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Building it Better

Efficiency tips for new homes

June 2025

A house is under construction

Consider framing techniques, insulation levels, and heating and cooling equipment to maximize your new home’s energy efficiency.

by Miranda Boutelle, Contributing Columnist

Q: What energy efficiency upgrades should I consider when building a new house?

A: Prioritizing energy efficiency when building a new home can create future savings and make living more comfortable. It might cost a little more up front, but it will pay off in the long run.

Let’s explore two approaches: following an energy efficiency certification plan or adding energy-efficient designs and equipment to your construction project.

Several efficiency certifications are available for new-construction homes, which may qualify for discounted homeowners’ insurance, tax credits and other incentives.

LEED, or Leadership in Energy and Environmental Design certification, ensures that homes use less energy while prioritizing sustainable resources and promoting healthy indoor air quality. According to the U.S. Green Building Council, LEED-certified homes consume 20% to 30% less energy than the average home, with some homes saving up to 60%. With proper planning, LEED-certified homes can be as affordable as non-LEED homes.

Passive House certification requires homes to be so efficient that they need little to no heating and cooling equipment while remaining comfortable for their occupants. To achieve up to 90% less energy use than the average home, this certification focuses on maximizing the efficiency of the building envelope — all components separating the indoors from the outdoors, including proper insulation levels, air sealing and high-efficiency windows.

Energy Star NextGen Certification for New Homes recognizes houses that are 20% more efficient than the average home and help reduce greenhouse gas emissions by 40% to 80%. Although various certifications are available, you don’t have to follow any set guide. Consider adding these energy-efficiency principles to your new home build.

Advanced framing techniques maximize the amount of insulated area and save on material costs in wood-framed homes. According to the U.S. Department of Energy, this technique can save up to $500 for a 1,200-square-foot home and $1,000 for a 2,400-square-foot home on material costs, between 3% and 5% on labor costs, and up to 5% on annual heating and cooling costs. Choose a contractor familiar with these techniques, and check with your local building officials to ensure compliance with local codes.

The importance of a home’s orientation is often overlooked. According to the International Association of Certified Home Inspectors, homes oriented to the path of the sun use less energy for heating and cooling to reduce energy bills and improve comfort.

Row of homes under construction

Properly insulating while building a home can reduce the expense of your heating and cooling equipment and lead to long-term energy savings.

If you are building or buying a new home that doesn’t allow for options regarding orientation or framing, you might be able to request higher insulation levels in the attic. Increasing the insulation levels likely won’t significantly add to the cost of materials and labor, but it can help you use less energy and save money in the long run.

Heating and cooling equipment should be sized appropriately using energy modeling tools that calculate the home’s heating and cooling needs. Investing in a more efficient building envelope that is well insulated and air sealed can reduce the home’s heating and cooling load, making it possible to have a smaller, less expensive heating and cooling system. This saves money on equipment costs and lowers energy use.

Optimizing the efficiency of a new home requires a whole-house approach. Analyze all systems and how they work together to ensure maximum efficiency for a safe and comfortable home.


Miranda Boutelle writes on energy efficiency topics for the National Rural Electric Cooperative Association