Like most homeowners, we consider only the expense of principal, interest, taxes and insurance (PITI) into the cost of our new home. Don't forget, however, there are always monthly utility and upkeep costs to consider. Electricity, water and sewerage, heating and cooling and maintenance costs should always be factored into the "affordability" equation. By carefully considering the real benefit of high efficiency heat pumps, upgraded insulation packages, and low volume toilets, you may realize an overall monthly savings in the "real" cost of your new home.

How does this work? Well let's say, like everyone else, you would accept a standard insulation package. By upgrading the thermal design to include higher efficiency insulation, your initial outlay may be greater, but the increased savings due to the increase in energy efficiency, will very likely offset the amortized cost of the upgrade. You may realize a net monthly savings by upgrading.

Another example of potential energy savings is low consumption toilets and shower heads. Not only do these devices use less water, they may also save you the cost of higher public sewer processing fees as well.

Other areas of overall savings:

• Analyze your electrical layout to maximize illumination while minimizing electrical use.
• Consider your lighting layout, bulb wattage and lamp style.
• Consider more efficient doors and windows.
• Minimize the overall envelope of the new house, generally the less exterior surface area, the less it will cost to heat or cool your home.
• Most heat/cooling lost occurs through the ceiling. Maximize your insulation in attic/ceiling areas.
• Install ceiling fans throughout the living and sleeping areas of your home. These age old devices can help to reduce heating and cooling costs by more efficiently circulating and mixing stagnant air around your home.
• Have your heating and cooling system designed by a certified mechanical engineer
• Seal your new home to eliminate air infiltration. Generally the "tighter" the home, the more efficient it should be.
• Consider a house wrap. Water and air infiltration can be minimized by installing a house wrap prior to siding installation, resulting in greater energy efficiency.
• Lastly, inquire of your public utility about energy-saver incentive programs available. Many utilities offer cash incentives to encourage maximum energy efficiency. See Virginia Power Energy Saver Web Page link on our Links page.

Here is the extra bonus to figure into the equation. The net savings from increased energy savings is realized by many mortgage lenders: chances are you might qualify for a larger mortgage.

So remember, when putting all that effort into the house design, specify those money saving features and materials that will reduce the overall monthly expenses of your new home. When considering all of the small design details, keep an eye on the big picture: "real" affordability.