How To Adjust For Solar Panels Appraisal

It s important for appraisers and real estate agents to know about solar and green energy so they can properly appraise and market homes.

How to adjust for solar panels appraisal.

Solar panels and green homes are becoming increasingly more common in the marketplace. When appraising a home with owned solar panels or other energy efficient features there are several additional. The survey included 4 000 homes with solar power systems and discovered that buyers were willing to pay around 15 000 more for a house that included an average size solar power system. Now while this report well documents the procedures used to arrive at the conclusions appraisers need to be very cautious about applying the numbers in the report to your local current assignment.

Department of energy homeowners investment in solar might be worth it. The skilled appraiser can assist the homeowner in understanding the size of system they need to produce the energy they use. Solar pv systems can also be designed to back feed the utility electric power grid if more power is produced by the installed system than the home consumes in normal usage. If you ve seen a rise in solar panels in your area consider taking the first step toward competency in the valuation of this energy efficient feature of real estate.

According to a study conducted by the u s. In areas where solar panels are prevalent however appraisers have a head start. If the seller wants to be reimbursed for some of the cost of the panels in the value of the property some appraisers have opined that they would likely consider the following factors. Understanding the value of renewable energy and your home appraisal.

While owning a solar system may add value to your home it would not be wise to expect a dollar for dollar increase based on the cost of the system project. Comments by the appraiser that a leased solar system is installed on the premises indicates to the reader of the report that the appraiser considers the solar panels as adding value to the subject property. Solar pv systems provide financial benefits and are financially feasible in some areas. Determining the value of solar panels is an issue that has many appraisers asking questions.

Although adomatis said the real estate sector has recently been looped in to green and solar networking events there s still much work to be done to get everyone on the same page and ensure homeowners are getting the most value for their systems.