All-electric multi-family Passive House projects can be built at the same cost or close to the same cost as conventionally designed buildings, according to a report by the Passive House Network.

The report included a survey of 45 multi-family Passive House buildings in New York and Massachusetts in recent years. The average cost to construct those buildings was 3.7% more than standard, and in some cases cheaper when factoring in incentive programs.

The report also found that Passive House buildings have reduced energy usage of 30% to 50% when compared to conventionally built properties. “In some cases, these bills are eliminated entirely,” according to a Passive House network news release.

Construction of Passive House buildings has surged since 2018, but Passive House accounts for less than 1% of all multi-family construction started in the U.S. during the past decade. About half of all Passive House projects being built in the U.S. are affordable housing projects, illustrating the cost-effectiveness of green building design, the release says.

The report found that construction of all-electric, multi-family Passive House buildings, including market-rate and affordable housing, is primed to soar in early-mover states such as Pennsylvania, New York, and Massachusetts. “This is due to a combination of bold policy requirements in new energy codes as well as utility-funded incentive programs, energy efficiency programs, and the Inflation Reduction Act.”

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