In light of the recent climate crisis, solar energy has been experiencing a boom. Environmentalists praise it as the best, cleanest alternative energy source we have available. But while this type of energy is great for the environment, you may be wondering, ‘how do solar panels impact my property values?‘
The answer is — quite a bit! Since clean, renewable energy is extremely in demand right now, there is no shortage of buyers looking for a home with an intact system. What’s more, solar panels come with their own sets of benefits, which can help homeowners save on their energy bills long term.
So, if you’re planning on selling your solar-powered home, here is everything you need to know about solar panels and how they influence the real estate market.
Benefits of Solar Panels
The latest polls are just in — being green is in! More and more people are looking for ways to live an ethical and sustainable lifestyle. Some of the easiest ones include recycling, using fair trade products, avoiding fast fashion, etc. However, something that can make the biggest difference is switching to solar panels.
Solar panels are the best alternative energy source we have available. For one, the panels are powered by sunlight. Sunlight is the world’s most abundant resource. In just eight hours, the sun can produce enough electricity to power the entire world for over a year. And the best part is, we can’t ever run out of it.
Sunlight is completely renewable and accessible to everyone worldwide. Furthermore, harvesting it does not produce any toxic waste. Mining fossil fuels consume tons of resources like water and precious metals. Not only that, but burning it contributes to severe CO2 emissions and habitat destruction for various endangered animals.
In contrast, solar panels just need a clear line of direct sunlight to power a family home, with no waste! In short, they’re the ideal energy source of the future — especially for someone who cares about preserving our little blue planet!
How Does Solar Energy Impact the Value of My Property
The environmental benefits of running solar panels can’t be understated. But, let’s face it — the biggest reason people are switching to solar has to do with money. Namely, having a set of solar panels greatly impacts the value of a property.
In fact, one study shows that a home with solar panels can sell for about 4.1% more than a home without them. This figure varies from location to location, but the reasons for it remain the same.
1. Tax Benefits
It’s no secret that the government is offering solar-powered homes. Since 2020, homeowners can receive a Solar Investment Tax Credit, or ITC, if they have a system on their property. The investment grants you a 26% credit on all systems installed between 2020-2022.
2. Long-Term Savings
The less known financial advantage of solar panels is long-term savings. Solar panels lock energy prices at a constant rate. So as the prices of electricity rise, your energy bills won’t.
Over the course of a year, this can amount to around $1,500 — or a staggering $37,500 over a period of 25 years!
3. Buyer Interest
A home with a beautiful garden is always going to look better to a potential buyer. The same is true of a solar-powered home.
Solar properties are notoriously energy efficient, something which is extremely attractive to potential buyers. Plus, they appear to have their values. As previously mentioned, more and more people want to live a sustainable lifestyle. So solar property is a good way for them to start their eco-friendly journey.
Going solar is incredibly beneficial for the environment. However, it’s also beneficial for your wallet — especially if you’re looking to sell your home.
Solar panels can increase the value of your home by as much as 4.1%! This is because of the numerous financial benefits that come with having a set of panels. Of course, the exact value of your solar-powered property will vary from location to location. But regardless of where you live, you will certainly get a lot from owning a system of your own!