March 2006
Sustainable Housing Consumer Research Report
Prepared for the Department for Planning and Infrastructure
Executive Summary
- Background and Objectives
• •
Prior to the introduction of mandatory sustainable housing standards, the Department for Planning and Infrastructure sought to evaluate the community perspective regarding the initiative. Research was conducted to quantify levels of support amongst those in the in the housing (newly built homes) market – that is ,those who recently bought a newly built home (owners) and those who are considering buying a newly built home in the near future (buyers). As such, the objectives of the research were to: Determine the key purchase decision factors when buying a newly built house. Understand the importance of sustainable housing to home owners/buyers. Gauge the level of support for the introduction of mandatory sustainable housing standards. Determine the key triggers for support of the mandatory standards.
•
2
Executive Summary
- Approach
•An online survey was conducted by Synovate with home owners/buyers
between the 23rd of February and the 9th of March 2006.
•Respondents were screened to fit the following criteria:
Home owners Have purchased a newly built home in the last 3 years Currently live in that home Are residents of Perth Aged 18 or over Home buyers Considering purchasing a newly built home in the next 3 years Are residents of Perth Aged 18 or over
3
Executive Summary
- Approach
•A final sample of 583 home owners/buyers was generated, corresponding to
an accuracy (error rate) of + 4.1% at the 95% confidence level. Group Home Owners Home Buyers Total Sample Size 191 392 583 Accuracy (error rate at 95% confidence level) 7.1% 4.9% 4.1%
•Respondents were also given the opportunity to provide open-ended
feedback regarding mandatory sustainable housing standards – these verbatim comments have been captured in a separate document.
4
Executive Summary
- Key Findings
•
Strong support exists amongst consumers for the introduction of mandatory sustainable housing standards. This support is a function of: Concern for the environment and the perceived importance of new houses being environmentally sensitive. The desire for reduced energy and water bills over time. Some expressed that for the initiative to work, government support (such as via incentives and rebates) would also be needed. Support remains strong, even with possible impacts such as: Additional costs to build a new home Having to buy a slightly smaller house Not having a double-brick structure – although the level of support does decrease somewhat for this scenario.
• •
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Executive Summary
- Implications
•
Clearly, strong consumer support exists for the introduction of mandatory sustainable housing standards, with most believing that the benefits outweigh the negatives. The Department may wish to conduct a similar consultative process with suppliers/industry, to obtain the perspective of the other half of the housing market. For example, individual in-depth interviews could be conducted with developers, designers, tradespeople and builders. Industry feedback will further assist the Department in managing the implementation of mandatory housing standards.
•
6
Consumer Profile
Jan 2006
J00000
Gender and Income
Gender
Male
Owners
41
Buyers
Male
38
Female 0 50
59
Female
62
100
0
50
100
Income
Nil to $50k $50k to $65k $65k to $80k $80k to $100k $100k to $120k $120k to $140k $140k ot 160k Over $160k 0
5 3 7 11 18 15 18 23
Nil to $50k $50k to $65k $65k to $80k $80k to $100k $100k to $120k $120k to $140k $140k ot 160k Over $160k 4 5 7 0 50 100 12 22 16 19 15
50
100
% of home owners / buyers
n=191 8
n=392
Jan 2006
J00000
Age and Household Type
Age
18 to 24 years 25 to 34 years 35 to 44 years 45 to 54 years 55 to 64 years 65 years + 0
2 8 15 23 11 41
Owners
18-24 years 25-34 years 35-44 years 45-54 years 55-64 years 65+ years
2 13 10
Buyers
27 27 21
50
100
0
50
100
Household Type
Young single Young couple Young family Older family Older couple Older single 0
7 12 15 10 26 30
Young single Young couple Young family Older family Older couple Older single
11 13 11 15 20 30
50
100
% of home owners / buyers
0
50
100
n=191
n=392
9
Jan 2006
J00000
Length of Residency
Years Lived in WA
Less than 1 year 1-3 years 3-5 years 5-10 years 11+ years 0 50
1 6 6 7 80
Owners
Less than 1 year 1-3 years 3-5 years 5-10 years 11+ years
1 2 4 6
Buyers
87
100
0
50
100
Years Lived in Current Home
First home Second home Third or subsequent home Don't currently own a home 0 50 100
% of home owners / buyers n=191 n=392
40 24 36
First home Second home Third or subsequent home Don't currently own a home 0
27 23 28 22
50
100
10
Jan 2006
J00000
Block Size – Smallest Considered
Owners
Larger homesite
More than 800 sqm 701-800 sqm 5
Buyers
16
9%
4
23%
7
601-700sqm
19
19
Traditional block size
501-600 sqm 25
44%
22
41%
Smaller homesite
400-500 sqm Less than 400 sqm 0
28
23
47%
19
36%
13
25
50
0
25
50
n=191
% of home owners / buyers n=392 11
Jan 2006
J00000
Block Size – Home Owners
Smallest Considered
More than 800 sqm 701-800 sqm 5
Current
8
Larger homesite
9%
4
20%
12
601-700sqm
19
20
Traditional block size
501-600 sqm 25
44%
29
49%
Smaller homesite
400-500 sqm Less than 400 sqm 0
28
16
47%
19
31%
15 0 25 50
25
50
% of home owners
n=191 12
Jan 2006
J00000
Purchase Decision
Q: What are/ were the 4 most important factors in your purchase decision?
