Five Reasons to Sell Sustainable Upgrades in the New Year

There are many benefits of sustainable home improvements. Products like solar panels and storage, EV chargers, high SEER HVAC systems, heat pumps and ENERGY STAR® windows and doors, all fall under this category. These energy-efficient products can offer customer savings, provide more resiliency, increase home value and comfort — and even help boost your margins!

The industry is seeing first hand how quality products can improve the lives of customers. Sustainable upgrades are proven to lower energy usage which in return, lowers utility bills. They also have higher standards of functionality, leading to less repairs over time and increased household comfort. As the push for cleaner ways to power our homes gains traction, contractors who know how to sell these game-changing products will have an upper hand. 

This year, instead of defaulting to the lowest-priced products, here are five reasons to include sustainable home upgrades into your sales pitch. 

1. Federal Benefits

The historic incentives of the Inflation Reduction Act are active. Now, thousands of families across the country will be eligible for rebates and tax credits on home improvements. These incentives will help households start more sustainable projects and amp up interest in advanced technologies. 

Some of the highlights of the Inflation Reduction Act include:

  • Up to $8,000 for heat pump installations
  • Extended 30% ITC for solar and established 30% ITC for battery storage and geothermal
  • Up to $7,500 for new electric vehicles and up to $4,000 for used electric vehicles

Make it a resolution to study these benefits and add them to your sales pitch. 

2. Increased savings

There’s a reason higher efficiency products are more expensive: These products offer value and quality for their price. While they may cause initial sticker shock, the future benefits can be worth it. 

Customers may be surprised to learn how their budgets can benefit from a pay now, save later approach. Most solar panels pay for themselves within six to 10 years, allowing customers to profit for the rest of the 25 year warranty. Upgrading from a 13 SEER to 16 SEER HVAC system could pay for itself in 3-5 years. According to Carbon Switch, heat pumps can lead to even more savings, an estimated $10,000 over 15 years. 

Be sure to treat sustainable upgrades less like costly repairs and more like valuable economic investments. 

3. Home Valuation

Speaking of investments, sustainable home improvements can increase property value. 

Freddie Mac research found that homes with high energy efficiency ratings sold for 2.7% more on average. When customers choose sustainable upgrades, they not only reap the benefits of lower utility costs, but a higher resale value. According to the National Association of Home Builders, energy-efficiency upgrades rank between 70-80% on home buyer wishlists.

Always include the long-term home benefits when selling sustainable upgrades to customers. 

4. Increased satisfaction

Customer testimonials are proof that sustainable upgrades improve quality of life. Some of Mosaic’s team members shared their personal experiences after upgrades. Some of the top perks mentioned include less drafts, less noise pollution and increased resiliency to weather events. 

One team member said, “These upgrades increased comfort, lowered utility bills and now we have less energy usage. I also have better peace of mind after these improvements!” 

Include customer testimonials in your sales pitch and give customers insight into the benefits of sustainable upgrades. 

5. A whole home approach to selling

Energy efficient goals are larger than one project. Selling upgrades with a holistic approach in mind can help increase customer savings and contractor margins. For instance, if a customer owns an EV, they are likely to see an increase in their electric bill and could benefit from installing solar panels. If a customer buys a new HVAC, help them see the energy savings new windows or insulation can add. 

Rewiring America estimates that with total home electrification, Americans can save over $1,000 on energy bills each year. Customers can maximize their savings by taking on additional projects.

Focusing your efforts on the bigger picture of home upgrades can set you apart from the competition, allow you to create referral partnerships with other contractors and strengthen your relationship with existing customers.

Help homeowners start their energy efficient home journey! 

Financing applied for and processed through the Mosaic platform is originated by Solar Mosaic LLC or one of its lending/financing partners. Equal Housing Lender.

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