Do Solar Panels Increase Home Value?

Beyond the bill savings, solar can affect what your home is worth. The short version: owned systems usually add value; leased systems can complicate a sale.

Owned systems tend to add value

Research and appraisals have generally found that homes with owned solar sell for more than comparable homes without it, and often sell faster. Buyers value lower future electricity bills, and a paid-off system is a tangible upgrade.

The added value varies widely by market, system size, local electricity prices and how much life the system has left. It’s not a fixed number, so treat any single figure with caution.

Why buyers pay more

• Lower running costs — the new owner inherits reduced electricity bills.
• A modern, efficient home signal.
• Remaining warranty on panels (often 25+ years).

Leases and PPAs complicate things

If your panels are leased or on a PPA, you don’t own them, so they generally don’t add resale value — and the buyer must agree to take over the contract or you must buy it out before selling. This can slow a sale. See the ownership tradeoffs in solar financing options.

How to protect the value

• Keep documentation: system specs, warranties, permits, and production history.
• Own the system (cash or loan) if resale value matters to you.
• Maintain and monitor it so you can show it’s performing.

Bottom line

An owned solar system is usually both a savings play and a modest boost to home value and salability. A leased one is mainly about monthly savings, not resale. Decide based on how long you’ll stay — the framework is in is solar worth it.

Educational information, not an appraisal or financial advice. Local markets vary.