Will installing a solar power energy system in my home improve the property value for potential buyers? It is a fact, do the market research, USING SOLAR POWER RAISES THE VALUE OF ANY HOME.
The Shuffle To Make Improvements
Let's be honest, when you are thinking about selling your home you start looking for ways to spruce it up for potential buyers.
Your looking at home improvement magazines, talking to a Realtor, (big mistake), looking for workshops at the local builders supply. All for the purpose of making substantive upgrades to make the house more appealing to buyers. This is all part of YOUR marketing strategy. Right!
Everyone wants to make a quick sale when it comes to a large item like your home. Instead of excessive painting, building a deck out back and generally doing all the projects you should have done over the years within the span of one month, STOP! Those things cost $ 1,000.00s of dollars. And most buyers do not appreciate it anyway.
Selling Point Number 1
The new owners will be reducing their carbon footprint and contributing to a cleaner America.
While helping the environment does not add up to much financial gain in a real estate contract, giving the buyer this peace of mind coupled with federal and local tax credits and rebate incentives certainly would ensure them of increased equity for years to come.
Solar power places no demand on the utility companies to strip the earth of coal to burn and create steam to fire up turbines which produce electricity. And unlike nuclear power that produces tons of toxic waste, there is no poison emissions form using solar power.
Hydrogen, Geothermal, Solar from sun and wind are the only energy resources that can make this claim. As a seller you will be offering a cutting edge amenity today by installing even a small solar harnessing system in your home. What a politically correct selling point.
Most people with walking around sense do not want to harm the ecological ecological balance between us and the environment. It would be the equivalent of sleeping on the same set of bed linens your whole life and expecting to feel refreshed every morning. We protect the environment and it protects us.
Everyone must do their part, it's important now and into the future. An environmentally friendly attitude will inadvertently draw like minded buyers out of the woodwork.
Selling Point Number 2
You can not expect to immediately make a profit on a new installation of a solar water heater or some PV panels on the roof, but you will get back your investment plus the sale of your home which is all you wanted anyway.
This is especially true in states where extra incentives are being offered for homeowners going the solar energy route.
Try not to become too overly optimistic about the true increase in property value. A rule of thumb from existing data surfacing over using home based solar energy is that for every $ 1.00 spent you can reasonably see a $ 100.00 ROI. Not bad when you think about it. Of course like all formulas it is not exponential and would experience a leveling off at some point.
So an average increase of between 12% -16% would not be out of the question. In the current real estate market, most areas are only seeing about 3% per year instead of the usual 8% growth factor. Times sure have changed. That is why we must do things differently if we want to get better and different results.
This is a really great selling point in a down economy. Something a good Realtor should use to your advantage. And even better if you are doing the FSBO route. Because you get to keep more of the profits from the investment of using solar.
That seemingly small percentage spread can translate into a large down payment on the next home you purchase. Hopefully it will be one with current solar equipment as well.
Selling Point Number 3
The selling point that increases resell value is that the new owners will walk right in on a home that has reduced overhead cost on heating, cooling and appliances.
No doubt, the money you spend on solar power devices and equipment will return to you once the home is on the market. This will serve the purpose of labeling your home as HOT! property and push it to the top of the MLS list.
Make sure the Realtor you choose understands the value that a solar power harnessing system brings to a home and the true marketing tools you are giving them. A smart Realtor will capitalize on your decision to invest in solar energy and market this in the list of extras. If they do not realize the selling potential of solar energy, then get a different agent.