Owners
Price Location Quality of the home House size Block size Aesthetic appeal (style) Access to amenities Garden type/size Access to public transport Energy and water efficiency Building materials used 0 7 7 20 40 60 80 100 19 17 11 28 38 48 59 79 76
Location Price Quality of the home House size Block size Aesthetic appeal (style) Access to amenities Energy and water efficiency Access to public transport Garden type/size Building materials used 0
Buyers
79 76 60 38 33 28 25 21 14 12 11 20 40 60 80 100
% of home owners n=191
% of home buyers n=392
13
Jan 2006
J00000
Purchase Decision
Q: How important were the following factors in your purchase decision?
Not at all Important Not Very Important Somewhat Important Very Important % Important
The size of the house
Owners Buyers
3 5 36 6 14 1 13 4 4 2 25 24 23 16 0 31
43 47 60 42
54 48
97 95 91 80
Buying a house of double-brick structure
Owners Buyers
38 48 45 49 43 25 50
Buying a house of a particular style and design
Owners Buyers
38 27 24 39 75 100
86 72 73 82
Buying a house with an environmentally sensitive design and features
100
n=191 n=392
Owners Buyers
75 50
% of home owners / buyers 14
Support for Sustainable Housing
Jan 2006
J00000
Environmental Concern
Q: Please indicate (your level of concern)… about the sustainability of our environment and natural resources in WA. Not concerned Concerned
Very Concerned % Concerned
Not at all Concerned Somewhat Concerned
Owners
n=191
5
50
45
95
Buyers
n=392
2
47
51
98
100
75
50
25
0
25
50
75
100
% of home buyers/ owners 16
Jan 2006
J00000
Importance of Sustainable Housing
Q: How important or unimportant do you think it is for WA housing to be designed for environmental sustainability – ie, houses to be designed to be energy and water efficient? Not important
Not at all Important Not Very Important
Important
Somewhat Important Very Important % Important
Owners
n=191
2 1
38
59
97
Buyers
n=392
1 2
36
61
97
100
75
50
25
0
25
50
75
100
% of home buyers/ owners 17
Support for Mandatory Standards
Q: How supportive are you of the government introducing these mandatory sustainable housing standards? Don’t support
Not at all Supportive Not Very Supportive
Support
Somewhat Supportive Mostly Supportive Completely Supportive % support % strong support
Owners
n=191
52% aware of standards
34
20
36
37
93
73
Buyers
n=392
44% aware of standards
24
17
38
38
94
76
100
75
50
25
0
25
50
75
100
% of home buyers/ owners 18
Support for Mandatory Standards
- Owners / By Income level
Q: How supportive are you of the government introducing these mandatory sustainable housing standards? Don’t support
Not at all Supportive Not Very Supportive
Support
Somewhat Supportive Mostly Supportive Completely Supportive % support % strong support
Less than $50,000 (n=35)
36
25
23
43
91
66
$50,001 - $80,000 (n=62)
2 19
35
44
98
79
$80,001 - $120,000 (n=66)
6
18
44
32
94
76
Over $120,000 (n=26)
8 8
19
34
31
84
100
65
100
75
50
25
0
25
50
75
% of home owners 19
Support for Mandatory Standards
- Buyers / By Income level
Q: How supportive are you of the government introducing these mandatory sustainable housing standards? Don’t support
Not at all Supportive Not Very Supportive
Support
Somewhat Supportive Mostly Supportive Completely Supportive % support % strong support
Less than $50,000 (n=85)
2 1 17
29
51
97
80
$50,001 - $80,000 (n=137)
24 17
41
36
94
77
$80,001 - $120,000 (n=106)
33 21
33
40
94
73
Over $120,000 (n=61)
3 10 15
51
21
87
100
72
100
75
50
25
0
25
50
75
% of home buyers 20
Impact of Cost on Support
Q:
The introduction of these standards may result in additional costs to build a new house. The cost of being more energy and water efficient would be offset over time. Considering these additional costs in building a new house, how supportive are you of the introduction of these sustainable housing standards?
