Abstract
Home energy rating systems are popular and widely used programmes to encourage energy efficiency in the residential housing market. With the actual rating perhaps conveyed to prospective buyers as a posted label, these rating systems offer a variety of benefits. This paper focuses on the ability of these systems to help buyers identify more quickly the properly priced house. An economic search model is applied to a unique sample of energy-efficient homes in Minnesota. The search benefits are modest but positive in our case study, but could be larger in a more diverse housing market.
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