Knock knock
Looking outside you see your bank manager.
In a Father Christmas outfit!
Complete with beard. Red velvet sack. The works.
‘Ho ho ho!‘ he bellows.
‘Um… it’s April,‘ you manage to say.
‘Ah, but solar panels wait for no season!’
He reaches into his sack. Pulls out bundles of hundred-pound notes.
‘This,’ he says with a wink, ‘is how much extra value those panels have added to your home.‘
He pauses.
You stare at the money. Then at him. Then at your roof.
You pinch yourself.
The whimsy fades….
But the numbers don’t lie…
We can’t promise you that your bank manager will show up at your house in a Father Christmas outfit…
However, there are a lot of reasons to be excited about the impact of solar on the value of your home.
Below, we’ve summarized the results from seven different studies that have all examined the relationship between solar panels and the value of a home:
Study 1: Moneysupermarket has investigated how improving your Energy Performance Certificate can impact your home’s value. Transitioning from a G rating to an A rating could potentially increase your property’s value by as much as 14%.
Study 2: Admiral, the prominent insurance company, found that solar panels were the most effective home improvement for significantly increasing a home’s value. According to their data, homes with solar panels saw an increase in value of over 25% compared to other homes in the same area. A staggering 75% of homebuyers take energy-saving measures into account when selecting a home.
Study 3: A government study in the UK, which examined over 300,000 home sales, determined that homes implementing energy-saving measures experienced an average increase in value of 14%.
Study 4: An in-depth study found causal evidence of households’ willingness to pay for a higher energy-rated property, documenting a 1- 3% premium to a higher energy efficiency rating at the national level, and a 3-6% premium in the London market.
Study 5: According to the National Renewable Energy Laboratory in the USA, every dollar reduction in operating costs translates to a $20 increase in the home’s value.
Study 6: According to Zillow, a US-based real estate information company, the average increase in a home’s value is 4.1% when solar panels are installed. This conclusion was drawn by comparing the selling prices of otherwise similar homes with and without solar panels in multiple states over the course of a year.
Study 7: According to the Lawrence Berkeley National Laboratory, the price of homes with solar panels in California increased by an average of $3.56 per installed watt. This study is one of the most comprehensive investigations into the relationship between solar panels and home prices, analyzing 22,000 home sales over a 15-year period.
Not all solar systems are created equal…
A solar system installed by an uncertified company using unknown brands won’t enhance your home’s value.
Three keys to maximizing your solar investment:
- Choose an MCS-certified professional installer
- Invest in quality, proven brands
- Maintain complete system documentation
The numbers tell the story: 1.4 million UK homeowners have already made the switch.
While property value isn’t the main reason to go solar, it’s a compelling extra that makes the decision even smarter.
Your solar panels don’t just generate electricity – they generate home equity.
