Solar panel home installation continues to grow in popularity. A recent survey revealed that almost half of all U.S. homeowners have seriously considered them as an alternative to traditional home energy sources.
If you are one of these, the big question is “Are solar panels worth it?” This involves investigating solar panel installation costs and calculating how much they will save you on your energy bill. But another big question you may have is “How much do solar panels increase home value?”
The answer to this question is complicated. But fortunately, there are a few metrics that will help you get a good ballpark of what value you can expect out of a solar panel system. Keep reading to find out more about these factors.
How Much Do Solar Panels Increase Home Value?
To answer the question, “How much do solar panels increase home value?” the first thing to do is to consider the same home that lacks these energy-saving abilities. Another way of putting it is that almost any buyer will be attracted to utility-bill offsets they will see every month.
Beyond the lure of solar panel savings, you’re also going to attract homebuyers who are environmentally conscious. This includes people who may be willing to pay a bit more for a home that helps them reduce their carbon footprint.
There is evidence that, across the board, solar panels make your home more competitive on the market and that buyers are willing to pay for them.
Are Solar Panels Worth It?
So, the question is not whether they will increase the price of your home, but will that amount, combined with energy savings, be worth the cost of installation. Both of those variables depend on the size of your house and where you live.
What part of the country you live in and how much sunlight you get year-round is a major consideration. If you live in an area where the sun shines almost year-round, cost-savings could be substantial. There are many online energy estimators that can help you get an idea of what output you can expect from solar.
Another factor to think about is the price of electricity in your area. Prices vary widely from state to state and even within different communities. This is a big factor in determining potential savings.
While they are made to last decades, solar panels lose their energy-capturing ability over time. This is known as solar panel degradation.
In general, you can expect the value-added by your solar panel system to dissipate over time. The amount is minimal, but it is a calculation worth making.
Another thing to consider is that, relative to other home upgrades, solar panel installation is simple. It does not require major renovations to your home structure or alterations to your roof.
What type of system you select is the largest factor in determining installation costs. These also vary widely by performance and associated costs.
Most reputable solar companies offer free estimates on installation. so you know what you’re getting into without any upfront cost.
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Now that you have an answer to “How much do solar panels increase home value?” you can make a determination on whether they are the right choice for your house.
We hope this information was helpful to you. For more home improvement tips, check out some of our other posts. We cover topics from design and business, to travel, entertainment, and sports.