Green homes make up 17 percent of the U.S. housing market and could reach 29 to 38 percent by 2016, according to a study from McGraw-Hill Construction, a division of New York City-based McGraw-Hill Companies Inc
The current market share — up from 2 percent in 2005— equates to a $17 billion market opportunity. By 2016, that could be $87 billion to $114 billion, the study said. That would be a five-fold increase.
In the Mid-Atlantic region, which includes Pennsylvania, 56 percent of builders and 30 percent of remodelers expect increasing opportunities for green building.
The Pacific region expects the biggest growth in green building at 81 percent and 85 percent of builders and remodelers, respectively, according to McGraw-Hill.
The survey found that customers view green homes as being of higher quality and that green features lower maintenance costs.
Remodelers reported their customers will pay an average of 5 percent more compared with 3 percent reported by builders.
Nearly 40 percent of builders reported positive impacts on their bottom line from their green work. Out of those dedicated to green building, 77 percent said the same, according to McGraw-Hill.
On the remodeling side, 33 percent of all remodelers reported positive business impacts, while 67 percent of dedicated green remodelers said the same.