Solar Panel Kits and more...

Take a look at this picture, and then tell me whether you’d buy a home with solar panels:

Solar panels are becoming a hot addition to real estate

Yes, I agree.  Solar panels are not necessarily the most attractive feature of this otherwise beautiful home.  However, did you know that homes with solar panels sell faster than those without?  That’s right, according to a 2010 study by  NREL (National Renewable Energy Lab), homes with solar panels are gaining ground in the real estate market.  Not only do solar powered homes sell faster, but they get nearly 20% more in asking price, as well.

I’ll bet those solar panels are looking a lot more attractive now, aren’t they?

The value solar panels add to a home are worth the added cost.  Experts agree that for every $1 you save in annual electricity bills, your house is worth $20 more.  So, if you shave off $500 a year by adding a home solar panel system, your home could be worth $10,000 more.  All of a sudden the $20,000 investment in solar doesn’t seem like as much of a burden.

Homes with solar panels are becoming more visible as well as more valuable

But getting back to the marketability of homes with solar panels, the trend is definitely on the rise.  Three reasons come to mind: (1) the desire for energy security; (2) dropping solar costs and generous government incentives/rebates; and (3) increasing visibility of rooftop solar panels as more property owners opt to install them.  With respect to this third factor, clear trends and concentrations of residential solar installations have developed in California and New Jersey, both of which offer strong solar incentives.

But perhaps one of the most compelling reasons that homes with solar panels are gaining ground in the real estate market is that the idea of low or no monthly electricity bills help these properties stand out in the down economy among a glut of housing inventory. The average U.S. homeowner spends about $1200 on grid power per year (about $100 a month), so when a real estate agent mentions a home has an electrical bill of $2.20 per month, that becomes a selling point on par with outdoor fireplaces, hot tubs, and low taxes.

Look for more solar real estate trends to develop in 2011.  If you’re thinking about this renewable energy resource, now’s the time to go with solar power for your home.