Advantages of underground homes include them being less vulnerable to extremely hot and cold temperatures, not requiring as much maintenance, natural soundproofing, and having a home that blends in better with the natural landscape. Underground homes are also less expensive to insure since they have natural protection from the elements.
Disadvantages of underground homes include they can sometimes be as much as 20 percent more expensive to build than conventional homes and the need to take extra measures to prevent moisture problems during construction and throughout the life of the home. Underground homes can also be more difficult to resell than traditional homes, and buyers can sometimes have problems during the mortgage application process.
Locations that are ideal for underground homes are those that experience vast temperature extremes and have low humidity. The earth in these locations is usually better able to draw in heat during the warmer months of the year and better able to insulate the home during the colder months. Building sites that have a steep slope are easier to excavate than sites with slight slopes. Slopes that face the south and are in areas with moderate-to-long winters are some of the most ideal for underground homes since more sunlight can penetrate the windows.