This is Santa Rosa, and in Santa Rosa, most of the population is concerned with the environment. Energy efficiency is a big deal, and we’re all trying to ensure we don’t make things worse for the planet than they already are.
It’s not just owners, investors, and property managers who are thinking about how to protect and conserve resources. More and more tenants are interested in sustainability and protecting the environment. It’s impossible not to be thinking about carbon footprints these days, and anyone paying attention to the earth and its needs is looking for ways to be less wasteful when it comes to the use of materials and natural resources.
More is not always better, and most of the qualified tenants we’ve been working with lately want to live in homes that aren’t energy vampires or consuming too much.
We’re also realists, and we know not everyone is an environmentalist. However, all of your tenants want to keep their energy bills reasonable. This is not a hard sell, and luckily, energy efficient homes often produce lower electric, gas, and water bills every month. So, there’s an incentive for everyone to think about energy efficiency when we talk about rental homes in Santa Rosa.
Maximizing energy efficiency is more than just a trend. It is also a profitable way to do business as a real estate investor and landlord, and a responsible way to rent out a home. Showing prospective residents that you’re a good steward of energy and environmental resources will make your rental property more attractive to environmentally conscious tenants.
Here is our Santa Rosa property management guide to maximizing energy efficiency in your rental properties and how the benefits and incentives associated with this business model can lead to a more productive and profitable rental experience.
Determine Where You Need to Do the Work: Energy Audits are Incentives
Deciding that you want a rental property that’s more energy efficient is your first step towards making it happen.
The second step is completing an energy audit.
Once you decide to maximize the energy efficiency in your Santa Rosa investment properties, you’ll need to get a good idea of your starting point. Don’t waste times in areas where you’re already pretty efficient. And, don’t skip over those big problems that you may have been avoiding up until now.
Conduct an energy audit.
This will show you where you stand with your current appliances, such as air conditioners and washing machines, and features, such as toilets and shower heads. An energy audit can identify where a rental property’s strengths and weaknesses are when it comes to conserving resources and spending too much money. An energy audit provides owners with data that can be used to make good decisions.
There’s a lot of new technology that makes this possible. When you’re looking for someone to help with your energy audit, make sure they’re experienced and qualified. An electrician could be a great starting point, but a certified Energy Auditor can give you a more precise and realistic understanding of where your problems are and how you can solve them. They will walk through the property, ask questions about the age and functionality of many of your systems, and potentially ask to see energy bills.
There are bound to be some surprises. And some of the information you collect may demonstrate that there needs to be a change in human behavior. It might turn out that your tenants are keeping the lights on all day and night, even if no one is home. Maybe the showers are running longer than they need to.
You cannot do anything about how your tenants are using energy. But you can make some changes inside of the property that are likely to lead to more efficiency.
Here’s an example. You cannot change the way your tenants use refrigerators and dishwashers and dryers. But you can upgrade those appliances to more energy-efficient models. And, when you do that, you can expect some of the following benefits:
- Fewer maintenance expenses. When you have a new appliance that’s performing better and more efficiently, there will be fewer maintenance calls from tenants who are frustrated that something isn’t working.
- Better technology. A newer appliance in your property demonstrates to tenants that you’re willing to invest in technology and clean energy.
- Lower energy bills. Those electric and water bills will be lower, not only for your tenants, but also for you during periods of vacancy and turnover.
To achieve those outcomes, you’ll need regular and ongoing energy audits. You cannot improve what you are not measuring, and you need access to reliable data before you make any major changes.
Ideal Rental Property Upgrades
A total rehab of your property is unlikely, so where should you get started with your own rental properties? Here are some of the most common energy-efficient moves that we have seen owners and investors make.
- Invest in Energy-Efficient Appliances
We have talked a lot about appliances already, and that’s because they’re easy to identify as major energy consumers. By installing energy-efficient dishwashers, washing machines, refrigerators, and stoves, you’re saving resources and money.
There’s an aesthetic element, too. These improved appliances will also look better in your rental home and improve the quality of life for your tenant. Expect retention to be a bit easier when you have new, quieter appliances in your rental home.
Look for an Energy-Star rating before you buy. A thermostat that’s programmable is another great idea, and tenants will appreciate the function of keeping their home warm or cool depending on the season. You can even install sensors that detect when people are home, thereby adjusting how warm or cool it is indoors.
- More Efficient Landscaping for the Santa Rosa Climate
Attractive landscaping is a big part of your property’s curb appeal. It is a big part of what attracts and retains residents; landscaping makes the outside of your property look pretty.
It can also boost your rental value.
Here’s another benefit to good landscaping – when done right, it can also reduce heating and cooling costs for your tenants. Plant a tree in the right spot, and you’ll find that the property enjoys more shade and receives less direct sunlight. That’s going to bring down energy bills and provide a more comfortable living environment inside the house. According to the U.S. Department of Energy, the right trees in the right places can save up to a quarter of the energy a typical household uses.
As you’re considering what you can do with your landscaping, think about irrigation, too. There’s some great technology that allows you to set hoses and sprinklers onto timers that work with the current climate. There’s nothing more absurd than seeing a sprinkler running while it’s raining. Conserve water with upgraded landscaping and irrigation.
- Insulation Upgrades: Seal Doors and Windows
Air quality is a big deal, and you want to protect the air inside of your rental home. Keep the cold air in during the summers and the hot air in during the winters. It doesn’t get much easier than that.
If you can pay attention to the way your doors and windows open and close, and you’re checking the insulation around your roof and foundation, you can improve your efficiency without buying any new systems or tech. You simply have to make sure that the insulation is intact. If not, spend some time sealing the doors and windows. This is an easy upgrade that gets you closer to an energy-efficient property. Air leaks are a big problem and will always lead to terrible energy efficiency. Sometimes you’ll need caulk or weather-stripping.
- Upgrade Your Lighting
There’s a lot you can do with lighting to make it more efficient. It’s also a relatively cost-effective upgrade. For example, a simple light bulb change can help. Switching all the light bulbs in your rental property to long-lasting LED bulbs could save you both time and money all year. Energy-efficient lighting is designed to stay lit for months or even years, significantly reducing the cost and frequency of replacement.
- Install Solar Panels for Cleaner Energy
Solar panels could be a more intensive upgrade than you may be willing to make, but they’re also becoming more common, even in rental properties. When you want to invest in significant energy savings and efficiency, consider installing the solar panels.
Solar panel technology is always being improved, and they’re less expensive and less invasive than they once were. You might even find that you can take advantage of local energy incentives or tax deductions by installing solar panels. Check with your energy provider.
Maximizing your energy efficiency is good for you, your property, and your residents. If you’d like to talk more about how to do this with your Santa Rosa rental property, please contact us at Prestige Real Estate & Property Management. We manage rental homes in Sonoma County, including Santa Rosa, Windsor, Sebastopol, Petaluma, and Rohnert Park.
