Do Solar Panels Increase Home Value?

Solar Panels Increase Home Value

According to a new study done by researchers at UCLA and UC San Diego solar panels increase home value. Real estate agents love to talk about all the different home improvements you can make to increase your home’s value. Each has it’s own rate of return, but rarely to you recover 100% of your capital investment in any home improvement.

Solar Panels Increase Home Value And Save You Money

Well the great thing about solar is that what you make up on the sale of the system is complemented by the amount of money you are also making from the electricity. So the fact that solar panels increase home value should be a no brainer, however people have been trying to find a formula for calculating exactly what the increase in home value is.

The team of researchers from UCLA and UC San Diego determined that solar panels increase home value by approximately 3.6%. This is after controlling for a whole lot of variables of course. So that translates roughly to over $22,500 that solar panels increase home value for you.

Of course this value will fluctuate from neighborhood to neighborhood, because some amenities have a higher price in certain neighborhoods. Say if you are in the middle of Detroit, Michigan the increase in your homes value will probably be less than if you were in a neighborhood where the homeowner’s where more environmentally aware like Portland, Oregon.

The study noted that the solar panels increase home value the greatest in areas where there was a higher Prius penetration, a large Green or Democratic party registration share, higher median income, as well as education.

So when you are thinking about a new kitchen or solar installation before selling the house you might want to remember that solar panels increase home value on top of saving your money on your electricity bill every month.

Anyone had experience selling their home after a solar installation that can say whether the solar panels increase home value? Anyone heard the contrary? As in do solar panels decrease home value?

(Source: Read the original article here)