When we were putting together the latest issue of the Real Estate Rant (www.RealEstateRant.net), Brandon recommended an article on “Going Green”!

I didn’t pay much attention to it because I didn’t realize just how much momentum the topic had gained! (So, with my tail between my legs, I must concede that he was on to something…) And because of that, I decided to write a little something on the topic with the Live Earth concert on 7-7-07.

Last night, I was watching the Live Earth concert and I was blown away by the magnitude of the event.

Plus, I learned lots of little tips that allow me to contribute my own small part towards helping the environment. These tidbits piqued my interest so I started to doing some research just to get a grasp on how big the “green” movement is.

Just go to Google.com and type in “green real estate”. There are 81,700,000 results at the time I’m typing this email… WOW!

So, why the sudden interest? Perhaps it was fueled by Al Gore’s inconvenient truth. Or maybe the rising costs of energy. Or possibly… that residents of planet earth realize that our resources are limited.

But what I also realized is that just as going green is good for the environment, it’s also becoming a new marketing trend!

Does Going Green Payoff for Investors?

OK, OK… so what does this have to do with real estate? Good question! And here’s the answer:

“Empty-nester clients like the low energy efficiency, and younger couples gravitate because of environmental concerns and the healthier indoor air quality,” says St. Louis builder Matt Belcher, chairman of his local Home Builders Association’s Green Building Council.

It’s clear that we are only just scratching this surface and that there’s money to be made in real estate while still doing your part for the environment.

So what are some of the trends that you should be aware of and can incorporate in your rentals or rehabs?

– Low-emmittance windows that block UV rays decrease the need for air conditioning.

– Non-toxic paint. This helps keep indoor air clean and reduces the pollutants in the landfills. Major distributors like Benjamin Moore and Sherwin Williams have non-toxic lines.

– LED lighting. This type of lighting eliminates hazadarous chemicals that can hurt the ozone and they use 80% less electricity than traditional incandescent light. Lightbulbs also have a MUCH longer lifespan.

– Green toilets can reduce your water bill from 30 to 50% annually and are comparable in price to other quality toilets.

– Reclaimed (or recycled) wood. Reclaimed wood include wood taken from old buildings and structures, such as bridges, tunnels, and railroad ties. In fact, my stepfather just renovated an entire addition from recycled mahogany he got from the salvage yard for FREE (If you’ve got a carpenter on your team, this is one way to SAVE money and still go green!)

These are just a few examples of materials you can use in your current projects. Certainly, there are dozens, if not hundreds, more!

Though many of these items might be a bit more pricy today… as competition increases, we’ll certainly see a decrease in cost.

Now, what has yet to be seen is the premium that going green can command. There is rumor of the government giving tax incentives. Homebuyers may be willing to pay more up front for the long term savings…

But, nonetheless, it’s an interesting topic to look at and it’s worth considering in your renovations, rentals, etc.