Zero Energy Ready Homes: Everything You Need to Know

Build a greener future from the ground up

The exterior of a house with solar panels on the roof and a garage
Photo: myphotobank.com.au / Adobe Stock
The exterior of a house with solar panels on the roof and a garage
Photo: myphotobank.com.au / Adobe Stock
Highlights
  • Zero Energy Ready Homes generate as much energy as they use.

  • A zero-energy home is at least 40% more energy efficient.

  • You may be eligible for an energy tax credit.

  • Work with zero energy consultants to meet your goals.

  • When the time comes, get zero energy ready certified.

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Building a Zero Energy Ready Home is one of the best things you can do to make your new house work as efficiently as possible for years to come. Regardless of where you live, the energy-saving strategies of a zero-energy home could mean a difference of up to 50% off your energy bills, while helping to reduce carbon emissions. Here’s everything you need to know about zero-energy homes.

What Is a Zero Energy Ready Home?

Zero Energy Ready Homes, also called energy-ready homes or zero net energy (ZNE) homes, are houses that produce as much energy as they use. According to the U.S. Department of Energy (DOE), verified Zero Energy Ready Homes are at least 40% to 50% more energy efficient than traditional new homes. Energy-ready homes achieve zero net energy through the production of solar energy and through energy-conserving strategies.

Zero Energy Ready Homes vs. Zero Net Energy Homes

The main difference between Zero Energy Ready Homes and zero net energy homes is the method builders use to make a house as energy efficient as possible. Here’s a closer look at the two ways to achieve a zero-energy home.

Zero Energy Ready Homes

A Zero Energy Ready Home is a new build based on the rigorous standards the DOE set in place. The agency created a national program called the DOE Zero Energy Ready Home, which contains a list of minimum requirements for building new zero-energy homes. 

The criteria vary depending on your climate, region, home size, and more. For example, California has its own program requirements for zero energy-ready homes, so check with your regional program to learn more.

Zero Net Energy Homes

Any home—new or existing—can achieve the status of zero net energy. You don’t need to be certified to turn your home into a home that consumes as much energy as it produces. The downside to not having a government-certified zero-energy home, however, is that there is less credibility in marketing the value of your home’s energy efficiency in the marketplace. Regardless, you can opt for certification through independent third-party avenues for credibility.

Benefits of Zero Energy Ready Homes

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Other than a higher upfront cost and a potential scarcity of certified builders in remote locations, the benefits of going zero energy far exceed the disadvantages. When you choose a zero energy ready home, you can anticipate some of the following perks.

  • Increased home value

  • Lower energy bills

  • Lower water bills

  • Better for the environment

  • Cleaner indoor air

  • More durable building materials and techniques

  • Year-round comfort

  • Quieter indoor space

  • Less dependence on utility companies

  • Superior hot water circulation

  • Potential credits and rebates

New Energy Efficient Home Credit

If you plan on building an Energy Star-certified, single-family, manufactured, or multifamily home, you might also be eligible for the Inflation Reduction Act’s Tax Credit for Energy Efficient New Homes. Energy-efficient homes built before January 1st, 2025 might qualify for the following tax credits:

  • New single-family homes: $2,500

  • New manufactured homes: $2,500

  • New multifamily units: $500

Certified DOE Zero Energy Ready Homes might also be eligible for additional tax credits depending on your state.

Building a Zero Energy Ready Home Checklist

While considering making the switch to a zero energy ready home, you’ll want to have a checklist on hand for achieving your goals. The main categories of a zero energy home include:

Renewable Energy

One of the biggest parts of a zero-energy home is its ability to produce renewable energy. Most use solar panel systems to do this. Solar panels are one of the most readily available and affordable ways for homeowners to generate electricity. 

Water Management

You’ll want to ensure your home uses low-flow faucets to minimize your water consumption. Other water management strategies include using alternative water sources like harvested rainwater, returning the water to the source of origin, and reusing greywater (if accepted in your municipality). 

Insulation

Having good insulation is key to keeping the heat inside during the winter months and keeping heat out of your home during the summer. Spray foam insulation is one of the best insulation types for zero-energy homes due to its ability to seal cracks in hard-to-reach areas.

