Going Solar Adds Value and "Green Cachet" to Your Home
A research team Berkeley Labs and Sandia Labs found that home buyers consistently have been willing to pay more for homes with host-owned solar photovoltaic (PV) energy systems —averaging about $4 per watt of PV installed—across various states, housing and PV markets, and home types. This equates to a premium of about $15,000 for a typical PV system.
Included in the survey were 22,000 homes 4,000 of which contained a Solar PV system across eight states.
Findings include the existence of a PV “green cachet”, that is, home buyers paying a certain amount for a PV system of any size and incrementally more as system size increases.
“As PV systems become more and more common on U.S. homes, it will be increasingly important to value them accurately, using a variety of methods,” says co-author Sandra Adomatis, an appraiser who helped develop the Appraisal Institute’s Green Addendum and who has written and spoken extensively on valuing green features. She noted, “Our findings should provide greater confidence that PV adds a quantifiable premium to a wide variety of homes in California and beyond.”