The purpose of this research was to demonstrate the application of energy simulation as an effective tool for specifying cost-effective residential retrofit packages that will reduce energy consumption by 30 %. Single-family homes in the hot–humid climate type of the Southeastern USA were used to demonstrate the application. US census data from both state and federal studies were used to create 12 computer simulation homes representing the most common characteristics of single-family houses specific to this area. Well-recognized energy efficiency measures (EEMs) were simulated to determine their cumulative energy reduction potential. Detailed cost estimates were created for cost-to-benefit analysis. For each of the 12 simulated homes, 4 packages of EEMs were created. The four packages provided home owners options for reducing their energy by 30 % along with the estimated up-front cost and simple payback periods. The simple payback period was used to determine how cost-effective a measure was. The packages are specific to a geographic area to provide a higher degree of confidence in the projected cost and energy savings. The study provides a generic methodology to create a similar 30 % energy reduction packages for other locations and a detailed description of a case study to serve as an example. The study also highlights the value that computer simulation models can have to develop energy efficiency packages cost-effectively and specific to home owner’s location and housing type.