Don’t support
Not at all Supportive Not Very Supportive
Support
Somewhat Supportive Mostly Supportive Completely Supportive % support % strong support
Owners
n=191
5 8
26
38
23
87
61
Buyers
n=392
3 8
21
41
27
89
68
100
75
50
25
0
25
50
75
100
% of home buyers/ owners 21
Support Amongst Owners
Q: How supportive would you be of the introduction of these sustainable housing standards if the associated costs (to make houses more energy and water efficient) would mean that you would have to…?
Don’t support
Not at all Supportive Not Very Supportive
Support
Somewhat Supportive Mostly Supportive Completely Supportive % support % strong support
Pay an extra $2,000 for a new house
6 5 16
26
47
89 79 70 74 59
75 100
73 55 46 47 34
Pay an extra $4,000 for a new house
9 12
24
30
25
Pay an extra $6,000 for a new house Buy a house slightly small in size (eg, 5-8 sqm smaller) Buy a house other than double-brick 100
n=191
10
20
24
30
16
8
18
27
29
18
16
25
25
19
15
75
50
25
0
% of home owners 22
25
50
Support Amongst Buyers
Q: How supportive would you be of the introduction of these sustainable housing standards if the associated costs (to make houses more energy and water efficient) would mean that you would have to…?
Don’t support
Not at all Supportive Not Very Supportive
Support
Somewhat Supportive Mostly Supportive Completely Supportive % support % strong support
Pay an extra $2,000 for a new house
4 7
15
21
53
89 80 79 77 66
75 100
74 60 53 54 39
Pay an extra $4,000 for a new house
7 13
20
31
29
Pay an extra $6,000 for a new house Buy a house slightly small in size (eg, 5-8 sqm smaller) Buy a house other than double-brick 100
n=392
8
13
26
33
20
7
16
23
34
20
12
22
27
21
18
75
50
25
0
% of home buyers 23
25
50
Summary
Strong support for the introduction of mandatory standards
Home Owners
Support mandatory sustainable housing standards.
Home Buyers
93%
94%
Support exists across a range of scenarios
Pay an extra $2,000 Pay an extra $4,000 Pay an extra $6,000 Slightly smaller house Not double brick
89% 79% 70% 74% 59%
24
89% 80% 79% 77% 66%
Benefits Sought
Q: If you were in the situation of buying a new house, what would encourage or motivate you to buy an energy and water efficient house? What benefits or advantages are you looking for?
“Hopefully the costs of energy and water would be reduced in the long run”
Save money over time
“I want to have the potential cost savings demonstrated to me so that I could relate any savings to my monthly budget” “Knowing that we would be helping the environment would be an important factor.”
Benefit the environment
“The simple fact of the house being water and energy efficient would be ample motivation for me”
Government incentive
“There should be some kind of rebate” “Considering the high price of housing already I think the government should support this in some way”
25
Support for Subsidies
Q:
Government subsidies could potentially be given to new home buyers to assist with environmentally sustainable modifications being made to the house. How supportive would you be towards the introduction of sustainable housing standards if it incorporated such subsidies?
Don’t support
Not at all Supportive Not Very Supportive
Support
Somewhat Supportive Mostly Supportive Completely Supportive % support % strong support
Owners
n=191
1 13 2
32
52
97
84
Buyers
n=392
23 12
31
51
95
82
100
75
50
25
0
25
50
75
100
% of home buyers/ owners 26
Sustainable Housing
– Other Comments
“I think they are an excellent idea and am supportive of this, but think that the Government must provide support for, and contribute to the costs.” “Why should we have to pay for something that the Government should take care of, when we pay exorbitant taxes.” “This should have been done a long time ago.”
Government must provide support, incentives and education for this to work
Long overdue
“About time! All new homes should be built with sustainability in mind, and especially water wise.” “Go for it!! It’s about time we did something to stop wasting our precious resources.”
Just do it!!
“Bring it on!! The sooner the better.”
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Sustainable Housing
– Contact Details
For more information, contact the Department for Planning and Infrastructure at 441 Murray Street, Perth. Fax (08) 9216 8747 Website: www.dpi.wa.gov.au
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March 2006
Sustainable Housing
- The Consumer Perspective
For more information, contact the Department for Planning and Infrastructure at 441 Murray Street, Perth. Fax (08) 9216 8747 Website: www.dpi.wa.gov.au