'Mortgage Lenders and Appraisers Need to Go Green'

Appraisers and lenders were denounced for hampering acceptance of environmentally friendly building products at the National Association of Home Builders' annual convention this past week. "Appraisers are out to lunch on this," said William Nolan, a housing industry consultant based in Orlando. Until lenders and appraisers learn to recognize the value of green innovation and the money it can save buyers of new homes, there is not enough incentive for widespread adoption, Mr. Nolan said. "We're having a huge fight on this. We can't get lenders to appreciate the value of the net costs, and if we can't get the values recognized, [manufacturers] can't justify moving these products forward." Ed Linder, a division director at the appliance maker Whirlpool Corp., said the appraisal issue is one reason Europe is far more advanced than the United States when it comes to green products. "Appraisers don't understand the value of sustainability," he said.