How Do Up-to-Date Energy Requirements Help Families?

If you were getting a new phone that you wanted to last for years with a strong battery and modern features, you wouldn’t buy a model from 2015. 

Modern technology advances quickly, and just a few years of progress make a difference. The same goes for a new home. Building new homes up-to-code will reap tremendous health, environmental, and cost-savings benefits for residents and the community that far surpass any initial costs. Updates pay for themselves through lower bills and safer, higher-quality residences. 

Lower Energy Bills

A national study by the Department of Housing and Urban Development (HUD) estimates annual energy savings of about $1,000 per household in single-family homes and $400 for low-rise multi-family housing. Over the life of a 30-year mortgage, these standards will create real savings of:

• $25,100 in energy bills for the average single-family homeowner
• $10,500 per unit in energy bills for low-rise multifamily housing

The recent 2021 standard Michigan just adopted is estimated by the Department of Energy (DOE) to be nearly 35 percent more efficient than the HUD-USDA 2009 standard, and 8.7 percent more efficient than the 2018 standard. States that are just a few years behind the curve are depriving their residents of serious savings, and for states that are over a decade behind, updating building codes could usher in a windfall of savings: Arizona residents, for instance, could save about $170 million by updating their residential building codes.  

Poorly designed and insulated buildings often leak and waste energy or use outdated heating and cooling systems; it’s one of the reasons why buildings are responsible for about one-fifth of U.S. greenhouse gas emissions. And as a homeowner or renter, these inefficiencies translate to higher monthly energy bills—it’s your hard-earned money, figuratively left on a drafty windowsill, only to be whisked away. 

Higher-Quality Residences

Energy-efficient homes are more comfortable and allow families to withstand extreme heat, blizzards, and wildfires more safely, even during power outages. Further, research shows that homes built to up-to-date energy standards encourage residents to stay longer and have lower default and delinquency rates for loans (PDF). 

Homes are both a present-day haven and a long-term investment; outdated energy codes silently sabotage both. Since buildings are used for decades, the codes that influence the design and construction of today’s buildings significantly impact our climate, public health, and home value for decades to come. 

Lastly, homes should keep us safe, not make us sick. But a home infested with mold and trapped air pollution does the exact opposite. Homes built to the 2021 IECC code have improved indoor air quality thanks to better ventilation and air sealing, and are less susceptible to mold growth thanks to moisture management. This leads to lower rates of asthma, allergic reactions, and other respiratory problems. 

What Does Updating Building Codes Look Like in Action?

While families face skyrocketing energy costs, updated building codes offer a commonsense, ready-to-go way for states to help. 

More than half the states still have a huge opportunity to follow Michigan’s lead and update their codes. Doing so could cut an estimated 900 million metric tons of carbon dioxide pollution nationwide by 2040, according to analysis by DOE. 

IECC building codes are easy for states to adopt in full or to amend for local conditions, and they are updated to reflect the latest in building materials and technology. While processes vary from state to state, generally authority is vested in a state legislative or regulatory body, and then approved through public review. There are extensive resources for training builders and contractors on how to work with new codes, and with dozens of other states already using the codes, many architects, manufacturers, engineers, and builders are already familiar with the systems. 

Given the stark absence of leadership from the federal government, building code updates are a great tool for climate advocates and local policymakers to advance state-level action. The straightforward act of keeping up-to-date with building codes creates the incentives for builders to construct safer and more affordable buildings, homeowners to live more comfortably in their homes, and all of us to enjoy a less polluted environment. It’s a clear-cut way to save residents money, cut pollution, create jobs, and advance justice—now, more states should seize this opportunity. 

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