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Do Solar Panels Increase Value of House – How Much Do Solar Panels Increase Home Value?

Do solar panels increase home value?

There is a lot of interest in solar panels and their ability to increase the value of a house. While it’s true that solar panels can add value to a home, the appraised value of a property also depends on many other factors, such as the age of the system and its geographic location.

It’s no secret that more and more buyers are willing to pay a premium for “solar” homes. In fact, studies have shown that homeowners who install solar panels can see an increase in their home’s value. The size of this premium may vary depending on your location, but one thing is for sure: people are increasingly interested in environmental sustainability, and PV panels are one way to demonstrate this commitment.

When considering how solar panels increase home value, it’s important to look at all the factors involved. Some of these include energy savings from going solar as well as the growing interest in sustainability among buyers. Keep in mind that while PV systems do offer many benefits, they aren’t right for every homeowner–so do your research before making any decisions!

do solar panels increase value of house

How Much Do Solar Increase Home Value?

There is no definitive answer to this question as the impact that solar panels have on home value varies depending on a number of factors. However, solar panels can often increase the value of a home by as much as $20,000.

Solar installations have become more popular in recent years, and for good reason! Not only do they help the environment, but they also increase a home’s resale value.

Zillow’s study found that homes with solar installations tend to sell for about 4.1% more than homes without solar panels. This is great news for homeowners who are looking to sell in the near future!

Factors That Influence the Value Add of Solar Panels

Factors that influence the value add of solar panels include: the price of solar panels, the price of electricity, government subsidies, the cost of installation, and the cost of maintenance. The value add of solar panels will continue to increase as solar technology becomes more affordable and the cost of electricity continues to rise.

Price of panels

The price of solar panels has decreased significantly over the last few years, but it is still a significant upfront cost. However, the average American home will recoup their investment in solar panels within 10 years.

Price of electricity

The average American spends 8% of their income on electricity. For a household with an electric bill at $150 per month, this is about $12000 each year. The cost of solar panels is about $18,000 for the average home.

Solar panels can save an individual up to 40% on their electricity bill—and they last 25 years without any maintenance issues.

Government subsidies

The government has offered many incentives for the installation of solar panels, including a 26% federal tax credit and a 30% cash rebate from your utility company.

Cost of installation

The cost of solar panels installation will depend on many factors, but the average price ranges from $5-6 per watt. The total system size is based on how much energy you want your home to produce.


In order to maximize the return on their investment, homeowners should invest in solar panels that are built using high-quality materials. Maintenance is an important part of owning a home and investing in quality components will help maintain the value of a home.

What are the pros and cons of buying a house with solar panels?

There are pros and cons to buying a house with solar panels. Some of the pros are that you will save money on your electric bill, you will be helping the environment, and you may be able to sell your excess energy back to the electric company. Some of the cons are that solar panels can be expensive to install, they may not work well in cold weather, and they may not be allowed in your area.

Here are some of the advantages of buying a home with solar panels:

You’ll save money on your energy bills

This is probably the biggest reason to buy a home with solar panels. By generating your own electricity, you’ll greatly reduce or even eliminate your monthly energy bill.

You’ll help the environment

Solar energy is one of the cleanest and most sustainable sources of energy available, so by using it you’re helping to reduce your carbon footprint.

You may increase the value of your home

Some people believe that having solar panels installed on your house can increase its value by as much as 5-10%.

You can sell excess power back to the grid

If you generate more power than you need, you can sell the excess back to your local utility company for a profit.

However, there are also some disadvantages to consider:

They can be expensive to install

Solar panels can be pricey to install, especially if you have a large house with lots of roof space required for installation.

They may not work well in cold climates

Solar panels may not work well in colder climates as the solar cells will be less efficient when they are cold. Solar panel systems should typically produce at least 25% more power than what is needed to heat the home. This means that if your house needs 100 kilowatts (kW) of power to stay warm, then a solar panel system should produce 125 kW or more.

All things considered, buying a house with solar panels is generally a good idea. Not only do you get all of the benefits mentioned above, but you’re also doing something good for the environment!

FAQs: Do solar panels increase value of house?

Do solar panels hurt the resale value of your home?

Generally speaking, the opposite is true; installing a home solar array actually increases the resale value of a home.

The increase in property value very much depends on where you are located and how big your installation is. Studies by experts including the US Department of Energy estimate a home’s resale value may increase by up to $4 per solar watt you install on your home. By doing the math you can see that a 3,000-watt installation could increase your home’s value by $12,000 and on up from there.

For a larger home with a larger installation, your home value could increase by more than $20,000 if sold within five or 10 years of being installed

Do bigger solar installations present a better value add than smaller systems?

A larger installation might be better if you have the space and need the extra power, but a smaller installation might be more affordable and still provide the power you need. The aesthetics of solar panels may be a factor in buyers preferring smaller arrays.

How much value does solar add to the home?

Solar panels add a great deal of value to a home. A recent study found that homes with solar panels sell for $17,000 more than homes without solar panels.

Do you really save money with solar panels?

Solar panels can save you money in the long run, but the upfront cost can be prohibitive. However, with government subsidies and tax breaks, as well as increasing electricity costs, solar panels can be a wise investment for your home.

Do solar panels ever lower property values?

There is no one definitive answer to this question. Some people believe that solar panels can lower a property’s value because they can be unsightly, while others believe that they can actually increase the value of a property because they are a green energy source. Ultimately, it is up to the individual homeowner to decide whether or not installing solar panels is worth it based on their own property values.

Solar panels add value to a home, but this value can be undercut by local electricity rates and solar electricity prices.

If you would like to know if we can install solar and put thousands of dollars in your pocket for doing it, use the form below to submit your electric bill for a no cost, no obligation evaluation.