Venture Capitalist Paul Holland and his wife Linda Yates are building what Holland refers to as the greenest home in America. The home, which is being constructed in Portola Valley, CA will be over 5,600 square feet and will feature solar panels, LED lighting, water reclamation, and geothermal heating and cooling. Using the LEED (Leadership in Energy and Environmental Design) point systems, the LEED certified house expects to have the highest LEED rating for any home in the United States.

Along with capturing rainwater, the water from the sinks, showers, and bathrooms will be treated, filtered, and re-used on the property for things like plant irrigation. The home’s lighting will include compact fluorescent lights and LED lighting to reduce the amount of electricity needed for lighting the house. Holland estimates an energy savings close to 80% for lighting.

Heating and cooling will be managed by ground source heat exchangers. This process, also know as geothermal, will supply cool water from about 250 feet underground via a closed loop water system. In the summer, cool water will circulate through the flooring of the home, and in the winter when the underground water is warmer compared to surface water and air temperature, the system will supply warmer water for heating. The house will also make use of a solar system and windows that allow sunlight to warm the house.

Other features of the house include recycled steel and FSC certified woods, or wood that has been harvested from sustainable forests. Holland also has no plans to stain or paint the interior or exterior wood which also leads to lower carbon emissions and a more Earth friendly approach since most paints and stains are water based and require transportation to deliver them from the manufacturers, stores, and then to the home site.

While the house will still have an energy source from the local power company, the home’s 21 Kilowatt Solar system will make the house completely energy independent. During most of the year, the solar system will actually be supplying power back to the local grid. During periods of rainfall or cloudiness, the home may use some energy from the grid, but the overall net result is a negative net use, meaning the property supplies more energy than it uses throughout the year. In most states, the energy company will provide energy credits for the power supplied; meaning at some point the home owner may actually receive a check for the energy provided and will most likely never receive an amount due bill from the energy company.

It is important to note that the features used in building this home range from a little more expensive to a lot more expensive. While federal and state tax credits and rebates are available for many of these green upgrades, in most cases, it is incumbent upon the home owner to initially fund the green additions. Another hurdle is that many green homes cost more to build but do not currently appraise at higher values than say a similar house in the same neighborhood. While there has been movement to appraise green homes differently to account for the added green features, in most cases the buyer has to make up the difference in the amount of the house purchase or build price versus what the banks will provide for the mortgage loan which is based on the appraisal.