Building for Profit: The ROI Potential of Architectural Homes
So you're considering building! Maybe this is your forever home, or perhaps you're looking to flip in five years. Either way, there's probably one crucial question you've been considering: "will this thing make or save me some money?"
When it comes to architecture, this often translates to a skeptical view – is an awesome facade worth the increased price tag? The answer is a resounding "YES!"
The Long Term Compounding Efficiency Dividend
Let's start with the long term savings. Think of your building as a living, breathing organism. Good architecture optimizes its metabolism, slashing energy consumption through smart design and well researched technology integration. Natural light floods in, removing the need for artificial illumination. Strategic ventilation reduces reliance on air conditioning. Building materials with the right thermal insulation keep temperatures comfortable.
All these factors can be controlled and supercharged through clever planning, correct building orientation, technology integration, and key consideration to window placement and material selection.
The result?
Lower utility bills!
Over time, these savings snowball, contributing directly to your bottom line with many of these sustainable technologies eventually paying for themselves. Plus, eco-conscious design often attracts government incentives, further sweetening the deal.
The Big Resale Payoff
I've had the good fortune of getting my own real world example to help drive home the point on this one.
Recently I sold my first home in Western Australia. We loved this home, but it was time for us to move on to the next adventure. As you may know, the real-estate market is currently going ballistic in Australia with property prices sky rocketing.
Since we built 2 and a half years ago and moved into our home in Treeby, the median property price has gone up 17% according to realestate.com.au. meanwhile, we've just sold our home for a 30% increase over what we paid. In terms of architectural design, this one was modest but there's no denying it stands out from the crowd within Treeby - this appeal paid off and then some.
This has meant big things for my family, including reduced work hours, more money for play. All without having to compromise on our deposit for the next house where we hope to see the same results.
Investing in good architecture isn't just about aesthetics; it's a calculated move with the potential for a significant ROI. To put this into more wide-spread statistic format; numerous studies have documented the financial benefits of good design. For example, a study by the National Institute of Standards and Technology found that "green buildings generate a 18% higher return on investment" than conventional buildings. Similarly, a study by the Center for Environmental Design Research showed that "workplaces with good day-lighting have a 15% increase in worker productivity" which of course leads to improved financial well being for your company.
It's no secret that good design leads to higher property values. A well-maintained, thoughtfully planned building will always outperform its poorly designed counterparts in the resale market. The initial investment in quality materials, skilled architects, and sustainable features pays off handsomely when it comes time to sell, fetching premium prices and attracting discerning buyers. Plus, the reduced maintenance costs associated with a well-built structure will always add to the financial appeal.
So What’s the Bottom Line
While the financial benefits are undeniable, good architecture offers even more. It can create inspiring spaces that foster creativity. It can contribute to a healthier planet through sustainable design. It can build a stronger sense of community by creating vibrant, livable spaces. In essence, good architecture is an investment in the future, not just for your wallet, but for the well-being of those who inhabit a space.
So, the next time you contemplate investing in good architecture, remember: it's not just about bricks and mortar; it's about building a brighter future, one beautiful, functional space at a time.
