Do Solar Panels Really Increase the Value of a House in Sydney?
Do prospective buyers prefer using solar power systems as an option to refine their property search results? Can a solar system prove to be a selling point for homeowners? You may be here to get research-backed answers for these and similar questions.
A Sureshot Way to Increase Property Value
Research conducted by Origin Energy demonstrates how panels have turned into a selling point.
Homeowners consider adding a swimming pool or remodeling the kitchen or bathroom to increase property value. However, every buyer may not find it attractive. On the other hand, harnessing solar power is something that almost all Australians appreciate. A vast majority of buyers prefer houses with rooftop solar panels.
If your home’s location ensures maximum exposure to sunlight, the system can offer high energy output. Result? Your house becomes more energy efficient. You get another good point to add to your property listing.
Do Renters Prefer Properties With Solar Panels?
A recently published study from The Australian Institute looks into exciting trends.
Australian renters do show more interest in homes with solar power systems.
What about renters living in properties that do not have such panels? Most people who were a part of the study said they would welcome it if landlords installed the same.
Rental property owners and companies can undoubtedly benefit due to solar panels. They can expect renters to pay as much as $19 more each week in the form of rent. The investment should ideally recover within five years from installation.
The Upfront Cost for Solar Panels
No doubt, the upfront cost is something that forces homeowners to think twice.
You would certainly appreciate a quick calculation to know the number of days required to break even. But, again, the math depends on your monthly energy bills and the house’s current market value.
Remember, the cost of panels and installation relies on the size and types of boards. It can be roughly between $2,500 – 13,000.
If you spend $2,000 on an energy bill annually, you would require three years to break even after spending $6,000 on the solar power system. However, if spending $6,000 increases your house’s value immediately, even by $10,000, it is a fair deal, isn’t it?
Depending on your suburb’s location and electricity distributor, you might be eligible to get support from federal or state governments. Therefore, before deciding on installation, you should check the incentives and rebates you are eligible to receive.
The Impact on Property Value
Several studies suggest properties with rooftop solar power systems can sell 20 percent quicker compared to homes without panels.
As per the numbers pointed out in the Real Estate Survey of Australia, roughly 85 percent of participants agreed that panels increase any given house’s market value. So buyers do give preference to energy-efficient homes.
After installing panels, you can expect an increase of 3 to 4 percent in the value of the real estate. To be precise, case studies suggest homeowners can get $29,000 more after installing a 5kw system.
Reducing Electrical Expenses and Environmental Impact
Aussies are well-aware when it comes to the impact of coal-mining crucial for coal-fired power stations. So, everyone wants to play their part by reducing dependence on fossils.
Solar panels are more than just a feature that helps your house stand out in the market. The system will allow you and future homeowners to reduce energy costs and lower the environmental impact.
Let a licensed electrician from Charlie Sparks inspect your property and analyze energy consumption patterns. Then, we will help you choose between grid or off-grid home solar systems. The decision is crucial because you may need an inverter and batteries to store the additional power generated by an off-grid system.