FOR NEW HOMES IN

Pennsylvania Climate Zone 5

2012 International Energy Conservation Code

Upgrading new homes in Pennsylvanias Climate Zone 5 to the 2012 International Energy Conservation Code (IECC) will reduce out-of-pocket expenses for homeowners paying o their initial investment in a matter of months. For the average new home, the 2012 IECC will only increase construction costs by a total of $1,402. When this amount is rolled into the average mortgage, real costs to homebuyers will mean a down payment increase of no more than $281, and $5 extra on monthly mortgage bills. The added mortgage costs will be o set by monthly energy savings of $39-42, helping homebuyers pay o their initial investment in only eight to nine months. After breaking even during that time, the home will return buyers a pro t of at least $34 per monthfor a total return of $408 every year. This return on investment is shown in balance sheet below. For additional Incremental Cost Analysis, please visit energycodesocean.org.

8 9 MONTHs
Break-Even Point

$541.57
2-year Prot

1 7-18%
Annual Energy Reduction

$1,766.66
5-year Prot

Energy Code Payback for Pennsylvania Single Family Homes

Month 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Mortgage Increase $280.53 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 $5.38 Monthly Energy Savings $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 $39.41 Cumulative Cost/Bene t -$241.12 -$207.09 -$173.06 -$139.03 -$105.00 -$70.97 -$36.94 -$2.91 $31.12 $65.15 $99.18 $133.21 $167.24 $201.27 $235.30 $269.33 $303.36 $337.39

This model assumes a 2,400 square foot home. The mortgage is conservatively set at 30 years, with 20% down and the current average nationwide interest rate of 4.03%. With a lower down paymentsuch as 10% downconsumers will break even on their investment even sooner.

BREAK EVEN AND START EARNING $34 IN PROFIT EVERY MONTH.

FOR NEW HOMES IN

2012 ENERGY CODE Payback:

Pennsylvania Climate Zone 5

Homes are the biggest investment we makeand everyone deserves a home that meets national minimum energy e ciency standards. While its true that homeowners can always improve the e ciency of their homes, it is far more cost-e ective to upgrade building components during construction, putting in better windows or swapping out one grade of insulation for a better one. Heres what buyers get with the 2012 IECC:

CLIMATE ZONE 5

High-eciency Lighting

$ 25
Window Upgrades

$ 357
Whole-house Sealing and Testing

$ 350
Hot Water Insulation

$ 100
Insulation Upgrades

$ 134 BASEMENT $ 492 CEILING

Homes built to the 2012 IECC could yield a

Additional Upgrades:

$39 profit every month

and $12,000 over 30 years.

$172 Improved Bathroom Ventilation $180 HVAC System Savings + $408

Hard-Ducted Returns

For additional Incremental Cost Analysis, please visit energycodesocean.org