Increase your resale value with solar! USST client case study

House Re-Sale Value Increase With Solar

As I’ve detailed before in previous editions of The Ultimate Solar Guide, a USST solar installation will increase your home’s value and allow you to achieve a greater list price when it comes time to sell. My previous articles cite studies conducted by external institutions and point to national averages and data. This is all great information on a broad scale for sure – but i really wanted to get all up in there with some case studies.. Sooo recently, i asked my Project Coordinator Dan Cooper and his team to conduct a thorough review of property resale data from Unconquered Sun clientele. These are real clients who have sold their homes with a USST solar system on their roof. I believe this exercise has produced some invaluable insight, and i am excited to share our findings with you!

I founded Unconquered Sun Solar Technologies Inc. over 10 years ago. So, as you can imagine, within that time frame some of our clients have sold their solar powered homes and moved on to new properties. In fact, Keeping Current Matters estimates the average family moves every 9 years!. USST clientele activity within the housing market has gifted us with a great opportunity to review some real time data and measure exactly how much impact solar has had on the resale value of these homes. *For the purposes of this case study we withheld specific names and addresses with respect to the anonymity of USST clientele.

Solar homes used in this study

For each of the solar homes identified below we will illustrate what the property looked like before and after solar. We will share with you the original purchase price of each property, and more importantly the price these homeowners were able to garner post installation of an Unconquered Sun solar system!

We will also break-down the overall property value increase combining average annual appreciation. For each of these homes we have identified and included comparable nearby properties. In this manner we can objectionably highlight the impact a solar installation has on home values across a variety of housing situations.

Solar home #1

Client 1 Re-Sale Value Comparison

This property is located in a suburban neighborhood with many similiar homes. As you can see it has both an in-ground pool and a 2-car garage.

This client originally purchased their house in September of 2011 for $282,224. After adding an Unconquered Sun 10 kW solar system they were able to sell it in August of 2018 for $525,000. This is an increase of 86% over 7 years.

We were able to find 3 comparable properties that sold near-by close to the date of the re-sale:

  • Comparable 1 – sold for $418,000 in September of 2018
  • Comparable 2 – sold for $281,500 in August of 2018
  • Comparable 3 – sold for $466,581 in July of 2018

The average selling price of these comparables is $388,693 which equates to $136,306 or (35.1%) less than our clients solar powered home. The USST solar powered home achieved a selling price 35.1% above the average comparable neighboring homes!

Solar home #2

Client 2 Re-Sale Value Comparison

This property is located in a small town. It has an above-ground pool.

This client originally purchased their house in July of 2007 for $82,500. After adding a 10kW USST solar system they were able to sell it in July of 2018 for $248,800. This equates to a property value increase of 202% over 11 years!

We were able to find 3 comparable properties that sold near-by close to the date of the re-sale:

  • Comparable 1 – sold for $232,000 in August of 2018
  • Comparable 2 – sold for $240,500 in August of 2018
  • Comparable 3 – sold for $248,800 in July of 2018

The average of these comparables is $240,433, which is $8,366 (3.5%) less then what our client was able to achieve with their USST solar-equipped home.

Solar home #3

Client 3 Re-Sale Value Comparison

This property is located in a small rural community with mostly farms adjacent and nearby. This is a small house but includes a large detached pole-barn that has been used as a garage and shop.

This client originally purchased their house in March of 2000 for $53,000. After adding a 10 kW solar system they were able to sell it in July of 2018 for $150,000. An overall increase of 183% over 18 years.

We were only able to find 2 comparable properties that sold near-by close to the date of the re-sale:

  • Comparable 1 – sold for $170,000 in August of 2018, but included a much larger lot
  • Comparable 2 – sold for $130,500 in July of 2018

The average of these comparables is $150,000 which matches the price our client’s solar powered home was able to achieve, however it must be said that one of the comparables was a larger farm-style lot and was included due to the limited availability of statistics in this specific area.

Solar home #4

Client 4 Re-Sale Value Comparison

This property is located in a large suburban neighborhood with many similiar homes. As is typical for the neighborhood it has a 2-car garage.

This client originally purchased their house in June of 2013 for $290,000. After adding a 10 kW solar system they were able to sell it in July of 2017 for $471,000. This is an increase of 62% over just 4 years.

We were able to find 3 comparable properties that sold near-by close to the date of the re-sale:

  • Comparable 1 – sold for $289,900 in July of 2018
  • Comparable 2 – sold for $330,000 in June of 2018
  • Comparable 3 – sold for $378,500 in August of 2018

The average selling price of these comparables is $289,900 which equates to $138,200 or (41.5%) less than our clients solar powered home. In this case the USST solar powered home achieved a selling price 41.5% above the average comparable neighboring homes!

