NAR Supports Legal Challenge to Energy‑Efficiency Rules Affecting Property Owners

The National Association of REALTORS® (NAR) joins the National Association of Home Builders (NAHB) on an amicus brief supporting a legal challenge to the U.S. Department of Energy’s (DOE) rules that set energy‑efficiency standards for gas appliances.  

Petitioners, the American Gas Association (AGA), and other natural‑gas trade groups have asked the U.S. Supreme Court to review the lower court’s interpretation of these rules, which require efficiency levels achievable only with newer condensing technology. This change would effectively eliminate widely used non‑condensing gas furnaces and commercial water heaters from the market. Non-condensing units are currently installed in most homes and buildings using gas appliances. Because condensing units require entirely different ventilation systems, many existing homes and buildings simply aren’t compatible with the mandated technology. Replacing a failing non‑condensing unit could force owners into expensive renovations or require switching to electric appliances. These challenges are especially significant for space‑constrained homes such as rowhouses, townhomes, and older apartments. The rules pose significant affordability challenges and may introduce new disclosure and liability risks for REALTORS® during real estate transactions.

If the Supreme Court agrees to review the case, it will consider whether DOE had overstepped its authority under the Energy Policy and Conservation Act (EPCA), which prohibits efficiency standards that effectively remove products with unique performance characteristics from the market.

NAR’s legal advocacy efforts to support consumers and housing affordability remain a priority. NAR will continue to monitor any developments in this case and provide updates accordingly.