New Home Builds and Renovations Need To Focus On Energy Efficiency

High performance building isn't just a design trend or marketing scheme, it's a practical response to rising energy costs and a smarter way to invest in your home.

As builders and remodelers we focus on what the customer wants. Afterall, they are the ones paying for our services and overall finished product - but being a good builder means informing your clients so they can make fully informed decisions. Building a home or undergoing a major renovation is often the largest investment someone will make in their lifetime and to not bring up high performance as apart of that conversation is irresponsible and lazy.

High performance isn't a checklist, it's a system and through careful planning this brings to life a cohesive operation.

With electricity prices steadily increasing across the U.S., the most cost-effective strategy for new builds isn't to buy more solar panels or a bigger/fancier HVAC system, it's to reduce the demand in the first place. Allocating your budget toward tight air sealing, continuous insulation, high performing windows, balanced ventilation, and right sized mechanical systems - you can find trade offs to fit your budget and maximize performance. This can also be done in phases for renovations to spread out the cost. These upgrades typically deliver the strongest return on investment because they lower monthly utility bills, improve indoor comfort, and increase long-term resilience.

When we shift our thinking from "how does it look?" to "how does it function?", we build homes that cost less to operate, feel better to live in, and stay valuable. An energy efficient home or alternative construction method doesn't have to be obvious. In fact, one of the aspects I appreciated most about working at The Right Home Company was the fact we built turn-of-the-Century homes dedicated to traditional design features.

What are the biggest Return on Investments for upgrades or critical focus areas:

1. Air sealing and insulation

   Typical cost around $1,500 - $3,000

   Energy savings can range depending on how aggressive you want to be, but typically 15-20%

   Spending $2,000 on air sealing and insulation can save you $300/year or a 15% annual return on your investment

2. High-Efficiency HVAC and Duct Sealing

   Typical cost $3,000-$8,000 (more for heat pumps)

   Energy savings 20-40% on heating/cooling costs

   If design is done properly, you will need smaller systems

3. High Performance Windows

   Typical cost $12,000 - $50,000 (all depends on quantity, level of performance, etc.)

   Energy savings 8-15% on energy bills

4. Solar Panels (yes, even in Michigan)

   *Residential Clean Energy Credit that allowed a 30% tax credit to homeowners is not a thing in 2026*

   Typical cost $15,000 - $25,000

If you're looking at rooftop panels, consider your roof's age and inspect it before you do anything. Dismantling and reinstalling solar panels is expensive labor, a simple mistake can cost you thousands by not being proactive in your planning.

Visit https://sunroof.withgoogle.com/ to get a rough estimate if your home would benefit from using solar panels.

My advice would be to pay extra for a Grid Forming Inverter (GFM) to operate independently from the grid. It is very important that this is installed by a licensed and reputable installer and supplier. If you do not have proper controls, such as Enphase System Controller you create a significant safety hazard with the power feeding back to the power lines.