The Added Value of Having Solar
Marty "The Brain" Peña
The real estate market is currently booming and green energy is the future not only in generation but in real estate as well. Studies have shown that millennials are a lot more conscious of their carbon footprint than previous generations. They are also the largest demographic of potential home-buyers. The average person will buy three homes in their lifetime. As time goes on, more and more homes will have solar on them.
So how exactly does solar affect the property value when someone is trying to sell their home? According to a 2019 study that was published by the real estate website Zillow, having solar on your home can actually increase your home value. By how much you ask? The average is around 4.1% value that it adds to the home. This may not seem like a whole lot but consider how much homes cost and when you’re looking at 4.1% of three or sometimes even five hundred thousand dollars that can be a significant amount of value that is added to the home. In terms of dollar amount when you take the median valued home, 4.1% translates into roughly $9,274. That’s nearly an extra $10,000 dollars that you can add to the price of the home when you’re selling it. Not to even mention the fact that this home doesn’t have an electric bill anymore so it will be that much more appealing to a potential home buyer. Just think about it if you were looking at two identical homes but one of them had an electric bill and one of them didn’t. Which one would you purchase?
It is important to note that this whole scenario is based on whether you purchase a solar system. A leased solar system is a totally different ballgame and will not provide the same numbers and value that a purchased solar system will. I think this study is something that all realtors should be aware of due to the negative stigma and misinformation that comes from selling homes with solar on them. The bottom line here is that solar will absolutely increase the value of your home so why wouldn’t you do it?