It’s one of the questions we get all the time here at Valu Solar Plus. “Does adding solar increase my home’s value?”
Short answer Yes! Long answer also yes! In more ways than one!
Let’s take a look at some of the documented statistics on how solar increases your home value.
A study conducted by the National Renewable Energy Laboratory found that home buyers have been willing to pay a premium of $15,000 more for a home with an average sized solar panel system. It was also found in 2008 that homes with solar energy in California sold faster than their counter parts. On average, for every $1 you save from a solar panel system, your home value increases by $20 upon your decision to sell.
The numbers will never be the same across the board but a good rule of thumb is that for each kilowatt of solar equipment installed, the home will gain between $4,020 and $5,900. So, if we do some basic math, for a reasonable sized solar installation of 6 kilowatts, the home value would increase about $24,000.
A statewide incentive in the great state of Texas that not everyone is aware of is the property tax exemption. This means that all the value that is added to your home from a solar panel system is exempt from taxes. Yes, you heard that right! Increase the value of your home and pay no additional taxes on it!
There are even local incentives that give you rebates in certain areas. One in particular is the Austin Energy Residential Solar Rebate Program. With this program you will earn a $2,500 rebate when you complete their solar education course and install a qualified solar photovoltaic system. Learn how the system works and save even more money. It’s a win-win!
On top of the increased home value and perks upon selling, there is also what is called “Net metering”, which occurs when your home produces more energy than it has used, thus providing additional energy to the grid. At the end of the month, you will see that directly reflected on your bill as you will either receive a check for your excess energy, or gain bill credit lowering your monthly finances even more.
There is also currently a federal solar tax credit which will give you a dollar-for-dollar reduction against your federal income tax. If your system is installed in 2021, then you will receive a 22% tax credit. After 2021 though, the tax credit ends. So there really has been no better time to increase the value of your home and save additional money in doing so.
So, with a guaranteed home value increase what is there to lose? Are there any more benefits?
Not only does adding solar to your home increase its market value, it will also be a selling point down the road to potential buyers. The cost of electricity has done nothing but increase over the years, so having an energy independent house on the market will drive buyer prospects to consider your home first. How much will electricity cost in 5, 10 or 15 years from now? The consumption of your home electricity usage will remain moderately the same, but an electric bill in the future will most definitely be more than energy companies are charging today. So, going solar will not only benefit you now in the present, but will also benefit the future owners of your home, making it a prime selling point once it hits the market.
Adding home batteries that are directly connected to your solar panel system can increase the home value further and guarantee that if the grid goes down your power does not. Having that kind of independence is a highlight your realtor won’t be able to leave out of the house description and will give you a sound peace of mind knowing that even in the worst situation, your family will never go without.
We have covered the entire subject of increasing your home value with solar. The facts are here and the future of solar is now. The path for energy independence and green energy rests in the hands of educated home owners. By now you are definitely one of them. If you need more information, feel free to subscribe to our newsletter and receive our free Ebook on the 6 MUST KNOW facts before going solar. Or reach out to us directly and we can answer any questions you may have personally.
Valu Solar Plus is a Central Texas Based business that specializes in Solar Power. Through proper education and the best rates around, we help home owners make the right decision when it comes to increasing their home value and preparing for the future.
I truly believe that clean energy is the solution to the problem of climate change, and I feel very strongly that every homeowner that can purchase or lease a solar system should do it. Earl made it a seamless process. I hope that my neighbors and friends will follow my example and join the clean energy movement
My mom just received her first solar bill. Her utility bill used to be $80 a month on dirty energy, now it’s $24 on clean energy… and it cost her absolutely NOTHING, ZERO DOWN to get it installed!
We put 18 solar panels on our roof and we’re saving about $100 per month, which will equate to about $30,000 in savings over the life of the system. We couldn’t be happier with how everything turned out. Earl also gave an appreciation gift even though he didn’t have to!
I’m a shrewd cost cutter, and it was attractive to me to know that my upfront cost for going solar was $0. Solar is efficient and I really like the independence that it could grant with energy storage. I think it was a wise decision to go solar.
Earl was so helpful in getting me a free quote and ultimately saving me hundreds on my electric bill after going solar!!! I definitely recommend ValuSolar+ to everyone!!
Earl went above and beyond, and our installers were awesome. You could not ask for a more professional individual. Hello clean energy, good-bye fossil fuel. And to think this just cost us a few pizzas and soda!
Being on a retirement income, we wanted to save money any way we could so last year we installed 18 solar panels on our rooftop. It looks absolutely great, we’ll save $6,000 over 20 years, and it was the right thing to do for the environment.
My energy bill before installing solar was $267.97. My new energy bill is $164.51. I love that I’m saving money and helping the planet thanks Earl!