How Solar Power Boosts Home Value and Hastens Sales in Australia
Australia is known for its abundant sunshine and is ahead of the rest of the world with harnessing the power of the sun (we have more household solar installed per capita than any other country).
Having solar energy installed on a property has become an increasingly powerful asset in the real estate market. This is no doubt because homebuyers are looking for properties that are cost-effective to run, and those that are equipped with solar panels tick this box. In this article, we’ll explore how solar power on a home in Australia can significantly increase the value of a property and help it sell faster than a home without solar.
According to a survey of 1,000 people by Origin Energy in 2018, 77% of Australians think that solar panels add value to a property, with 57% responding that they would pay up to $10,000 more for a home with solar energy installed. In addition, 55% of renters who responded to the survey stated that they would pay at least $10 more a week for a property with solar panels.
Lower Energy Bills
One of the most compelling reasons why solar power is a game-changer for Australian homeowners is the substantial reduction in energy bills. By using their own free source of power, homeowners receive much lower quarterly electricity bills. This makes solar powered homes much more attractive to potential buyers than those homes without solar panels installed.
Reduced Energy Reliance
By having solar installed, homeowners to use their own free energy during daylight hours. Any excess energy that’s generated can either be stored in batteries or fed back into the grid, dramatically reducing the reliance on conventional energy sources.
Return on Investment (ROI)
Installing solar panels is an investment that pays for itself very quickly (typically 3 to 4 years). Not only do homeowners benefit from reduced energy costs while living in the property, but they can also recoup a significant portion of their initial investment when selling. Solar panels typically have an ROI of around 20%-25%, making them a smart investment for any household with suitable roof space.
Environmental Considerations
Australia is making a concerted effort to reduce its carbon footprint and combat climate change. Environmentally-conscious buyers are actively seeking homes that align with their values. Solar panels not only reduce greenhouse gas emissions but also contribute to a more sustainable future. A home with solar power is seen as a responsible choice, attracting buyers who want to make a positive impact on the environment.
Competitive Advantage
In a competitive real estate market, having solar panels can give a property a distinct advantage and potentially a higher selling price. Solar-equipped homes typically sell faster than those without solar installed.
Enhanced Property Value
Studies have shown that homes with solar panels tend to command a premium price in the market to similar homes without solar. The exact increase in value can vary depending on factors like location, system size and local demand.
You’ll find some other benefits for installing solar here.
Solar power is becoming increasingly important in the Australian real estate market. Not only does it reduce energy bills, increase energy efficiency, and offer a strong return on investment, but it also aligns with the growing demand for environmentally-responsible homes. As Australia continues to transition towards a cleaner, more sustainable energy future, homes equipped with solar panels are becoming highly sought after by savvy homebuyers.
If you’re thinking about selling your home in Australia, investing in solar power could be one of the smartest decisions you make. Not only will it increase the value of your home and help it sell faster, but it will also contribute to a brighter and more sustainable future for all of us.
