Whether solar panels add value to a home depends on your local market and the details of the system itself. Factors than can limit the value of solar panels include:
- Few similar sales with solar panels in your area will make it harder for an appraiser to show that solar panels increase value.
- Leased systems, as opposed to owned, are unlikely to add value.
- Aging systems that produce less energy or are nearing the end of their effective life will add less value.
Documenting what, if any, value is added by solar panels will involve calculating the expected energy output over the remaining life of the system and how that will impact utility bills. The PV Value tool at pvvalue.com can help you calculate the energy production of the system. You can provide that calculation along with all details of the system—including ownership, size, age, production, location, warranty, inverter specifications, energy storage details, and other pertinent details—to the appraiser.
More information is available through the online course “Selling the Sun: Establishing Value for Solar Homes” from Elevate Energy and the U.S. Department of Energy through NAR.