The impact a home improvement project will have on the resale value of your home over the next year or decade will determine whether it is worthwhile. A kitchen or bathroom renovation is considered the smartest way to boost your home resale value. Nonetheless, with the rising energy costs installing solar panels and making your home energy sufficient will boost the value of property significantly. A solar panel home improvement project has been found to increase the property resale value by over 20%. Potential home buyers are willing to pay more for a home with a solar PV system.
It is important to understand to understand the cost of installing a solar PV system compared to other home renovations to determine whether it is a worthwhile investment. After subtracting the tax rebates and incentives a 6-kW solar PV system will cost about $15,000. At the time of resale, the homeowner will be able to recoup much more than the cost of installation. The same cannot be said about most home improvement projects. You will recover about 80% of the total cost of a minor kitchen remodel and a little over 60% for a bathroom remodel. It is only a solar panel home improvement project that provides homeowners with over 50% more than the total cost of installation.
Why are potential home buyers willing to pay more for a home with solar PV systems?
The energy costs have always been on the rise and potential homeowners are looking for ways to bring down or eliminate their energy costs by moving into a home powered by solar panels. According to Powertec Solar, solar panels will generate free and clean electricity for the next 25 years and more saving you from huge energy bills. What’s more, solar energy is clean and does not rely on fossil fuels that are a major pollutant.
As a homeowner who is mostly interested in boosting the home resale value, you need to know that solar will also help you make huge monthly savings on your energy bills. The money you save from reduced electricity bills can be invested in other valuable home improvements such as replacing kitchen countertops or buying stocks.
Paying for a solar installing upfront can be challenging due to the huge cost. However, there are numerous solar financing options available and they attract low-interest rates with no down payment. Solar panels can be installed quickly compared to other home improvements that could take months. This means you can start making savings and enjoy cheaper energy as soon as the solar PV system is up and running.
In order to get the most out of your solar PV system installation, you need to consider several quotes from multiple reputable contractors. Determine how much savings you will make from your solar installation and compare with the available quotes to settle on the best offer.