Building a house that is Energy Efficient not only benefits the environment but also offers long-term financial advantages. While it may require a slightly higher upfront investment and a bit more time to complete, the cost savings and superior, quality construction make it a far wiser choice. Once you understand the math and consider the running costs, an Energy Efficient house becomes a no-brainer – it’s better for the environment and kinder on your pocket. Additionally, the health and resale value benefits associated with Energy Efficient homes further solidify the investment.
Comparing Costs: Standard House vs. Energy Efficient House

To illustrate the cost-effectiveness, let’s take a new build house valued at $500,000 as an example. While this may seem arbitrary, it provides a basis for comparison against an Energy Efficient house. Assuming both houses have identical designs with the only difference being the Energy Efficient features, you can expect the costs to be roughly an additional $50,000 to build. house.
Here is the maths logic based on the BNZ calculator 28/03/2023
$500,000 -Deposit $100,000 = $400,000 over 30yr mortgage = $1231.00 per fortnight
$550,000 – Deposit $110,00 = $440,000 over 30yr mortgage = $1354.00 per fortnight
It will cost $61.50 per week extra in mortgage repayments.
Long-Term Running Costs: Energy Efficiency Shines
Now let’s factor in your new home running Costs

When it comes to long-term running costs, Energy Efficient Homes shine even brighter with significantly lower energy bills than standard build houses. Let’s consider my own 4-bedroom, 2-lounge Energy Efficient Home as an example. Last year, our total energy bills amounted to only $1,476.49. In comparison, our previous non-energy-efficient house had bills exceeding $4,000 per year. This stark contrast means that the Energy Efficient house incurs a present-day energy cost of just $11 per week.
In our Energy Efficient Home, every room is well-heated and comfortable. With a heat pump in the living/kitchen area, a small wall heater in the hallway, and a heat recovery system, we maintain a pleasant temperature throughout. The living area is kept at 23 degrees Celsius, while the bedrooms are at 18 degrees Celsius. We turn off the heating when we go to bed. On really cold nights, the temperature in the house may drop by 1-2 degrees overnight, but the true shock comes when stepping outside and feeling how cold and damp it is out there. The comfort and health benefits provided by Energy Efficient Homes are incomparable to non-energy efficient houses, where certain rooms often remain cold as we simply don’t heat them when not in use, especially during winter.
Consider your investment and the future of building Codes:

Looking beyond immediate costs and comfort, it’s important to consider the long-term investment value of a house. In 2022, the Ministry of Business, Innovation and Employment (MBIE) initiated a series of changes to the building code to align with global warming requirements set by the Paris Treaty. These changes aim to make housing significantly more energy efficient. The introduction of these changes incrementally allows architects and builders to adapt without overwhelming the industry.
For homeowners, building a house to the present code means potentially being left behind. As the public begins to experience the benefits of living in warm, comfortable, and healthy homes, they will no longer settle for less. The average tenure of a family in New Zealand is approximately 8 years. Considering this timeframe, it becomes evident that the two houses we compared earlier will not hold the same value in 8 years if one lacks the Energy Efficiency features that people desire. Investing in a house without Energy Efficient elements would be akin to selling something people don’t want. It’s like buying a house today with single glazing when the public already understands the benefits of double glazing – it simply wouldn’t be a wise investment.

Building an Energy Efficient house offers substantial advantages that go beyond short-term costs. By constructing an Energy Efficient Home, you significantly reduce energy bills. and the comfort, health, and environmental benefits of Energy Efficient homes are undeniable. For savvy investors considering the future trajectory of building codes, an Energy Efficient house proves to be a winner. To ensure you’re not left behind and to maximize the resale value of your property, embracing energy efficiency in housing construction is the way to go.