Home Performance Opportunities Raising the Bar in Home Performance Contracting Larry Zarker BPI LZarker@bpi.org Home performance is NOT for Do It Yourselfers. Bureau of Labor Statistics: “Construction slow to rebound.” Not Enough Stimulus? * 7.7% (February 2013) Doomsday Scenario without Stimulus Administration Projection with Stimulus Small Firms Dominate in Remodeling Dkdkd Dkdkd Dkdkd Source: “A New Decade of Growth for Remodeling,” January 2011, Harvard Joint Center for Housing Studies. ddkk Remodeling is a $300 Billion Industry Dkdkd Dkdkd Dkdkd Source: “A New Decade of Growth for Remodeling,” January 2011, Harvard Joint Center for Housing Studies. ddkk Residential Energy Efficiency Investment is Growing Money is in Existing Housing Dkdkd Dkdkd Dkdkd Source: “A New Decade of Growth for Remodeling,” January 2011, Harvard Joint Center for Housing Studies. ddkk $147 billion spent on professional services in the home. Incomes of $40-80K and $80-120K spent a combined $62 billion. Large spending on homes with values less than $250,000. GenX and Young Baby Boomers spent over $67 billion on their homes. Nearly 3 million people spent over $9 billion on $2500-5000 projects in 2009. $19 billion on jobs of $5-10K. $25.5 billion on jobs of $10-20K. Over 550,000 families spent more than $50K on home upgrades worth nearly $53 billion. Look, I love the blower door, but… We need a contractor’s MBA What is BPI Accreditation? A professional credential awarded by BPI to contracting companies who commit to offering comprehensive “whole house” home performance solutions for their customers. BPI Home Performance Contractor Model Educate Customers on Whole-House Offer Comprehensive Solutions Get Key Staff Trained & Certified Follow BPI Standards in Your Work Last Do No Harm by “testing out” Participate in Independent, Third-Party Quality Assurance Program BPI Home Performance Contractor Model Solutions Based Selling Verifiable Results Program Risk Management Ensure appropriate use of funds Taxpayer Ratepayer Increased Homeowner Satisfaction Health and Safety Precautions Reduced Liability for the Program Preventable Risk is too Much Risk Building Analyst – goes beyond a traditional energy audit to perform comprehensive, wholehome assessments, identify problems at the root cause and prescribe and prioritize solutions based on building science. Envelope Professional – quantifies performance and prescribes improvements to help tighten the building envelope (shell), stop uncontrolled air leakage and optimize comfort, durability and HVAC performance. Heating – optimizes the performance of heating equipment within the context of the house as a system to help save energy and ensure occupant comfort, health and safety. Air Conditioning and Heat Pump – understands the role of these systems within the whole home and how to diagnose and correct problems properly to achieve peak performance. Air Leakage Control Installer* – demonstrates the ability to completely air seal all penetrations between conditioned and non-conditioned spaces. * Residential Building Envelope Whole House Air Leakage Control Installer (whew!) Certification Provides Differentiation Positioning in the Market Greed Ad for Individual Technicians Differentiation Ad for Contractors Positioning for the HVAC industry www.bpi.org/hvac HEM/BPI e-newsletter www.homeenergy.org/hvac2hp BPI Accreditation Costs How much does it cost to get BPI Accredited? Training for 2 Certifications: ($790 - $2,400) BPI Certification Exam Fees: $550 x 2 = $1,100 Accreditation and Quality Assurance: 1,500/year Total Estimated Initial Cost: $3,390 - $5,000 EmbroidMe Franchise Fees How much does it cost to open an EmbroidMe Franchise? Total Investment: $66,300-$187,400 Initial Franchise Fee: $35,500 Royalty Fee: 5% Advertising Fee: N/A Term of Agreement: 35 years Renewal Fee: $1.5K GreenHomes America Locations Thank you Further Questions Contact me at: Larry Zarker LZarker@bpi.org