How much does solar panels add to home value

Do solar panels add value to your home?

Finally, a third study cited by the National Renewable Energy Laboratory (NREL) in the Appraisal Journal says that solar increases home value by $20 for every $1 reduction in annual utility bills. For example, a solar panel system that saves you $400 each year would add about $8,000 in value to your property.

Do solar panels increase resale value?

In fact, one study by Zillow confirmed that solar installations increase a home’s resale value by up to $5,911 for each kilowatt of solar panels installed, and another estimated an increase of 4.1% of the home’s value. Where do these figures come from, exactly?

How much do solar panels add to a home?

This is an increase from the 4.1% figure found by Zillow in a 2019 study. With the median value of a home in 2024 at around $417,000, solar panels could add over $28,000 in value! Keep in mind that every home's situation is different, and several factors will impact how much solar panels increase your home’s value.

Does solar increase home value?

For example, in the greater New York City area, solar-powered homes see a 5.4% increase in value, more than the national average increase. Finally, a third study cited by the National Renewable Energy Laboratory (NREL) in the Appraisal Journal says that solar increases home value by $20 for every $1 reduction in annual utility bills.

How much value do solar panels add?

How much value solar panels add depends on several factors, including where you live, your local electricity rates and how you paid for your system. If you live in a state with high energy rates, solar panels will likely have a more significant impact on your home’s value.

Does a solar energy system add value to your property?

The conventional wisdom from HGTV and home improvement magazines is that updating your kitchen, renovating your bathroom, or building an addition are the smartest ways to increase the value of your property. But there's another home improvement that you may not realize adds to your property's value: installing a solar energy system on your roof.