Energy efficiency

Energy efficiency is the cornerstone of our sustainability commitment

Sixteen years ago, we determined that energy efficiency would be the basis for our environmental sustainability efforts. We strive to bring sustainability to the production homebuilding sector and model innovation for our industry. We have led the way in building highly energy-efficient new homes because we see it as the right choice for our customers, the environment and our business. We are proud that our early focus on sustainability has elevated the conversation in our industry and with new homebuyers, demonstrating that a more sustainable, highly energy-efficient new home can also be a better home.

ENERGY STAR: the platform on which we build

ENERGY STAR certification is the foundation for our energy-efficiency commitment and has been since 2008, when we became the first national homebuilder to commit to building 100% of our homes to ENERGY STAR certification.

An ENERGY STAR certified new home must meet strict criteria across every major aspect of the home’s construction, resulting in a home with a tighter building envelope, upgraded insulation, high-performance HVAC equipment and modern building materials. And the same features that drive energy savings also result in a more comfortable and durable home. Because an ENERGY STAR certified new home is already highly efficient, it also creates a platform that facilitates an introduction of additional energy-efficiency initiatives more cost effectively. And since ENERGY STAR certified homes are at least 10% more efficient than homes built to local energy codes, we can stay ahead of the code requirements by leveraging our experience, vendor relationships and efficiencies to deliver what’s next. For this and many other reasons, we remain committed to ENERGY STAR as the standard on which we build.

We are the #1 Energy-Efficient National Homebuilder

We’re proud to have the lowest (and therefore most efficient) publicly reported national average Home Energy Rating System (HERS®) score among large production homebuilders.1 In addition, our national average HERS score of 48 in 2022 was a full 10 points below the 58 average for all HERS-rated homes in the U.S.

HERS Energy Performance Rating: Measurable, independent home energy scores

The HERS Index is the industry standard by which a home’s energy efficiency is measured. Created by the Residential Energy Services Network® (RESNET), the HERS Index is the nationally recognized system for inspecting and calculating a home’s energy performance. With one number, homeowners and buyers can tell how energy efficient a home is.

Solar and clean energy

We built our first solar home in 2005 and introduced our first all- solar communities in 2011, taking an early leadership position in our industry on the importance of renewable energy.

Putting solar within reach
In order to make solar renewable energy more attainable for more homebuyers, we offer both leasing and mortgage financing options for solar power systems. In addition, we have added higher efficiency solar panels in recent years that generate more power using the same roof space.

Supporting advanced technology development
We use newer technology heat-pump water heaters and air conditioners to save energy. Our size and scale are supporting these advanced technologies in gaining market share. Also, we were the first production builder to join the National Renewable Energy Laboratory’s (NREL) American-Made Solar Prize Network as a Connector, mentoring innovators and connecting them with potential business opportunities in 2020, 2021 and 2022.

Increasing all-electric homes
KB Home is building all-electric homes in many areas across the country in response to consumer demand, and in some cases, local building code requirements. Each all-electric home saves approximately 3,800 pounds of CO2 per year compared to dual-fuel homes, making a significant impact on GHG emissions over the life cycle of our homes. In 2022, 35% of our total homes delivered were all electric, incorporating heat pumps and other energy-efficient technology, up from 30% in 2021.

*Based on an internal compilation of the nationwide average of publicly reported HERS Scores from 6/21/22 through 4/21/23 among large production homebuilders. These are the top 20 U.S. homebuilders ranked by number of closings on Builder Magazine’s most recent annual Builder 100 list that Builder Magazine identifies as operating in at least two regions (excluding any company primarily operating a single-family rental, build-on-your-lot or a manufactured home business, or operating as a nonprofit organization

In 2022 and 2023, we were honored to receive recognition from the EPA with the following awards, both of which represented an unprecedented achievement for a national homebuilder:

2021 Energy Star Partner of the Year Sustained Excellence Award
2021 Energy Star Certified Homes Market Leader Award
2021 Energy Star Partner of the Year Sustained Excellence Award

2023 ENERGY STAR® Partner of the Year — Sustained Excellence Award — Our thirteenth consecutive award for demonstrating leadership in energy-efficient construction.

2021 Energy Star Certified Homes Market Leader Award

2022 ENERGY STAR Certified Homes Market Leader Awards — A record twenty-eight awards for outstanding commitment to promoting energy-efficient construction and providing homebuyers significant value through comfort and energy utility bill savings.