Requiring Energy Audits In Order to Close?

That right. The Nevada Energy Commissioner is proposing more legislation to require an energy audit for the transfer of real property, in R148-10. The original proposal, which takes effect on January 1, 2011 would only require the seller to provide a 12 month average of the utility bill. The new proposal expounds to include the bulleted points below.

  • Consumption of electricity for the proceeding 12 months (if occupied)
  • Consumption of natural gas/oil/propane for the proceeding 12 months (if occupied)
  • Consumption of any other heating or AC source from the proceeding 12 months (if occupied)
  • Statement indicating any improvements over a 5 year period
  • Statement indicating any reduction of energy consumption due to improvements
  • Statement showing estimated age of major appliances and if they are Energy Star
  • Statement of estimated age and efficiency of heating system or AC unit
  • Statement indicating if the unit is on a net metering system and general attributes of the system
  • Statement indicating whether there is insulation, type of installation, efficiency rating
  • Statement showing any design feature that improve efficiency

 

In the abridged version above I count 10 new contingencies that will affect the sale of property. Contingencies that will need to be provided by the seller and approved by the buyer. Now in our current market the majority of homes are distressed, either REO or short sale. How would legislation like this help our market and economy? All I can forsee if longer escrows, more properties falling out of escrow due to buyer’s not liking the “inefficient” home they fell in love with, or lawsuit after lawsuit because the short sale homeowner couldn’t afford to have a licensed professional take care of the statement information.

Do any other active rain states have this type of legislation?

If so, how do they deal with occupied rental properties where the utilities are in the tenants name?

 

 

 

Posted in Educate Yourself, For Buyers, For Sellers, News.

Fatal error: Uncaught Exception: 12: REST API is deprecated for versions v2.1 and higher (12) thrown in /home/content/76/12108376/html/wp-content/plugins/seo-facebook-comments/facebook/base_facebook.php on line 1273