Are Home Buyers Looking For Solar?
Concerned that installing solar might make it harder to sell your home later? Not the case.
The truth is, going solar is a viable option for equity, not just electric bill cash savings. You also open up an opportunity for a niche market that is growing at an exponential rate. Zillow has started putting a sun number on listings to show the solar potential of a home. Why? Because buyers asked for it. People are looking for solar, and people are buying homes with solar already installed, but don’t be fooled by inflated values offered by some solar companies.
How much value does a solar powered home have versus a conventional home?
You may see some solar companies providing a solar equity calculator that shows a huge increase in equity. On one website, we ran a calculation on a typical 7 KW system. Depending on installation costs and solar panel ratings, this system may run the average home owner around $20,000 installed. The calculator shows an equity increase of $24,000. This is simply not accurate. How much is solar upgrades worth? Whatever someone will pay! If a home owner can buy a home like yours for $24,000 less without solar, and then install a brand new solar power system for less than $20,000, why would they pay $4,000 or more for your home?
The value in solar is a combination of both cash flow and equity. The value in your solar powered home listed on the market is found in convenience, low interest rate financing (via 1st mortgage), and a proven track record of successful power production.
Because of this, Wave Energy looks at the entire property envelope. Our contracting services reduce energy consumption through structural improvements that will often provide a 1:1 or better investment to equity ratio. These improvements can also greatly decrease the demand, meaning when it is time to go solar, we can support the installation of a smaller solar power system to produce whatever is left.
By in large, a complete home efficiency model provides much more return on your investment when it’s time to sell. For a free consultation, contact Wave Energy today.