Do Residential Solar Panels Increase Home Value?

Posted by Sunboost on December 7th, 2021

As electricity bills skyrocket with mounting costs of basic amenities, people are now more inclined towards renewable energy sources. As a result, high investments are being made towards installing resources such as solar for homes. Residential for solar has become increasingly popular for its long-term investment returns, eco-friendliness, and off-grid power generation capability. Moreover, one of the best advantages of installing solar panel systems in your residence is increasing your property\'s market value.

Installing residential solar is quite an upgrade for your home, especially regarding property value estimation. The investment in solar energy pays back in a matter of fewer than six months, alongside reducing your energy consumption and dependability on the primary power grid. In addition, the cost of a standard rooftop solar system and battery is often recovered in the home\'s sale price. Furthermore, homeowners who install solar are compensated with decreased electricity costs and substantial tax benefits that may pay the solar system\'s expenses over the warranty length.

How does Solar Power increase the property\'s market value?

Energy consumption is bound to get expensive over time due to escalating demand and depleting resources. With that in mind, it’s a given that properties with solar systems installed are sure to surge in value. Consequently,residential solar panels are taken positively and are often the key selling point for a property as they offer reduced electricity costs to the buyers.

Research by surveying real estate agents and buyers shows that energy-efficient homes installed with solar panel systems have become a priority and sell 20% faster than traditional homes.

Variables affecting the valuation of solar panels

Many variables affect solar panel valuation. However, here are some key points you must know.

•          Geographical placement: Not every location is the same on planet earth; some places receive ample sunlight while others do not. If you have enough sunlight, you can generate surplus power, which is a big plus; but if you cannot, you are forced to use the power off the grids, negatively impacting your property valuation. Hence, the has a direct and significant effect on the property cost. the geographical location of your property

•          Prices for trusted solar installation: The cost of electricity varies per region as transportation, labour, and component costs vary. This variation, too, has a direct effect on the value of your property. Moreover, solar panel installations are best done by professionals; and when it comes to service charges, each solar company charges differently. If a buyer can save money by acquiring a property with a previously installed solar system, it will enhance the property value.

•          System output and efficiency: A larger solar system with higher energy generation provides more added value, but most people forget to factor in solar degradation. The newer the system installation, the greater the efficiency and, in turn, the greater the market value of your property. But as the solar system gets older, it becomes inefficient and can necessitate maintenance, which could be expensive.

•          The prevalence of power disruptions: Areas that experience frequent power outages are bound to offer more excellent value for energy resources due to reliance on other greener and reliable resources such as solar systems.

•          State subsidies: Most governments offer state rebates and incentives to investors who invest in renewable energy resources, hence, cutting down an additional tax on your electricity.

Advantages for Property owners:

1.        State rebates and incentives
2.        Federal Solar Investment Tax Credit (ITC)
3.        Switching grid electricity with low-cost renewable solar energy

Furthermore, as a property owner, you have numerous benefits in the real estate market, such as:

•          Higher listing price versus matching non-solar houses
•          Prospective buyers consider solar panels to be an improvement.
•          Homes with solar panels typically sell quickly comparative to those without

Property owners who intend to sell their solar energy system should consider that potential buyers seek documentation that proves that the installation was done correctly by an experienced solar expert and that the system lowers its utility costs. Sunboost is trusted by clients all over Australia, with reputable and professional installers and advisors ready to advise and teach you how to track the cost savings on your utility bills.

Benefits for buyers:

The buyer may obtain a 200 percent return on the sale price premium with a house solar system. A solar system installation offers these additional advantages:

1. Monthly/annual cost savings throughout the lifetime of the solar energy system (25-30 years)
2. Minimized carbon footprint.
3. Increased property resale value

Invest in Residential Solar Panel System

Residential solar panel installation is a prudent investment. Whether you\'re flipping a house for a better price or making it your life-long home, the value of your property having a solar system is sure to rise. This extra value reduces the importance of payback periods. Instead, you can repay your investment and profit from a subsequent sale.

Use the sun to your advantage. Add Sunboost solar panels and a home battery to your house and increase the value of your home. Sunboost gives you control over your electricity usage, protects you from power outages, all while keeping the environment clean. Solar power is as dependable as the sun. Over 19% of Australian residents have increased the value of their homes with Sunboost—get a free quotation now to connect with one of our certified Solar Advisors.