Homeowners’ Perceptions of Renewable Energy and Market Value of Sustainable Buildings

Abstract

Growing concerns over environmental issues and sustainable living have resulted in increased interest in renewable energy and energy efficiency. The real estate market is no exception, with homeowners increasingly considering the market value of green and sustainable buildings, which can offer both energy efficiency and potential health benefits. This study investigates the level of interest among homeowners in investing in renewable energy sources and energy efficiency measures for their homes and how it relates to their perception of the market value of green or sustainable buildings in the real estate market. A survey was conducted in the Paphos urban complex in Cyprus, with 180 participants over the age of 18. The participants were selected through a random sampling method and were representative of the general population in terms of gender, age, and income. Data were collected on their attitudes towards renewable energy sources and energy efficiency, as well as their perceptions of the market value of green buildings. The data collected were analyzed using various statistical methods, including Cronbach’s α coefficient, the non-parametric Friedman test, descriptive statistics, and factor analysis, with the Statistical Package for the Social Sciences (SPSS) being used for coding and analysis. Results indicate that 64% of the homeowners surveyed were interested in investing in renewable energy sources, and 72% were interested in energy efficiency measures. Additionally, findings suggest a moderate level of interest (58%) among homeowners in investing in renewable energy sources and that this is positively associated with their perception of the market value of green buildings. Furthermore, homeowners with higher income and education levels tend to be more interested in investing in renewable energy sources and energy efficiency measures and perceive green buildings as having higher market value. This study provides insights into the factors that drive homeowners’ investment in renewable energy sources and energy efficiency measures, shedding light on the relationship between homeowners’ perceptions of the market value of green buildings and their interest in such investments.