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However, at the end of the 10 years, the home owner sells the house and recoups some of the initial additional investment costs. Depending on the residual value estimation approach, the present value net cost savings in life-cycle costs to the homeowner is either $41 714 or $84 997.
NIST Handbook 1351995 Edition LIFE-CYCLE COSTING MANUAL for the Federal Energy Management Program Sieglinde K. FullerStephen R. PetersenBuilding and Fire Research LaboratoryOffice of Applied EconomicsGaithersburg, MD 20899February 1996Supersedes 1987 RevisionPrepared for:U.S.