Solar home #5

Client 5 Re-Sale Value Comparison

This property is located outside a small rural community with mostly farms near-by. It is a decent size house on a large lot and includes a large detached pole-barn that has been used as a garage as well as smaller out-buildings and an above-ground pool.

This client originally purchased their house in January of 1991 for $76,500. After adding a 10 kW solar system they were able to sell it in May of 2018 for $339,000. This is an increase of 343% over 27 years.

We were able to locate two comparable properties that sold near-by and close to the date of the re-sale:

  • Comparable 1 – sold for $259,996 in January of 2018
  • Comparable 2 – sold for $363,398 in march of 2018, but was a larger farm-style property

The average of these comparables is $311,697, which is $27,303 (8.8%) less than our solar client was able to accomplish with their solar-equipped property.

Solar home #6

Client 6 Re-Sale Value Comparison

This property is located in a small rural community which includes many different sizes and home styles. The property’s most noticeable feature is the large detached garage which is where the solar system was installed.

This client originally purchased their house in February of 2003 for $205,000. After adding a 10 kW solar system they were able to sell it in June of 2017 for $300,000. This is an increase of 46% over 14 years.

We were able to find 3 comparable properties that sold near-by that were close to the date of the re-sale:

  • Comparable 1 – sold for $245,000 in June of 2017
  • Comparable 2 – sold for $219,900 in May of 2017
  • Comparable 3 – sold for $140,000 in May of 2017

The average of these comparables is $196,666, which is $103,333 (52.5%) less then what our client was able to achieve with their solar-equipped house.

The average selling price of these comparables is $196,666 which equates to $103,333 or (52.5%) less than our clients solar powered home. In this case the USST solar powered home achieved a selling price 52.5% higher than the average comparable neighboring homes!

Solar home #7

Client 7 Re-Sale Value Comparison

This property is located in a dense city neighborhood surrounded by many older homes.

This client originally purchased their house in January of 1997 for $132,000. After adding a 10 kW solar system they were able to sell it in June of 2018 for $269,900. This is an increase of 119% over 21 years.

We were able to find 3 comparable properties that sold nearby and close to the date of the re-sale:

  • Comparable 1 – sold for $251,000 in July of 2018
  • Comparable 2 – sold for $219,900 in May of 2018
  • Comparable 3 – sold for $218,000 in May of 2018

The average of these comparables is $229,633, which is $40,266 (17.5%) less then what our client was able to achieve with their solar-equipped house.

The average selling price of these comparables is $229,633 which equates to $40,266 or (17.5%) less than our clients solar powered home. In this case the USST solar powered home achieved a selling price 17.5% above the average comparable neighboring homes!

Solar home #8

This property is located in a small rural community surrounded by many mixed-use lots. As you can see it has a house and multiple out-buildings including two large commercial-type units, one of which has the solar system installed on it.

Unfortunately records only go back to 1978, so we are not able to compare apples-to-apples. What we can say that is it was sold in December of 2013 shortly after the solar system was installed for $450,000. Since we have no data to compare against, we won’t be including this property in our Appreciation Analysis.

We were able to find 3 comparable properties that sold near-by close to the date of the re-sale:

  • Comparable 1 – sold for $182,000 in January of 2014
  • Comparable 2 – sold for $242,000 in October of 2013
  • Comparable 3 – sold for $151,000 in April of 2014

The average of these comparables is $191,666, which is $258,333 (134.8%) less then what our client was able to achieve with their solar-equipped lot!

Solar home #9

This property is located in a large suburban neighborhood with many similar adjacent homes. It is a very new home in a modern development.

This client originally purchased the land for $41,900 in February of 2012. They sold the lot with a house and a 10 kW solar system for $432,000 in May of 2018. This is obviously a huge increase, but we can’t fairly include it in our Appreciation Analysis since the building of the house adds such a large value.

However, we were able to find 3 comparable properties that sold near-by close to the date of the re-sale:

  • Comparable 1 – sold for $462,000 in April of 2018
  • Comparable 2 – sold for $430,000 in June of 2018
  • Comparable 3 – sold for $415,000 in May of 2018

The average of these comparables is $435,666, which is $3,666 (0.8%) more then what our client was able to achieve with their solar-equipped house. This simply goes to show that there are no guarantees.. One must work with an educated realtor, who is capable of distilling all the benefits a solar powered has to offer. One capable of relaying this information on to prospective home buyers!

