Tackling Embodied Carbon in Residential Construction
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Operational carbon for new homes is at an all-time low. Now, ratcheting regulatory requirements and growing consumer demand is forcing builders to focus on reducing embodied carbon.
Whether they were aware of it or not, builders have been reducing operational carbon for decades. From meeting more stringent energy codes, to developing better envelopes, to installing higher-performing systems, builders have steadily reduced energy use and related operational emissions over the lifetime of the home. That work remains critical.
But as homes become more efficient, embodied carbon–the greenhouse gas emissions associated with material extraction, manufacturing, transportation, installation, maintenance, and end-of-life product disposal–now represents a larger share of a building’s total carbon footprint.
If the industry is serious about getting to net zero carbon, limiting embodied carbon is the next step.
At the federal level, there are currently no embodied carbon codes or regulations. Following the repeal of the federal Buy Clean initiative in 2025, embodied carbon policy has shifted largely to state and local jurisdictions, where a patchwork of requirements has begun to emerge.
Most existing embodied carbon policies focus on:
Commercial buildings
Government-funded projects
Large multifamily developments
However, embodied carbon codes for residential construction will likely emerge with the rollout of the RESNET Standard 1550, which establishes a consistent methodology for calculating and reporting embodied carbon for residential single and multifamily dwellings. This effort is intended to create a common language for builders, raters, manufacturers, and other stakeholders to streamline the measurement and reduction of embodied carbon.
Efforts to reduce embodied carbon are motivated not just by potential future regulations, but also by strong consumer demand for lower-carbon, recycled-content products.
COGNITION Smart Data shows that using recycled materials ranks among the most important sustainability actions manufacturers can take, with an average importance score of 4.79 (lower scores indicate higher importance), outperforming broader actions such as taking a stand on environmental (6.93) or social issues (7.84). Minimizing waste also ranks highly at 4.39, reinforcing that consumers prioritize tangible actions over general sustainability messaging.
Both consumer expectations and regulatory shifts are pushing the industry to reduce embodied carbon. Builders who take action today will set themselves up for long-term success.
Like this COGNITION Hot Take? We have more! Unlock the data driving the industry’s sustainability transformation to build smarter and sell faster. Subscribe to COGNITION Smart Data.
Victoria Muharsky is an ESG specialist at Green Builder Media, where she leads the ESG for Building Working Group. Under her guidance, the group has successfully overseen the release of the groundbreaking ESG Defining Principles. Crafted collaboratively by industry experts, these guidelines are revolutionizing the homebuilding sector's approach to ESG and sustainability.
Tackling Embodied Carbon in Residential Construction
Operational carbon for new homes is at an all-time low. Now, ratcheting regulatory requirements and growing consumer demand is forcing builders to focus on reducing embodied carbon.
Whether they were aware of it or not, builders have been reducing operational carbon for decades. From meeting more stringent energy codes, to developing better envelopes, to installing higher-performing systems, builders have steadily reduced energy use and related operational emissions over the lifetime of the home. That work remains critical.
If the industry is serious about getting to net zero carbon, limiting embodied carbon is the next step.
At the federal level, there are currently no embodied carbon codes or regulations. Following the repeal of the federal Buy Clean initiative in 2025, embodied carbon policy has shifted largely to state and local jurisdictions, where a patchwork of requirements has begun to emerge.
Most existing embodied carbon policies focus on:
However, embodied carbon codes for residential construction will likely emerge with the rollout of the RESNET Standard 1550, which establishes a consistent methodology for calculating and reporting embodied carbon for residential single and multifamily dwellings. This effort is intended to create a common language for builders, raters, manufacturers, and other stakeholders to streamline the measurement and reduction of embodied carbon.
Efforts to reduce embodied carbon are motivated not just by potential future regulations, but also by strong consumer demand for lower-carbon, recycled-content products.
COGNITION Smart Data shows that using recycled materials ranks among the most important sustainability actions manufacturers can take, with an average importance score of 4.79 (lower scores indicate higher importance), outperforming broader actions such as taking a stand on environmental (6.93) or social issues (7.84). Minimizing waste also ranks highly at 4.39, reinforcing that consumers prioritize tangible actions over general sustainability messaging.
Both consumer expectations and regulatory shifts are pushing the industry to reduce embodied carbon. Builders who take action today will set themselves up for long-term success.
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Like this COGNITION Hot Take? We have more! Unlock the data driving the industry’s sustainability transformation to build smarter and sell faster. Subscribe to COGNITION Smart Data.
By Victoria Muharsky
Victoria Muharsky is an ESG specialist at Green Builder Media, where she leads the ESG for Building Working Group. Under her guidance, the group has successfully overseen the release of the groundbreaking ESG Defining Principles. Crafted collaboratively by industry experts, these guidelines are revolutionizing the homebuilding sector's approach to ESG and sustainability.Also Read