Return on Investment
Estimator
Total Return On Investment
Clearly there are lots of different investment alternatives but not many options are as safe an investment as replacing your windows or doors in the home you love. Matter of fact, investing $10,000 over the last 10 years in your home would have yielded a greater return on investment than if you would have invested in a fund that tracked the stock market. If you had invested in an S&P 500 Index Fund in 1999, you would have lost over 40% of your investment. However, if you would have invested in new energy efficient replacement windows with high performance low-emissivity glass, it is more than likely your windows paid for themselves. Please note, that calculation does not include your increase in personal comfort, the added safety and security of new windows, or the time you saved by eliminating all of your routine annual window and door maintenance. This also does not take into consideration the pride and satisfaction investing in your home can bring.
All that said, under, analyzing your return on investment involves more than the savings on your monthly energy bill. In order to analyze your total return, in addition to your energy savings you also need to include any local, state or federal tax credits you may qualify for as well as the predicted impact on the value your home if you decided to sell.
The good news is there is plenty of objective evidence that is publicly available to assist you with your evaluation. Here are some things to think about when analyzing your return on investment.
- Your Immediate Savings on Your Monthly Home Heating and Cooling Expenditures:
According to the US Department of Energy, in the East North Central Region where Michigan and Ohio are located, the average annual heating and cooling cost savings achieved by replacing your windows and doors with ENERGY STAR rated products is 21%. All of WindowPRO's products are ENERGY STAR rated. However, selecting Cardinal LoE-366 glass for your windows and doors will yield even greater energy savings. See more information at http://www.energystar.gov/index.cfm?c=windows_doors.pr_windows
- The Value of Any Tax Credits You May Be Eligible to Qualify For:
Not all replacement windows are created equal. Just because a window or door is ENERGY STAR rated does not mean it qualifies for a tax credit. In order to qualify for the 30% tax credit created by "The American Recovery and Reinvestment Act of 2009", replacement windows and doors must meet or exceed a U-Value and a Solar Heat Gain Coefficient of .3 or less. While many Marvin products meet this qualification without any glass upgrade, almost all products that use LoE-366 glass meet or exceed this qualification. According to the manufacturer of the glass, LoE-366 has a U value and Solar Heat Gain Coefficient that exceeds the energy tax credit requirements by 20% and 10% respectively. Given that the new Energy Tax Credit requirements are more stringent than ENERGY STAR qualifications, it is important to know that not all replacement windows and doors will qualify. See more information at: http://www.cardinalcorp.com/data/pdf/loe3-366.pdf and at http://www.energystar.gov/index.cfm?c=products.pr_tax_credits
- Your Estimated Investment and Its Impact on the Value of Your Home:
According to Remodeling Magazine's "2008 Cost vs. Value" report, the average replacement window project costs between $8,000 and $17,000. This takes into consideration replacing 10 existing 3-by-5-foot double-hung windows with insulated, low-E, simulated-divided-light windows. The report also states that the average cost recovered on the investment in replacement windows (in the East North Central Region) varies between 77.2% and 79.2% upon the resale of the home. The amount of cost recovered depends on a variety of other factors that traditionally affect home values. These factors include the condition of the rest of the house, the value of similar homes nearby and the rate at which property values are rising — or falling — in the surrounding area. See more information at: http://www.remodeling.hw.net/2008/costvsvalue/division/east-north-central.aspx
Analyze Your Total Return On Investment with New Replacement Windows and Doors From WindowPRO
Results
| Savings w/o Tax Credit |
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| 2009/2010 Tax Credit |
$1,500.00
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$1,500.00
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$1,500.00
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$1,500.00
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| Savings w/ Tax Credit |
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| Investment Recovery w/ Tax Credit |
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| Value Recovery Upon Resale |
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Total Recovery Upon Resale
w/ Tax Credit |
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Total Recovery Upon Resale
w/ Tax Credit |
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Please Note: WindowPRO does not guarantee savings. Actual savings will vary depending on variables listed in the Cost vs. Value Report.
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