How Solar Panels Affect Your Home's Value

One of the most common questions homeowners ask is whether solar panels will increase their property value. The research is clear: solar adds significant value to your home.

What the Research Shows

Zillow Study

Zillow's analysis of millions of home sales found that homes with solar panels sold for 4.1% more on average than comparable homes without solar. In California, the premium was even higher.

Lawrence Berkeley National Laboratory

A comprehensive study found that buyers were willing to pay a premium of approximately $4 per watt of installed solar capacity. For a typical 7 kW system, that's a $28,000 increase in home value.

Appraisal Institute

Professional appraisers increasingly recognize solar as a valuable home improvement, using income and cost approaches to value solar installations.

Factors That Affect Solar's Value Impact

1. System Ownership

Owned systems add the most value because:

Leased systems can complicate sales:

2. System Age and Condition

Newer systems with longer remaining warranty periods add more value. Key factors:

3. System Size and Production

Larger systems that cover more of a home's energy needs are more valuable. Documentation of actual energy production strengthens the value case.

4. Local Market Conditions

Solar adds more value in markets where:

California checks all these boxes.

How Buyers View Solar Homes

What Attracts Buyers

Buyer Concerns to Address

Maximizing Your Solar Investment's Value

Keep Documentation

Maintain records of:

Highlight Savings

Provide potential buyers with:

Ensure Transferability

When Selling a Solar Home

Work with a Solar-Savvy Agent

Real estate agents familiar with solar can:

Get a Solar-Specific Appraisal

Consider requesting an appraiser experienced with solar to ensure your system is properly valued.

Provide a Solar Disclosure Package

Include:

The Bottom Line

Solar panels are one of the few home improvements that can actually return more than their cost when you sell. Combined with years of energy savings while you own the home, solar is a smart financial decision.

At BlueSky Energy, we provide comprehensive documentation and transferable warranties to protect your investment. Contact us to learn more about adding value to your home with solar.