Making the Most of NGBS in a Tough Housing Market

The housing market is a grind right now. High interest rates, cost escalation and tight credit have slowed buyer traffic and squeezed margins. That means every upgrade, feature and “nice-to-have” gets scrutinized, and green building certification can be an easy target for the red pen.

For single-family builders, the question isn’t whether certifications like NGBS Green cost money. It’s whether they earn their keep in a market where affordability is king. The answer depends on how you use it.

 

The Current Reality

Builder sentiment is down, buyer traffic is slowing and sales incentives are rising. Material costs remain volatile, and skilled labor is still scarce and expensive. While some markets remain strong, affordability is the top concern for most buyers. 

In most single-family markets, there’s no major direct financial incentive to certify. But that doesn’t mean NGBS Green lacks value; it means its value must be strategic, not incidental.

 

Why Bother When Margins Are Tight?

The ICC 700 National Green Building Standard (NGBS) is an ANSI-approved residential green building standard that covers energy efficiency, water efficiency, indoor environmental quality, resource efficiency and site design. NGBS Green is the certification program that verifies that a home meets the NGBS through independent, third-party inspections.

For single-family builders, the real payoff isn’t chasing rebates or lender discounts, it’s using NGBS Green to:

 

Stand out in a crowded market

A third-party verified home is easier to sell as better built, healthier and more efficient than the code-minimum competition. According to NAHB, 9 out of 10 buyers prefer energy efficiency over lower upfront cost, and health-conscious buyers are willing to pay more for verified wellness and air quality.

 

Protect your reputation

Verification ensures the home is built as designed. This helps in reducing callbacks, warranty claims and quality surprises.

 

Get ahead of code changes

Building above code now means fewer redesigns and smoother compliance later, as regulations tighten.

 

How to Make NGBS Green Work for You

In a tight market, certification has to be a business tool, not a feel-good exercise. Which means, design once, build many by creating a cost-effective NGBS Green spec and using it across models. As repetition drives down cost and avoids re-engineering each plan to be compliant. Integrate from day one by bringing an NGBS Green Verifier into the process early, allowing them to flag low-cost strategies that earn points and help avoid design features that will cost more than they’re worth to certify. Use it to train your subs, as verification is not just a pass or fail, but a way to build a tighter, cleaner and more consistent product by setting clear expectations with trades, especially in areas like air sealing and insulation.

Sell the benefits in buyer language by leading with “lower utility bills,” “better comfort,” “healthier air” and “quality you can see and feel,” with certification sealing the credibility of those claims. Market the proof, as NGBS Green comes with a certificate. There is an official online registry for NGBS Green-certified projects and data you can use in MLS fields, on marketing collateral and in model home signage, ensuring buyers see the difference. Lastly, The Gladstone, offers high performance, health and resilience, all in one home.

Urban NW Homes built The Gladstone in Ridgefield, WA to meet Emerald-level NGBS Green certification, with added +WELLNESS and +UNIVERSAL DESIGN. At 2,444 sq. ft., it includes barrier-free showers, wide hallways and built-in accessibility features. Efficient HVAC, low-emission materials and water-saving fixtures enhance comfort, health and savings.

In a cautious market, The Gladstone proves that high performance and universal design can drive sales. Building them in from the start kept costs in check and certification validated the home’s value.

Case in Point: Homes by Dickerson

Homes by Dickerson has earned NGBS Green certification on more than 2,000 homes. Their standard Bronze-level spec includes energy-efficient HVAC, tight building envelopes and low-VOC materials, making healthier, lower-cost living part of every sale.

Rather than treating high performance as an upgrade, they’ve embedded it in their brand. That consistency simplifies design, streamlines construction and gives buyers confidence. In a tough market, NGBS Green certification offers proof of quality, helping differentiate their homes from the competition and close the deal faster.

https://www.ngbs.com/resources/case-studies/homes-by-dickerson-in-wendell-falls/45890 

Playing the Long Game

The market will shift again. When it does, builders with a track record of delivering high-quality, efficient and comfortable homes, will be best positioned to win buyers. Those who use NGBS Green as a marketing and quality-control tool—not just an environmental badge—will see the greatest return.

Right now, the margin between winning and losing a sale is razor-thin. If certification helps you sell faster, reduce warranty risk and strengthen your reputation, NGBS Green pays for itself.

This isn’t about chasing points. It’s about building smarter, proving it and making that proof part of your brand.

This is a column by Michelle Foster from our September/ October Issue of Green Home Builder.