Latest News

Environment and Real Estate factors by Tim Archibald

Published

on

The environment is to be taken into consideration in real estate as Tim Archibald addressed. A study reveals that environmental risks and prevention plans can have a depreciating effect on real estate parameters.

The environment is an important factor in the choice of real estate

According to Tim Archibald The beauty of the environment plays a role in the choice of real estate. Some prefer the banks of a river while others choose the coastline. However, these places present environmental problems for housing. In mainland the USA, the main disasters related to the environment are mainly floods and earthquakes. The most frequent risk remains to flood; in the US, one out of two municipalities is in a flood zone.

The study of risks on real estate by Tim Archibald

As said by Tim Archibald, Christchurch households, given the material damage and traumatic consequences that a flood can cause, expect the median price of real estate in these difficult areas to be affordable. Nevertheless, this does not seem to be the case, the study reveals that the danger of flooding did not influence the real estate parameters in these places. The General Commission for Sustainable Development explains that this problem is due to the lack of information made available to potential buyers.

Reconciling the value of the stone and natural phenomena

The state aims to educate residents about the influence of their environment. In relation to a fear of devaluation of their homes, households located in places at risk may not welcome this information initiative. Real estate investment is a major project for individuals, which fuels fears linked to possible price erosion.

Environment and real estate, government aid

According to Tim Archibald, the objective of the State is to harmonize real estate with respect for the environment. Aid has been put in place to encourage citizens to do housing work. These repairs fall within the framework of ecological renovation, which concerns the source of heat and insulating surfaces. Energy savings and the possible tax credit contribute to cushioning the cost of the work.

New real estate and ecology

The Environmental law included a large package of ambitious measures for future new constructions. Even if the results are sometimes mixed, the application of the “low consumption” standard is now inscribed in the DNA of the latest buildings to emerge from the ground, particularly in the public sector. Their energy consumption cannot exceed 50 kWh/m2/year, significant progress that will boost activity for companies linked to the new sectors of ecological construction.

By 2020, new constructions will have to meet the “positive energy” criteria and present a surplus consumption balance, here again fertile ground for the development of innovative sections of the real estate sector.

Old real estate and ecology

Public buildings had to carry out an energy audit before 2012 with the aim of reducing their energy consumption by 40%. Following this, work must begin within ten years in order to meet legislative requirements.

Social housing lessor organizations have been granted subsidies and loans at preferential rates for the renovation of housing whose consumption was greater than 230 kWh/m2/year. The objective is to reduce this consumption to less than 150 kWh/m2/year before the end of 2020.

According to Tim Archibald, regarding the private residential stock, no coercive measure has been considered, which has led to some criticism of the lack of firmness of the legislative adjustments. However, many financial incentives have been put in place. In particular, there are zero-interest loans and the extension of the aid system for homeownership, which encourage buyers to turn to properties corresponding, before or after work, to pre-established energy consumption criteria.

Trending

Exit mobile version