A Look at the Most Common Home Energy Rating Systems

Home Energy Rating System (HERS)

The Residential Energy Services network developed the Home Energy Rating System (HERS) to rate the energy efficiency of any home. HERS ranks homes with a single score, from 0 to 150, with lower number ratings indicating more energy-efficient homes. The “Reference Home,” meaning a standard home built to code, has a score of 100. The average resale home in the United States has a rating of about 130. A home that is considered very efficient comes in with a rating of 60 or below. A house that produces all the energy that it consumes—called a net-zero energy home— would receive a score of zero.

If you’re looking to build, sell, or buy a home, the HERS system is a great way to understand a home’s energy use. Lower numbers on the HERS system can contribute to higher resale value because the buyer knows about the energy efficiency value they are gaining. There are currently over 2.6 million homes in the United States with a HERS rating. Given that there are over 70 million single-family homes, though, that’s less than four percent—but the trend is growing.

ENERGY STAR Certified Homes

The ENERGY STAR program is run by the U.S. government to help consumers understand and gain access to more energy-efficient appliances, homes, and other buildings. ENERGY STAR certified homes are at least 10 percent more energy-efficient than homes built to code, with average energy efficiency being 20 percent better than standard built homes. These efficiencies can help homeowners save $250 a year on average.

While ENERGY STAR certified homes are better than standard homes built to code, several certifications go further than Energy Star certified homes. These standards and certifications can help homeowners achieve maximum home comfort with very low, or even no, heating and electricity costs for operation.

R-2000 Homes

R-2000 is an energy efficiency standard and certification program developed by Natural Resources Canada. While R-2000 was developed over 35 years ago, its most recent update happened in 2012. Homes built to the most current R-2000 standard are typically 50 percent more efficient than homes built to code. R-2000 homes result in significant improvement over ENERGY STAR certified homes in terms of efficiency and energy savings.

Net-Zero Energy Homes

Net-zero homes are just what their name sounds like—these homes produce all the energy they use on-site, resulting in net-zero energy use for the house over a year. Net-zero energy homes are very efficient, use electric sources for heating, and produce electricity on-site using solar. Because of the solar, they typically use less energy than they produce in the long summer days and use more power than what they produce during shorter winter days.) Earning a HERS rating of 0 can certify that a home is truly net-zero energy.

While achieving a net-zero home may feel like a big lift financially, the upfront costs pay for themselves over time with savings on energy bill savings—by definition, net-zero energy means homes save 100 percent. A report by the Rocky Mountain Institute in 2018 found payback times in many American cities are improving. These payback times range from 7.8 years in San Francisco to 13.8 years in Virginia Beach, VA, with many North American cities in the middle of that range.