CHICAGO (Feb. 21, 2013) – The nation’s largest professional association of real estate appraisers premiered its “Residential and Commercial Valuation of Solar” course today in Albuquerque, N.M. The course is the latest offering in the Appraisal Institute’s Valuation of Sustainable Buildings Professional Development Program.
This hands-on course introduces appraisers to solar terminology and shows them how to solve solar-related valuation problems through real-life examples and case studies on both residential and commercial properties.
“As the U.S. continues to search for energy alternatives, the demand for solar energy will become more prevalent in the real estate market,” said Appraisal Institute President Richard L. Borges II, MAI, SRA. ““The Appraisal Institute is proud to meet this growing need and to serve as the leader in green valuation education.”
The Appraisal Institute’s Valuation of Sustainable Buildings Professional Development Program educates appraisers on the intricacies of valuing high-performance residential and commercial buildings, and consists of the new course and three others: “Introduction to Green Buildings: Principles & Concepts;” “Case Studies in Appraising Residential Green Buildings;” and “Case Studies in Appraising Commercial Green Buildings.” All four courses, which have been approved for continuing education by the U.S. Green Building Council, will be taught multiple times in numerous locations across the country.
Launching the “Residential and Commercial Valuation of Solar” course is the most recent example of the Appraisal Institute’s leadership in green valuation efforts:
Since June 2008, the Appraisal Institute has offered nearly 280 individual courses on green and energy-efficient valuation, and nearly 5,000 attendees have participated.
In September 2011, the Appraisal Institute released the Residential Green and Energy Efficient Addendum, the first form of its kind intended for appraisers’ use. It is an optional addendum to Fannie Mae Form 1004, the appraisal industry’s most widely used form for mortgage lending purposes. The Appraisal Institute’s addendum allows appraisers to identify and describe a home’s green features, from solar panels to energy-saving appliances.
· In January 2012, the Appraisal Institute announced its support for PV Value, a spreadsheet developed by Solar Power Electric and Sandia National Laboratories that assists appraisers and others seeking to establish the value of a property’s solar-powered features.
The Appraisal Institute contributed to the Green MLS Tool Kit, issued in April 2010. The tool kit was created to help Realtors add a green initiative to their local multiple listing service. The tool kit provides guidance on enhancing data in the MLS, empowering appraisers to make well-supported comparisons, analyses and adjustments.
Published by the Appraisal Institute in June 2010, “An Introduction to Green Homes” by Alan Simmons, SRPA, LEED AP, provides the appraiser with an overview of programs, organizations and products that relate to environmentally responsible building and remodeling.
· The Appraisal Institute and the Institute for Market Transformation issued guidance for green valuation – “Recognition of Energy Costs and Energy Performance in Real Property Valuation” – at a forum hosted in May 2012 by the American Council for an Energy-Efficient Economy.
· The Appraisal Institute in October 2011 sponsored a report that outlined ways to finance $150 billion per year in energy efficiency projects that yield double-digit financial returns. “Energy Efficiency Financing: Models and Strategies” by Capital-E and partner organizations found that within 10 years, investment at this level would save U.S. businesses and households $200 billion annually and would create more than 1 million new full-time jobs.
In October 2011, the Appraisal Institute endorsed the federal Sensible Accounting to Value Energy (SAVE) Act, which would improve the mortgage underwriting process by ensuring energy costs are included. Sponsored by Sens. Michael Bennet, D-Colo., and Johnny Isakson, R-Ga., the SAVE Act would instruct federal loan agencies to assess a borrower’s expected energy costs when financing a house. IMT also is among the bill’s supporters.
The Appraisal Institute was among the sponsors of the Vancouver Valuation Accord, an agreement to address the interrelationship of sustainability and valuation that was signed March 2007 in Vancouver, British Columbia, Canada.
The Appraisal Institute www.appraisalinstitute.org.