The report which follows summarizes the findings by Real Estate Research Corporation (RERC) of the 1978 U.S. Department of HUD Passive Solar Residential Design Competition and Demonstration (also referred to as the Passive Initiative), a competition and award program to encourage the design, construction and marketing of passive solar homes. Between April 1979 and June 1980, RERC, which serves as consultant to HUD on the Residential Solar Heating and Cooling Demonstration Program, surveyed 42 award sites in 19 states, and conducted almost 200 interviews with associated designers, builders, purchasers and financial institutions.