Can Solar Panels Increase My Home’s Resale Value?
This is a question we get from many clients. While they know that going solar will benefit them financially, they still want assurance that prospective buyers will recognize the benefits as well– and be ready to pay for them.
Fortunately, recent studies have provided that assurance:
- Lawrence Berkeley National Laboratory
This 2015 study of over 22,000 home sales (4,000 of them with solar systems) showed that solar panels increased the resale value of a home by an average of $15,000.
- Appraisal Institute
The largest professional association of property appraisers in America, this institute’s study revealed that a home’s value increases an average of $20 more per $1 of reduced electricity bills. (Check out our Solar Savings Calculator to see how much you and your home’s buyers might save with solar.)
This well-known source of housing data conducted and released a study just a few months ago — February 2019! It turns out that homebuyers across the nation are willing to pay an average of 4.1% more for a house with solar panels.
So yes, home-buyers across the nation are willing to pay more for solar! More and more people are realizing that solar isn’t just about renewing the environment; it’s also about investing in something that will result in greater savings down the road:
- Drastically smaller electric bills
- Protection from continually increasing electric rates
- Ability to “sell” extra solar energy back to the utility via net metering
- While a solar system is a good investment now due to numerous state and national incentives, many of those rebates will have probably expired by the time your home is on the market. So, your buyer will appreciate having all the benefits of solar, without having to pay full price for a brand-new system!
Just remember that solar panels don’t stop working once you sell your house and move out. Due to their 25+-year guaranteed lifespan, your home’s solar energy system will provide the next resident with free electricity as well.
There is one caveat, however: you do need to own your panels to take advantage of your home’s higher value. While leasing panels can be a great option in certain situations, the perks of not having to pay for the panels on your building also means that those panels still belong to another company. Since your buyer won’t actually own the panels either, leased panels usually won’t add to the home’s resale value.
However, if you like the idea of increasing your home’s value but don’t think you can pay for solar panels out of pocket, don’t worry; Sun Solar has the only $0-down solar loan program in Missouri! This purchasing option still allows the system to be transferable should you sell your home, and there are purchasing options should you choose to own the system down the line.
So you can take advantage of the significant financial incentives (including a 30% federal tax credit for solar energy systems purchased by the end of 2019) available for the next few years, while making smaller monthly payments than your current utility bill.
So, if you’re interested in saving money and increasing your home equity, just give us a call or start up a chat on the lower right corner of this page!
Interested in speaking with a professional Energy Consultant about going solar? We’re ready when you are with a free, no-pressure solar quote and consultation; just click here to start!