Contrasting effects of the dilution of indoor generated pollutants and the energy efficiency of heating and ventilating air conditioning systems (HVAC) for indoor air quality (IAQ) and thermal comfort were studied for 10 Kuwaiti residences. The levels of volatile organic compounds (VOCs) and the calculated cooling load of the HVAC systems were used as indicators for the IAQ and for the energy consumption, respectively. Air exchange rates and VOCs levels (both indoor and outdoor) were measured. It was found that the outdoor VOC concentrations were always less than the indoor values. Therefore reduction of indoor VOC levels can be accomplished either by increasing the ratio of the makeup air to the recirculation air of the HVAC system or by increasing the infiltration airflow rate through openings. A single compartment IAQ model, modified by the authors, was used to test for the variation in the above two dilution modes and to test the performance sensitivity. Hence, the optimum parameters in terms of IAQ and energy consumption were determined. The results indicated that it was necessary to increase the ratio of the makeup air to the recirculation air from its typical design value of 0.5 to a range of 0.7-1.3 in order to reduce indoor VOC to acceptable levels.