Home Energy Audits: Voluntary; YES. Mandatory; NO

April 13th, 2009

Shortly after the Liberals slammed Ontarians with their HARMonized tax plan, they’ve followed their act with another “real-estate-specific” cost. This time it’s their Home Energy Audits. In a nut shell, any person in Ontario selling their home would have to provide the buyer with a MANDATORY home energy audit. (the cost of said audit, $300 and up)

Those with less than ideal energy audit ratings will face pressure from home buyers to either spend thousands of dollars to improve the energy rating of their home or lower their sale price.

Another big issue with the mandatory audit is; who will be administering it, and how qualified are they? An investigative report prepared by the Toronto Star on home energy audits, received three different lists of recommended retrofit renovations, ranging from $3,000 – $25,000 on the same home. Similarly, home energy audits rely on the skill of the auditor to ensure that the finished report is an accurate description of the energy efficiency of the home.

Seniors, who’ve lived in their homes for long period of times often don’t have the money to keep up with energy efficiency. If Bill 150 is passed, they’ll be forced to comply and potentially loose thousands in built up equity when selling their home.

I personally don’t support this AT ALL as a mandatory action. It’s being rushed along too quickly with many grey areas left unanswered. Now is not the time to add another expense to the already growing list of associated closing costs!

I like keeping my posts short, so for those who’d like to read the Ontario Real Estate Association stance (which I %100 support) click here.