The skinny on the value solar brings

See this information distilled into chart form below… Fyi, note the dollar amount increase and the percentage increase!

ClientRe-Sale Price With SolarComparable Average Selling Price Without SolarDifference Above ComparableIncrease % With Solar
Average$78,71532.5%
Client 1$525,000$388,693$136,30635.1%
Client 2$248,800$240,433$8,3663.5%
Client 3$150,000$150,000$00%
Client 4$471,000$332,800$138,20041.5%
Client 5$339,000$311,697$27,3038.8%
Client 6$300,000$196,666$103,33352.5%
Client 7$269,900$229,633$40,26617.5%
Client 8$450,000$191,666$258,333134.8%
Client 9$432,000$435,666-$3,666-0.8%

As you can see, houses with solar are selling for 32.5% more on average than their comparable neighborhood properties!

Comparable Analysis

Appreciation analysis

Property naturally appreciates in value over time. Solar cannot claim all of the credit! See below an analysis of the 7 properties that had valid original purchase and resell numbers to compare against the national average.

*Note for the purposes of this exercise we have excluded solar homes 8 & 9 due to a lack of accurate data from the 1970’s and the dynamic price range of an empty lot vs a solar home.

According to this Huffington Post article, between 2006 and 2019 the average home in Canada increased in value 6.3% per year. As you can see from the table below our clients property value increased by an average of 11.2% per year, far above the national average!

ClientRe-Sale Price With SolarOriginal Purchase Price Without SolarIncrease With Solar $Increase With Solar %Increase Per Year %
Average$329,100$158,889$170,210148.8%11.2%
Client 1$525,000$282,224$242,77686%12.3%
Client 2$248,800$82,500$166,300201.6%18.3%
Client 3$150,000$53,000$97,000183%10.2%
Client 4$471,000$290,000$181,00062.4%15.6%
Client 5$339,000$76,500$262,500343.1%12.7%
Client 6$300,000$205,000$95,00046.3%3.3%
Client 7$269,900$123,000$146,900119.4%5.7%

The most important takeaway from chart above is the Average Annual Increase of 11.2%. This is the average amount the 7 solar homes increased by in value each year since the owner who installed solar purchased the property. As previously mentioned the Canadian average over the past 13 years has been 6.3%. USST solar homes are close to doubling this average!

While there is no guarantee that solar will do the same for you – much depends on the property in question, and market conditions at the time of buying or selling.. Our data certainly indicates that solar homes easily outpace the national average when it comes to property value, despite having a wide range of conditions and locations.

Appreciation Analysis

The takeaway

  • Solar Homes command a higher price at time of selling than their non-solar competitors. An average of 32.5% more!
  • Solar Homes increase in value faster @ 11.2% per year than do their non-solar competitors – (national average of 6.3%)
Summary Graph

Summin up the value of solar

Installing solar panels on your home is one of the safest and most intelligent investments you can make.

You, and whomever may purchase your house in the future will enjoy electricity bill savings over a lifetime from your solar PV system. As utility rates increase, those electricity bill savings grow increasingly large with time. Even if you never sell your home, your installation fully pays for itself many times over.

If you do decide to sell, you will command a higher premium, which again, more than covers the upfront cost of the solar installation.

Interested in a solar installation for your home?

Ok,

**Reminder to self** Insert a shameless plug for the company here! Sorry if this next part sounds a little promotional but it is accurate.. At Unconquered Sun Solar Technologies Inc. our qualified team of professionals are standing by to advise you with a FREE no obligation solar analysis design and quote for your home or business. A USST professional will recommend a solar panel system which is tailored to your home or business, advise you on the size, any costs, required documentation and approvals.

Also I believe the quality of design, system components and installation here at Unconquered Sun to be absolutely beyond compare. And our 1.9% financing available to all USST clientele is without parallel in the solar industry!

So, If you are ready to Go Solar, then let’s get started!

Click below,

  1. Request a FREE solar analysis, design and quote
  2. Pre approve yourself for USST’s exclusive No Money Down, 1.9% un secured financing option!

Well, this concludes the Increase your resale value with solar! USST client case study edition of the Ultimate Solar Guide from Unconquered Sun!

Hopefully this article will serve as a valuable reference on your solar journey. I truly hope you have found the content helpful. Please feel free to respond with any comments or suggestions you may have!

 More to come!!


Sean Moore , FounderUnconquered Sun Solar Technologies Inc