In recent years, solar panels have become an essential addition to property for any energy-conscientious New South Wales homeowner. However, before you make the switch over to solar power, it’s important to consider how solar panels will impact the value of your property.
As advancements are made in the technology behind solar energy, more and more households in Australia are reaping the benefits of having solar panels installed on their property. With this increase in sales, the cost of installing solar panels has become significantly lower.
In fact, the cost of photovoltaic solar energy has dropped by 82% in the last decade according to research conducted by the International Renewable Energy Agency (IRENA).
With electricity prices on the rise every year, it’s no surprise that residents of New South Wales are turning to solar energy as a cost-effective alternative for powering their homes. But with this sudden surge of solar powered homes, many people are left wondering – do solar panels impact the value of your property?
What we know about solar panels and house prices
The experts at Aztech Solar decided to take a closer look and figure out once and for all if solar panels will add value to your home.
As a clean, renewable energy source, solar panels provide an incredible opportunity for you to potentially add thousands of dollars to the value of your property simply by having them installed; but, like any home renovations, it’s important to think long-term before making a significant financial investment by installing solar panels on your property.
A recent international study by the National Renewable Energy Laboratory indicates that solar homes sell 20% faster and for 17% more than homes without a solar panel installation. This increase in selling power is fuelled by the buyer’s understanding that solar energy is an investment for the future as well as the added benefits they will reap from reduced energy bills.
In a survey conducted by Origin Energy, 77% of Australians stated that solar panels add value to a property, with 57% reporting that they would pay up to $10,000 more for a home that has a solar panel installation. A further 55% of survey participants living in rental accommodation stated that they would be willing to pay $10 or more every week to rent a property that had solar panels.
What are the benefits of solar panels?
Solar panels are viewed positively by Australians
The results of The Australia Institute’s yearly Climate of the Nation reports have consistently shown solar energy as Australia’s preferred energy source with 54% of Australians ranking solar as their number one energy source and 79% of survey participants ranking it in their top three.
The institute’s Chief Executive, John Connor, has stated that the results demonstrate Australia’s unanimous push to tackle climate change with renewable energy sources.
Solar energy is a selling point
If you’re aiming to sell a home with solar panels, you’ll be happy to hear that having a solar panel installation could attract potential buyers. In addition to the fact that Australian buyers view solar panels favourably, a residential solar system may also work as a selling point for attracting buyers.
Aztech Solar’s expert solar panel installers in New South Wales are predicting that solar energy will become an even bigger selling point for those looking to purchase property as electricity prices continue to rise. In the coming years, solar panels will likely be in such high demand that buyers will specifically look for homes with an existing solar panel installation.
Even though having a solar installation comes with plenty of good selling points for buyers and will likely be seen as an asset to your home’s sale, it’s possible that not everyone can see the benefits of using a solar energy system and could be put off by the perceived hassle of maintaining the panels. While pitching to potential buyers, your biggest priority should be to help them feel informed of the benefits of a solar panel installation.
The more panels on the roof, the bigger the increase in property value
The big question every homeowner wants to know is “How much will my home value rise when I install solar panels?” According to one report by Momentum Energy, for every kilowatt a solar panel increases in size, an extra $6000 is added to the value of your property.
However, the exact amount will depend on a number of factors including:
Location: The interest in solar panel installations varies depending on the location of your home. Some suburbs of New South Wales that led the way in solar panel installations in 2020 include Marsden Park, Berkshire Park, Vineyard and Box Hill.
Size of solar panel installation: The more solar panels you install, the more your home value will increase, after all, extra solar energy means paying less for energy bills.
Size of your home: Not surprisingly, the bigger your home is, the greater the increase in property value will be. However, even smaller homes with less value can see a substantial increase in value.
How much will a solar panel installation in NSW cost?
With the average New South Wales residential solar system installation paying for itself in just under six years, installing solar panels truly is an investment for the future value of your property.
In New South Wales, the cost of a solar system varies, but a typical 3kW solar panel system will cost around $4300 after deducting the rebate of $1665 provided by the Australian government.
For more information about solar panel installations in New South Wales contact Aztech Solar
Are you interested in investing in solar power for your property but are unsure whether you are making a good choice? For more information or to arrange a free, no obligation consultation with our solar panel installers in New South Wales, simply contact us on 02 4925 7718, email us at firstname.lastname@example.org, or click here to request a free onsite quote, and one of our technicians will get in touch with you soon to discuss your options.