Will Installing a Solar Panel System Increase Your Home Value?
Installing a solar panel system is a smart way to increase your home value. Renewable energy is a huge selling point, and buyers are often willing to pay more for properties with photovoltaic arrays. What’s more, solar-powered homes typically sell up to twice as fast as comparable homes without PV installations.
However, to ensure these results, you need to purchase – not lease — your home solar system.
If You Lease Solar Panels…
When you sign a solar lease, you commit to making payments for 15 to 20 years. That responsibility doesn’t go away if you decide to sell your home. So, this leaves you with two options — either find a buyer with excellent credit who’s willing to take over your lease agreement or buy out the remainder of your contract.
Quite often, home buyers balk at the idea of assuming a lease. And, a contact buyout can be rather expensive – plus, after paying off the lease, you still won’t own the solar panels.
In the end, leasing solar panels can actually be a hindrance – rather than an advantage – when it comes time to sell.
If You Purchase a Solar Panel System…
Financing or paying cash for your PV installation allows you to realize the benefits of selling your home more quickly and at a higher price.
In addition, when you purchase a photovoltaic array, you get to claim the lucrative federal solar tax credit – which is equal to 30 percent of your total system installation costs. State and local financial incentives are also yours to claim.
If you opt to lease instead, you don’t get to pocket these savings – the leasing company does.
How to Determine the Value of a Home Solar System
On average, solar-powered homes sell for up to 17 percent more than similar properties without photovoltaic arrays.
Want a more specific idea of how much of an increase in home value you can expect after installing a solar panel system? The PV Value® tool, developed through the U.S. Department of Energy SunShot Initiative, can tell you. Simply input some basic information about your property, photovoltaic array and utility costs, and you’ll be given an accurate assessment of the value of your PV installation.
If you want to make your Intermountain West property more attractive to home buyers, installing a photovoltaic array is a smart plan. To ensure the investment pays off, work with a skilled PV contractor with extensive expertise – like the professional team at Intermountain Wind & Solar.
A leading photovoltaic provider serving Utah, Wyoming, Nevada, Idaho and Oregon, Intermountain Wind & Solar offers free, no-obligation consultations and solar panel system estimates to homeowners and businesses. To schedule yours, contact us today.