Switching to solar has many benefits, but does it REALLY increase the value of your home? Lets break it down and see...
Switching over to solar energy from electric has many benefits. Many people look into adding solar to their home at least once but are sometimes faced with the question "Will solar truly add to the VALUE of my home?"
Let's break it down so you can make the best and most informed decision on your home.
How much does solar increase home value?
The National Renewable Energy Laboratory (NREL) found that every dollar saved on energy through solar increases home value by $20. That's a return on investment of 20 to 1. ... According to another study done by Zillow, homes with solar panels sell for approximately 4 percent higher on average than homes without solar energy.
So YES! Solar does absolutely increase the value of your home and potential resale value as well.
Factors that will influence the value that is added by Solar
When thinking about adding solar to your home a few things to consider are location (some towns or states offer different incentives), your tree coverage (or preferably, LACK of tree coverage), and the different solar companies available in your area to work with.
Some more things to consider when looking to purchase a home with a solar system already in place are the systems age and current output. As solar panels age their efficacy tends to go down as well. On average a solar system is built to last 35 years but most companies have a 25 year warrantee. So if looking at a home with panels already in place, you will want to get an age and more information on the warranties that go along with the system.
Pros and Cons of Adding Solar
Current Electric Company
Many electric companies raise their annual rates to their customers to cover the ever growing inflation rate and to cover their own fines for not meeting deadlines.
For example, Eversource customers received an email at the beginning of 2022 informing customers that their bills would be increasing by 21% starting in January!
All homeowners in the United States are eligible for a 26% federal solar tax credit in 2022, then depending on the state you're in you may be offered rebates, low interest loans and other incentives to move towards "the state’s goal of combating the effects of climate change through a zero-carbon electric grid by 2040."
Solar is an Environmentally Friendly Alternative
Lastly, solar is a clean renewable resource that is available as a replacement for fossil fuel. Climate change is already contributing to very serious environmental and public health issues, right here in the northeast! Heat waves, heavy downpours and sea level rise are just a few of the effects in our area. Many states and cities are beginning to incorporate climate change into their planning like I mentioned in the previous section. So we all need to do our part in taking care of our earth.
Switching to solar on an average sized home is the equivalent to planting 150 trees PER YEAR!
For more info on getting a local CT or RI solar quote, reach out to Jake Malek 860-639-6825
Malek Real Estate