Do Solar Panels Increase Home Value When Selling? What Homeowners Should Know

This is a question I hear often—and it’s an important one to consider, especially if you’re thinking about selling your home in the near future. The first thing to understand is that solar is typically a long-term investment. It’s not designed to create an immediate jump in your home’s value. For example, if you purchase a $50,000 solar system, you shouldn’t expect your home’s value to instantly increase by that same amount.

That said, buyers do appreciate solar. Many homeowners in our area already plan to install solar themselves. However, I’ve found there’s a wide range of quality and reliability within the solar industry. It’s not uncommon to come across systems that underperform or contracts that have been passed between multiple service providers. Because of this, buyers who are truly interested in solar often prefer to research and design their own system with a company they trust.

It’s also important to remember that a buyer’s decision is driven first and foremost by the home itself. If they’re choosing between two similar properties—one with solar and one without—they’ll typically select the home they like best, knowing solar can always be added later. When solar panels are fully paid off and there’s no loan for the buyer to assume, they’re viewed as a positive bonus feature. However, they’re not usually considered a “must-have.” If a buyer can purchase a comparable home without solar at a lower price, many will choose to keep their overall costs—like mortgage payments and property taxes—lower rather than pay a premium for existing panels.

Ultimately, solar can enhance your home’s appeal, but it’s the overall condition, presentation, and pricing strategy that will have the greatest impact on your final sale price.

Kari Carson

DRE #01903828

(818) 424-5537

kari@karicarson.com

Neighborhoods Served: La Canada Flintridge, La Crescenta, Montrose, Glendale, Pasadena, Eagle Rock, Highland Park, Greater LA area