Many appraisers are taking the position that there is no added value and perhaps some diminished value with leased solar panels because the buyer must assume the lease.
Do solar panels add value to your home in texas.
Installing solar panels in a home not only helps to reduce current monthly utility bills.
According to a lawrence berkeley study adding solar panels to your home increase its value by more than 14 000 usd on average.
As it turns out the best remodeling idea at least in texas is for homeowners to put in solar panels according to the texas remodel valuation report released by the texas association of realtors.
By going solar in texas you can enjoy lower energy bills improved resale value of your home increased energy independence security with backup power during outages and a reduced environmental footprint.
There are additional factors that determine how much solar electricity you can produce.
Moreover the cost of the lease will negate some of the utility cost savings.
Whether the solar panels are leased and owned also may affect the appraisal.
It can potentially increase the home s value by up to 4 1 more than comparable homes with no solar panels.
Fortunately texas has some of the strongest sunshine and receives high average peak sun hours making it easier for your solar panels to save as much money as possible.
A solar equipped home could potentially add about 3 x 5 000 watts 15 000 to a home s value.
This additional financial commitment makes it harder to market and sell the property.
According to lbl each solar watt adds between 3 4 to a home s value depending on where you live.
The berkeley lab study says that each watt of installed solar capacity adds around 3 to a home s value.
Your home can be sold for 3 47 more compared to homes that doesn t have a solar power system.
This means that your home could sell for 15 000 20 000 more which is what you ll pay for a new solar system before factoring in the generous 30 federal tax incentive.
Therefore leased solar panels are likely to be value neutral on the appraisal.
The national residential solar system average of 5 kilowatts kw generates 5 000 watts of power.
