CURATED • AUGUST 2023 HOMES ACROSS THE STATES WITH CHRIS DOUCET

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CURATED • AUGUST 2023 HOMES ACROSS THE STATES WITH CHRIS DOUCET marketingcenter--

The Passive House: What It Is and Why You Should Care

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SOURCE: Houzz

If you don’t understand passive design, you could be throwing money out the window

The term “passive” is getting thrown around almost as frequently as the word “green” these days. But what does it actually mean? And how does the all-encompassing adjective differ from the measurable standards of the capitalized Passive House?

I’ve mentioned before that the truth of green building is in the details. Here’s how to understand the vocabulary and the implied meanings in the world of passive design.

Decoding What People Say

“This house was designed with passive solar principles” means the orientation of the house and the placement of windows have been used to gain heat through natural daylight. Perhaps shading for hot summers was also considered. These are the first and most fundamental steps toward reducing the energy consumption of a house.

“This house was designed to Passive House principles” means that the architect and builder, of their own accord, decided to pursue a set of measurable building standards that promote low-energy consumption. The term originated from Germany’s Passivhaus.

“This house is a certified Passive House” means that in addition to the house’s being designed and built to the Passive House standard, it has successfully undergone a certification process. Certification is managed by various entities all over the world. The original was the Passivhaus Institute in Germany, which is still widely regarded as the “gold standard” and most stringent set of performance metrics available. In the U.S. there is a second certifying institute, Phius, which has created a separate standard with similar and slightly less demanding criteria. Both of these certification paths require that project teams submit proof of performance and require third party accountability.

So, what is the Passive House standard, anyway?

Contrary to the impression the word may give, passive homes are anything but lazy. A house designed to take advantage of the solar heat streaming through a window is actively saving energy. Taking it a step further, and into the realm of the Passive House building standard, a house can be designed to work hard in every season to maintain a comfortable and healthy indoor living environment, without consuming superfluous energy.

A home built to the Passive House standard is one that remains comfortable through all seasons without employing an active heating or cooling system.

Depending on your country and the localized standards, a project must meet maximum annual energy consumption limits to be considered. Historically, and still in Europe, this was 15 kilowatt-hours per square meter each year. The U.S. standard has since made changes to that limit in an attempt to address specific climate zones.

However, as an order of magnitude, we’re talking about 60% to 70%, sometimes even more, in energy savings relative to conventional buildings.

How can that be possible? Well, in a Passive House, all of the energy that would be needed to heat or cool the building is no longer needed. Let me explain.

We Passive House architects start out with a compact building shape. You’ll notice that most Passive Houses are essentially a box in form. We can then add visual intrigue by using unconditioned outdoor rooms and covered spaces to break up the facade. This compact box core, however, is essential and is the basis of any concept of efficiency.

In the winter passive solar design takes as much heat as possible from the sun. This means orienting the house toward the sun’s path and making sure that the winter sun’s low angle is able to penetrate as much of the inside of the home as possible.

We add to that the heat that is created in the house just from people being there. (You’d be surprised at how much heat is generated from normal daily activities, like cooking, cleaning, using the computer and running home appliances.)

We use mechanical ventilation to keep the air fresh, heating the incoming air with the exhaust air. And we use dehumidifiers to maintain healthy moisture levels and prevent mold.

In the summer, we take advantage of shading devices and the high summer sun angle. In this way we can stop the sun from reaching windows, floors and walls, helping to keep them cool.

Then we make sure not to let heat pass through the building’s skin by designing a sealed and insulated building envelope.

This photo shows rock-wool insulation. Unlike LEED, the Passive House standard does not require that you use natural or recycled materials. Certification is based on energy performance alone.

Not only do the walls, slabs and roof need to be properly insulated, but so do all of the openings. High-quality windows are one of the biggest up-front expenses in a Passive House, but they contribute to a large portion of the energy savings.

We can insulate like crazy, but if we use subpar windows, all of the heat will exit through the glass. The building envelope, which is like its skin, is only as strong as its weakest point.

I often describe the building envelope as being like an inflated balloon. One hole in the balloon, and all the air will escape. It doesn’t matter how sturdy the rest of the balloon is.

So not only do we want to have a consistently insulated building envelope, but we also want to avoid any air leakages where hot air can escape in the winter or enter in the summer.

One way the Passive House standard verifies the absence of air leakages is with the Blower Door Test, in which the entire house is closed up and air is pumped inside. A gauge, shown here, then measures the air-flow rate relative to the volume of the house.

Tests like this, along with energy simulations, measure whether a home is built to the Passive House standard.

