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How Much Do You Think Solar Panels Add To Your Value?

By Elizabeth Weintraub Sacramento Broker

Real Estate Agent with Elizabeth Anne Weintraub, Broker DRE #00697006

January 23, 2016 05:12 AM

If you're like me, you'll probably be shocked. I keep thinking about installing solar panels on my house. At one point we were told by SMUD that we didn't qualify because one of our trees provided shade over 10% of our roof, but that tree has since long crashed into the house during a winter storm in Land Park, and we now have plenty of roof exposed to sunlight.

It's a 50-year roof. It looks so good that even though it's almost 20 years old, people sometimes stop by my house and ask for the name of the contractor, thinking it's a brand new roof. But it seems a shame to cut into the roof. I know what sometimes happens when the integrity of a roof is disturbed. You can read more in my personal blog today at this link: Solar Panels Might Not Add Value to Your Sacramento Home.

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Tammy Lankford,

Lane Realty Eatonton, GA Lake Sinclair, Milledgeville, 706-485-9668 - Eatonton, GA

Broker GA Lake Sinclair/Eatonton/Milledgeville

I'd love to have some, but I don't want them on the roof. I want them over yonder....my property, but not visible from the house. :)

Jan 23, 2016 07:47 AM

Chris Ann Cleland

Gainesville, VA

Elizabeth Weintraub Sacramento Broker

I'd like my solar panels down in the lower south 40, too, but here in Sacramento, our lots are not that big. You're lucky to have a home on .15 acres.

Jan 23, 2016 09:43 AM

Kathleen Daniels, Probate & Trust Specialist

KD Realty - 408.972.1822 - San Jose, CA

Probate Real Estate Services

Elizabeth, I do not believe that solar panels do add value. The big trend here are leased solar panels that can make a home less desirable.

Jan 23, 2016 07:57 AM

Chris Ann Cleland

Gainesville, VA

Elizabeth Weintraub Sacramento Broker

We run into the same thing with leased solar panels. They seem to sort of defeat the purpose when you're paying almost as much for the panels as you're saving and, when all is said and done, they aren't yours.

Jan 23, 2016 09:44 AM

Chris Ann Cleland

Long and Foster Real Estate - Gainesville, VA

Associate Broker, Bristow, VA

In our area they would be extremely rare. I have actually never seen a home on the market with solar panels. That would mean there is no market extraction for a home that has sold with them vs. without them. Kind of like the home I intereviewed to list that had the commercial grade pool slide. Looked like an amusement park. There is no comp for that.

Jan 23, 2016 08:48 AM

Elizabeth Weintraub Sacramento Broker

Well, here we have homes with and without. And, like Kathleen pointed out, some are leased.

Jan 23, 2016 09:44 AM

Mark Don McInnes, Sandpoint-Idaho

Sandpoint Realty LLC - Sandpoint, ID

North Idaho Real Estate - 208-255.6227

Interesting information. Yes I would think panels would add to the value of a home. Again...interesting. Mark

Jan 23, 2016 09:33 AM

Hella M. Rothwell, Broker/Realtor®

Carmel by the Sea, CA

Rothwell Realty Inc. CA#01968433 Carmel-by-the-Sea

A buyer of mine was looking at a home with solar panels that had cost about $60,000 to install. The seller wanted to recoup that money; however, prices have come down considerably for solar panels and the buyer didn't agree.

Jan 23, 2016 11:21 AM

James Dray

Fathom Realty - Bentonville, AR

Good morning Elizabeth. Well if I were to stay in a home for an extended period of time the savings on the electric would pay for the panels. However, at my age it is not going to happen

Jan 23, 2016 08:01 PM

Joe Petrowsky

Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709 - Manchester, CT

Your Mortgage Consultant for Life

Good morning Elizabeth. Sure solar has some benefits, but I have run into a number of challenges when it comes to mortgages, especially when the panels are leased.

Jan 23, 2016 08:03 PM

Gabe Sanders

Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL

Stuart Florida Real Estate

Hi Elizabeth. The state of the solar energy industry is changing quickly and I think it is improving. I just saw a home with solar shingles (structural and energy producing). This was a new construction home and the cost of these shingles were about 25% higher than the equivalent flat tile roof. I thought this was pretty cool.

Jan 23, 2016 08:12 PM

Elizabeth Weintraub Sacramento Broker

I think solar shingles are very interesting, Gabe. Definitely better than destroying the integrity of your roof. Perhaps it will catch on in California!!

Jan 24, 2016 09:07 AM

Conrad Allen

Re/Max Professional Associates - Webster, MA

Webster, Ma, Realtor

Hi Elizabeth. In our area the increased value does not come close to the cost.

Jan 23, 2016 08:41 PM

Joan Cox

House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO

Denver Real Estate - Selling One Home at a Time

Elizabeth, we had an appraiser speak and he said they do not add value. Plus, the buyers have to qualify for the payment if the panels are leased.

Jan 23, 2016 11:04 PM

Troy Erickson AZ Realtor (602) 295-6807

HomeSmart - Chandler, AZ

Your Chandler, Ahwatukee, and East Valley Realtor

Elizabeth - Solar panels can be a real issue when it comes to selling a home. Not only do they most often not add any value, many are leased, and buyers from other parts of the country are very skeptical of their worth, and how they work.

Also, spending up to $30k to purchase solar panels, to save perhaps $2,500 to $3,000 a year means that a break even point will not arrive until 10 to 12 years. As a homeowner, make sure you plan to live in your current home for at least that amount of time, or the solar panels will never pay themselves off.

Jan 24, 2016 12:57 AM