage payments: Mortgage interest rates are hovering in the mid-6% range, and near-term significant rate cuts are unlikely. These borrowing costs, combined with high home prices, are taking a bigger bite out of budgets, according to Morningstar.
- Rising insurance costs: Homeowners insurance premiums have skyrocketed by 46% since 2021, and many homeowners are making financial sacrifices to pay for their coverage, according to research from Insurify, an insurance comparison platform.
- Everyday costs climbing: Gas prices rose 28.4% over the past 12 months, according to the U.S. Bureau of Labor Statistics. Grocery prices, up over 27% since 2019, are forecast to climb another 3.2% in 2026, reports the U.S. Department of Agriculture.
- Older homes leaking money: Almost half of the U.S. housing stock was built in the 1980s or earlier, says the NAHB. That was well before efficiency standards were enacted. Maintaining older homes that haven’t been upgraded for energy efficiency can cost more.
Energy-Efficient Features That Buyers Want
To attract cost-conscious buyers, homeowners and sellers should consider these features:
- Energy-efficient windows: In a 2024 NAHB study of home buyers, 83% of respondents rated energy-efficient windows as essential or desirable. Replacing an old window with a newer, better-designed model will likely save money on energy bills, says Consumer Reports. For higher returns, replacing single-pane windows with ENERGY STAR-certified windows can save the average homeowner up to 13% on their home energy bills.
- Updated HVAC, insulation and air sealing: In the average American household, almost half of the annual energy bill goes to heating and cooling – more than $900 a year, according to ENERGY STAR. Homeowners can save an average of 15% on heating and cooling costs by air sealing their homes and adding insulation in attics, floors over crawl spaces and accessible basement rim joists, ENERGY STAR says.
- Energy-efficient appliances: Your refrigerator runs 24 hours a day, so it’s one of the biggest energy guzzlers in your home. An ENERGY STAR-certified refrigerator uses about 9% less energy than a standard model, according to AllMake Appliances. ENERGY STAR washers use about 25% less energy and 33% less water than standard models, lowering electricity and water bills. Front-load washers usually operate more efficiently than top-loaders, AllMake reports.
- Technologies that support energy savings: Technologies that monitor and optimize energy use are in demand, says Rose Quint, assistant vice president for survey research at the NAHB. They include programmable thermostats, multizone HVAC systems and home energy management systems. The latter, sometimes called a HEMS smart home setup, is an integrated network of hardware and software designed to monitor, control and optimize how a house uses electricity, according to SOLAX Power.
Get the Most from Your Energy Efficient Upgrades
Take these steps to support the best returns on your energy upgrades:
- Seek out incentives: Some local utilities like conEdison in New York offer free assessments, discounts and rebates on energy savings products that could help you prepare your home for market.
- Promote your energy upgrades: Your lower utility bill and investments in energy efficiency are selling points. Fifty-eight percent of real estate professionals say highlighting energy-efficient home features in a listing can add value, says the National Association of REALTORS® 2025 Residential Sustainability Report.
- Save and present receipts: A record of monthly utility costs, along with receipts and warranties for household systems and appliances, can help sway a buyer.
How to Get Help from Your Agent
Sellers can benefit from an agent’s help on energy efficiency. Here are starting points:
- Ask about energy efficiency: “I take buyers through the age of every major system during the inspection period and evaluate probable life expectancy and replacement costs,” says Erik Leland, a real estate broker and REALTOR® at Realty First in Oswego, Ore. “For new listings, I help sellers understand which upgrades will return value.”
- Learn what the market values: “Agents know what local buyers are responding to and which upgrades influence perceived value and marketability,” says Miltiadis Kastanis, real estate agent at Compass Real Estate in Miami, Fla. “Ultimately, they’re looking for homes that feel move-in ready, cost efficient to operate and resilient for the future. Energy efficiency increasingly supports all three.”
- Keep your agent informed: Tell your agent about energy efficiency upgrades you’ve made so they can be called out in listings and marketing materials. Buyers are actively searching for them.
Affordability will continue to be a challenge, and energy costs aren’t letting up. That means buyers will continue to prioritize energy efficiency. Energy-efficient upgrades will also help homeowners and sellers rein in costs and boost their home marketing results.
Carolyn Nichols is a freelance writer focused on answering homeowners’ questions, making home ownership feel more manageable. She draws on years of experience uncovering and addressing the issues homeowners need to make smart decisions.