Ventilation 

A well-insulated, zero-energy home requires excellent ventilation to prevent the airtight interior air from stagnating inside the house. You can do this with a mechanical ventilation system. This system circulates fresh air through your home through the use of ducts and fans.

Energy-Efficient Appliances

If your appliances are old, outdated, and on the fritz, now is a good time to upgrade to Energy Star-certified appliances to increase energy efficiency around your home. Depending on the type of appliance, you can save between 10% and 50% of the appliance’s energy consumption compared to conventional appliances on the market.

High-Performance Windows and Doors

If your home feels drafty in the winter or struggles to stay cool in the summer, you could be experiencing energy-inefficient windows and doors. According to Energy Saver, heat gain and loss from your windows alone contributes to 25% to 30% of residential HVAC energy consumption. To combat this, seal your windows and doors, apply window film insulation, and upgrade outdated, single-pane windows to double- or triple-pane windows.

Lighting

Switching from old-school incandescent light bulbs to LED light bulbs is a quick and easy way to improve your lighting efficiency. LED lights are 75% more energy-efficient compared to incandescents, which generate a high amount of heat and last a mere 1% to 5% of the lifespan of LEDs.

HVAC System

One of the most energy-efficient HVAC systems on the market is a heat pump. Contrary to their name, heat pumps can either transfer heat into your home or transfer it out of your home, making them both heaters and air conditioners. Geothermal heat pumps are perhaps the most sustainable type of heat pump; they use almost 100% renewable energy, but they come with a higher price tag than other heat pumps. 

Water Heater System

Upgrading your water heater to a more energy-efficient one can help offset some of the energy your home uses. The most efficient type of water heater system is a solar water heater, which is approximately 50% more efficient than traditional gas or electric water heaters. Since solar water heaters harness thermal energy using solar panels, you can even come to net zero energy for heating your water.  

For a more budget-friendly and energy-efficient water heater system, consider an Energy Star-certified heat pump water heater, which is two to three times more efficient than conventional electric water heaters.

Electric Vehicle Charging Station (Optional)

A woman charging her electric car in the garage
Photo: TheSupporter / Adobe Stock

For homeowners who have gone the extra mile—pun intended—and switched to an electric vehicle, installing an electric vehicle charging station in your house is an additional step you can take to turn your home into a renewable recharge station for your vehicle.

How to Design Zero Energy Homes

To create a zero-energy home, you’ll need to strategically plan your design, choose qualified contractors, and get certified.

1. Check Certification Requirements

Before you build, some certification programs may require you to work with a certified designer from the very start. Check the program before you get started to make sure you follow the correct steps to get certified. A few zero energy ready home certification programs include:

  • The DOE Zero Energy Ready Certification Program: Government-backed certification for new home builds

  • Living Future Institute’s Zero Energy Certification: International zero energy certification for homes with net zero energy

  • LEED Zero: Green building certification to look for in contractors

  • GreenHome Institute’s Zero Energy Capable Program: For home models that meet requirements for zero or negative energy usage and pass additional testing

  • Earth Advantage Zero Energy Ready Certification Program: Certification for homes in Oregon 

Some programs require proof that the home in question meets the rigorous standards set in place by the organization after you’ve completed your project, too. You might need to measure energy usage for an entire year to show that your home is 40% to 50% more efficient at conserving energy compared to traditional new builds.

2. Plan Your Zero-Energy Design

Whether you’re designing a zero-energy home from scratch or remodeling your existing home to qualify for a third-party net energy certification program, you’ll need to work with an experienced local architect or designer to get the job done correctly.

3. Get an Energy Consultation

From the right R-value to the best appliances and systems for your climate, knowing your regional requirements is an absolute must if you want a zero-energy home. As such, the best way to design a zero-energy home is to work with a certified energy consultant. Your pro will know all the ins and outs of zero-energy home building—including the best environmentally-friendly companies to help you turn your dream into a reality. 

4. Choose the Right Contractors

From there, your job is to find qualified contractors to help you build a zero-energy home. Though you might want to DIY some of the expenses of your build or renovation, most of the boxes in that zero-energy home checklist need an experienced installer to ensure your home will qualify for certification. 

If you’re remodeling an existing home and need to remove junk from your demolition site, don’t forget to use a green demolition company near you to further lower your carbon footprint.

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