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Solar panels have become a must-have for any energy-conscious Australian household over the past decade. But first, ask yourself, “Do solar panels add good value to your home?”

The technology of solar panels has advanced so much that more and more people are installing them. This has led to a significant decrease in the price of solar panels. Each year, the cost of solar panels has been falling by about 10% ever since the decade began.

As prices for gas and electricity continue to rise, increasing numbers of people are using renewable energy. So, now there is a dilemma for Australian estate agents – do solar panels increase the value of a property? If so, by how much? What if they fail to add value and have no positive effect?

So, without further ado, let’s try to answer the question “do solar panels add value to your home?”

How Can Solar Panels Add Value To Your Home?

The reason you had solar panels installed in the first place is probably the same reason they could add value to your home. Lower energy costs.

Everybody wants to lower their energy costs. When buying a home, many buyers consider energy efficiency since it is a requirement on listings.

If you install solar panels, you’ll gain a better EPC score, driving up the valuation of your property. Not only that, but they’ll benefit from them immediately without any foregone cost or hassle. Therefore, it seems logical. Solar panels add value to your home, don’t they? But, it’s not quite as simple as that.

Factors That Determine The Value of Solar Panels

The amount of value that solar panels will add to your home is determined by a number of factors. You can consult an experienced local solar installation company to determine if solar can work for your home based on the orientation, material, and shape of your roof. Other factors that determine solar panels’ value include:

• Place of Residence: Solar installations in active markets typically yield higher returns than those in less developed markets. Solar markets that are active receive ample sunlight, have high solar installation rates and have local incentives such as property tax exemptions and energy rebates.
• The Size of Your Solar Installation: Property values increase proportionally with solar power capacity (and quality). If you want solar panels to increase the value of your home, the panel capacity should correspond to your home’s size.
• System Output: The output is another factor. If you have a larger system installed with more energy generation, you will see more added value from the system.
• Age of Solar System: If your solar system is over 10 years old, you will have to account for depreciation. Older systems will not add that much value to your home when it’s time to sell, because it’s more likely the buyer will need to make repairs sooner or replace parts.
• Replaceability: Much like system age, how expensive or difficult it is to replace parts of your system impacts its overall added value.

Solar Panels Increase Home Value By How Much?

The amount of value that solar panels add to your home will depend on the location and how they were installed, as discussed above. In general, it is believed that homes with solar adaptations sell for 4% – 10% more than those without.

Additionally, homebuyers in Australia are willing to pay more than $10,000 to have solar panels on their houses. Adding batteries would increase this amount even more. Regardless of how you look at it, solar is a very marketable asset for your home.

How Life Solar Can Help You?

Life Solar is passionate about saving homeowners money on energy, taking control of their power usage, and reducing their carbon footprint. We start by conducting an energy audit of your home. Using specialised tests, we will identify where you waste energy (and money) and then offer individualised recommendations for installing solar panels and how to improve efficiency.

Our team is recognised as an approved solar contractor and can help you make smart energy improvements, no matter if you’re considering selling the house or staying in it for years to come.

Speak with a Life Solar staff member today about the process of installing solar panels in your home. Contact us at 1300 425 593 or visit https://lifesolar.com.au to reach us.