Solar installations can certainly increase the value of your property, and this is backed and proven by several studies and reports. If you are planning to purchase a solar system for your home, the conclusions of these studies can give you the confidence that you are making a smart investment.
Ever Wondered What Kind of Value is actually added into Your Home if You go Solar?
The following are significant benefits resulting in the increased value of your home due to solar installations:
- Solar panels save you more money, and as soon as you reach your break-even point in your investment, the power that you pay for is free there-after. Extra cash that’s saved can actually go towards other expenses like traveling, retirement funds, wining, dining, education, adventure and more.
- If your home has solar panels, it will not just obtain improved look and appeal but can also contribute to having a cleaner environment. Solar panels don’t actually emit CO2 while converting sunlight to electricity. The CO2, a particular greenhouse gas is a known contributor to unwanted global warming.
- Solar panels require minimal maintenance and little upkeep. These are capable of supplying enough power to many electrically-powered devices and can also provide unlimited energy for years. Aside from all the benefits mentioned, solar panels indeed add value to homes. Nevertheless, the value added still depends on specific factors unique to your home.
Solar for New Jersey Homes
There are lots of solar panels being installed in many homes in NJ. Every 90 seconds a solar installation is starting somewhere in the USA. With 1.6 million residential solar installations across the USA, and with over 90,000 solar installations in NJ homes, many individuals are questioning what could happen when they move. For homeowners planning to sell their NJ homes, it pays to be well educated on your solar installation and be able to explain the details to agents and prospective buyers.
Ways to Value Solar for New Jersey Homes
There are actually 3 ways to value solar for New Jersey homes such as the income approach, the cost approach, and the comparable sale approach.
The income approach determines the savings of the solar system by breaking down the net savings of the system after considering payments to a Solar PPA, Solar Lease, or Solar Loan company.
The cost approach goes by determining what the value of the system might be based on updated components even though system depreciates.
Comparable Sale Approach
The comparable approach simple takes averages of nearby comparable with solar.
The income approach is highly recommended as there are a solar purchase, solar loan and solar PPA options out there that make the value owed on systems grey, therefore, it would be best to go with total savings.