Whether or not a Passive House is valid without official certification is an ongoing discussion. Some professionals believe that certification is an added and redundant expense. Others say it adds transparency and verification to the whole process, keeping everyone accountable to goals. Some homeowners find it a necessary part of adding market value to their house. Others don’t see the point, especially if they are not intending to sell.

Above all, it is vital that you trust your project team and understand the entire situation. The word “passive” is not trademarked, as LEED is, so make sure you understand the context in which it is being used.

SOURCE: Houzz

August 2, 2023 Weekly Market Watch with Chris Doucet

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July 19, 2023 Weekly Market Watch with Chris Doucet

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First-Time Homebuyer Programs to Help You Afford a Mortgage

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SOURCE: Realtor

Conventional wisdom says you need a 20% down payment to buy a house, but let’s face it: That sum can be daunting, particularly for first-time homebuyers who don’t have a pile of cash from a property they have just sold.

The good news is that the average down payment for first-time homebuyers can be as low as 3.5% depending on what type of mortgage you get or grants programs you are eligible to apply for.

Even still, coming up with a decent amount of cash when you’re first starting out can be tough. Thankfully, there are a number of first-time homebuyer programs aimed at helping you get a loan.

Don’t know where to start? No problem. To point you in the right direction, we’ve compiled a list of loan assistance programs you should check out if you qualify as a first-time homebuyer.

Who qualifies as a first-time homebuyer?

A first-time homebuyer is not just someone who’s never purchased a home before. You could qualify as a first-time homebuyer if you or your spouse haven’t owned a home in three years. The term also extends to recently divorced persons who have only owned a home jointly with a spouse.

There are some other limitations to who qualifies. You might not be eligible for one of these first-time homebuyer programs if your income exceeds a certain amount, you want to buy a more expensive property, or you plan to buy an investment or rental property.

Now that we have the fine print out of the way, let’s look into some first-time homebuyer assistance programs that might be perfect for you.

FHA loans

The Federal Housing Administration offers a program that allows first-time buyers to purchase a home with as little as 3.5% down. One caveat—and it can be a serious one—is the mortgage insurance requirement on an FHA loan.

Unlike a conventional loan, where you no longer have to pay mortgage insurance once you reach 20% equity in your home, FHA loans require you to pay mortgage insurance throughout the life of the loan at whatever the rate was when you first closed your loan, unless you refinance. Still, it’s hard to beat the low down payment for those who are short on ready cash.


VA loans

As a veteran or active service member of the United States military, you qualify for 100% financing with a VA loan, which means no down payment and no need to purchase private mortgage insurance. Most reservists, National Guard members, and spouses of military members who died while on active duty may also apply.

To qualify for a VA loan, you’ll need a certificate of eligibility and a good debt-to-income ratio, and you’ll have to meet VA and lender guidelines for credit score. Borrowers are responsible for paying a fee, but in certain situations (such as if you we disabled during your service) the fee can be waived.

USDA loans

Wait, the people who certify your beef can also help with your down payment? Yup! If you qualify for the U.S. Department of Agriculture’s Rural Development Guaranteed Housing Loan Program, you’ll receive 100% financing—no down payment necessary.

The properties must be in areas with a population below 35,000, so they are primarily rural areas, although some suburban areas could qualify.

These loans are available only to families demonstrating need—they are without current safe housing and have an adjusted income at or below the local limit. Keep in mind that the limit can be relatively high in pricey areas like California, where a $232,200 income (for a family of four) can get you a USDA loan in some counties.

National Homebuyers Fund

The National Homebuyers Fund provides down payment assistance in the form of a nonrepayable grant, for up to 5% of the loan amount. You read that right—you don’t have to pay back anything. The NHF offers two down payment assistance programs with different sets of requirements, but both are meant for low- to moderate-income earners.

The NHF Sapphire program is available in multiple states and has generous FICO score requirements (which is a good thing if you have a subpar credit score). Ask your mortgage lender if this program would be applicable to you.

Local programs

Many states and counties have a wide variety of down payment assistance programs for first-time buyers. For example, the Colorado Housing Finance Authority offers a portfolio loan that allows a consumer to pay only 3% down and has no mortgage insurance requirement. While this program is specific to Colorado, many other states have similar products.

While these programs provide only down payment assistance, David Hosterman, branch manager for Castle & Cooke Mortgage, in Denver, recommends checking with your real estate agent for assistance in getting seller concessions to help with closing costs.

“In many cases, consumers can get into a house with no money down,” he says, although he cautions that there are still out-of-pocket expenses associated with buying a property, such as an appraisal and home inspection.

Many of these local programs have specific requirements, such as for the buyer to complete a homebuying class before obtaining the grant.

To find more information about loan programs for which you are eligible, check with your lender to see what might be available in your area.

SOURCE: Realtor