What About My Home Value…What will happen if I install Solar Power?
In a key study sponsored by the U.S. Department of Energy, Berkley Lab in conjunction with a host of other research organizations determined that Property values increase dramatically as a function of the amount for solar power installed.
Not only does the value increase but the “Sell-ability”, in this context meaning “Curb Appeal”, goes way up. Homes with solar can sell up to twice as fast as homes without it. Bottom line: “Going Solar will increase the value and appeal of your home while reducing the time it takes to move if the time comes”.
The value increase for the North Florida area is approximately $3,780 for every 1 kW (1,000 Watts) installed. So, if you need a 10kW system your home could be valued at an additional $37,800. In some rare cases that can be more than what the customer paid for the system.
A copy of the study titled “Appraising into the Sun” can be found at this link:
- Hoen, Ben and Wiser, Ryan, Principal Authors (2015). “Selling Into The Sun: Price Premium Analysis of a Multi-State Dataset of Solar Homes,” Lawrence Berkeley National Laboratory, 1 Cyclotron Road, MS 90R4000, Berkeley, CA 94720. January 23, 2015. Prepared for the Office of Energy Efficiency and Renewable Energy (Solar Energy Technologies Office), U.S. Department of Energy.
- While this common sense conclusion is not explicitly stated in the instructions for IRS Form 5695, the form used to claim the solar tax credit, it is consistent with IRS policy against “double dipping” and can be inferred from the following cautionary note in the Form 5695 instructions: “If you received a subsidy from a public utility for the purchase or installation of an energy conservation product and that subsidy was not included in your gross income, you must reduce your cost for the product by the amount of that subsidy before you figure your credit. This rule also applies if a third party (such as a contractor) receives the subsidy on your behalf (emphasis added).”
- See “Energy Incentives for Individuals: Questions and Answers” on the IRS website. Updated June 2016.