10 Questions for House Hunters

The mortgage meltdown of 2007 has prompted many sellers—and buyers—to shy away from the housing market and wait out the storm. But with mortgage interest rates and housing prices tumbling, now is one of the best times to buy in years.

Green-minded buyers will find ample opportunity in the booming green-home-construction market. A 2007 National Association of Housing Builders survey found that, nationwide, there are nearly 100,000 homes certified by various green-building programs. The U.S. Green Building Council's Leadership in Energy and Environmental Design (LEED) for Homes launches officially this month, after a popular three-year pilot during which more than 384 homes were certified in 12 markets across the country. Acting director Jay Hall, Ph.D., says that based on findings from LEED's pilot program, homes that qualify for LEED's minimum standards cost only 2 to 5 percent more than conventional homes. In the face of increasing energy costs, factoring in savings on utility bills makes green homes an even better deal. LEED-certified homes offer utility savings of 40 percent compared with conventional homes. Those savings can offset any higher mortgage payments resulting from energy-efficient upgrades.

So, where does a green-minded buyer begin? Here's what you need to ask before writing your offer.

1. Has the home been certified for energy efficiency or environmental impact by an independent third-party?

Be aware that homes come in widely different shades of green. There's no single standard definition of a "green home," but most industry experts agree that a green home is about more than just energy-efficient appliances and windows. Truly green homes look at the bigger picture—energy and water efficiency, indoor air quality, conservation of natural resources, even minimizing community impacts.

As with certified organic food and Fair-Trade coffee, there are independent certification programs that can independently verify how green a "green home" is. The LEED for Homes program "provides the only nationwide third-party benchmark for green homes," says Hall.