Solar energy is the most cost efficient and clean source of energy today’s date. As the world is witnessing the cost of electricity breaking records by increasing with each passing day, more and more people decided to switch to solar in order to save money. The harmful effect of climate change and global warming also has a significant impact on the increasing number of solar power system installations. When it comes to selling a solar powered home, there are quite a few factors that the homeowners need to know. In this guide, everything you need to know when it comes to selling a home with solar power has been discussed.
In Australia, more than 2 million households have switched to solar which is great in terms of both financial and environmental sectors. We all know that solar panels come with a long lifespan of at least 25 years and the recent technology ensures a longer longevity than 25 years in many cases. However, people often sell off their property and move to a new home, area, country, and so on.
A lot of people sell off their properties after installing solar panels and it is almost impossible to remove and reinstall the solar panels on your new property every time you move. Thus, households with solar power system installations are sold with the solar panels. Selling a property with solar panels installed comes with quite a few benefits such as the property gets a higher selling price and is typically sold faster compared to non-solar households.
- Mention Details about Solar Power System in the listing
When it comes to selling a house with a solar power system, make sure that you list all the details about it while listing the house on the market for sale. In a residential property, a solar power system is an essential installation and it is essential to inform the potential buyers about the details of it.
When you install a solar power system for your home, the value of your property improves significantly compared to other non-solar households with the same features as yours. The mention of your solar power system in the listing will give buyers an idea why the resale value of your property is high and more people will show interest in purchasing your home.
- Sort all the Financing Issues
We all know that the cost of installing a solar power system is quite high. Many people pay the entire installation cost at once and own the solar power system installed on their property. However, there are several solar power system financing options such as solar loans and solar lease.
Due to the high upfront costs of solar power systems, many homeowners go for a solar loan or lease in the Australian solar market. If you have taken a solar loan and have paid it completely before listing your property for sale, then you own the solar power system. However, if you have not paid off the solar loan completely, you will have to pay the remaining amount of the loan when you sell off the house.
If you purchase the solar power system through a solar loan, then you get two options to choose from. You can either take advantage of the net metering by yourself or you can transfer it to the new homeowner. Even if you keep the net metering advantage to yourself, the new homeowner can still save money on the cost of electricity bills. However, transferring the net metering benefit to the new owners will allow you to receive a higher price on the selling price of the property.
If you have installed a solar power system through a solar lease, then you are paying a third party for using the solar energy generated by the system. As the system is on lease, you are not the owner of the solar power system so you cannot include the cost of the solar power system in the selling price of the house. If the new homeowner does not want to take the solar lease, then the responsibility will remain on the person who originally took the solar lease. Make sure that you properly read through the terms and conditions of solar lease before agreeing to one as the policy varies from one company to another.
- Collect all Necessary Documentation
If a buyer shows interest in purchasing a property with a solar power system installed, they would want to know the details about the system. This includes the size of the solar power system, the number of panels, the brand and efficiency of the solar panels and other solar components, warranty, and so on.
As a homeowner and the owner of the solar power system, you must be able to provide the buyer with all the necessary information about the solar power system including the amount of energy it generates. This will give the buyers a clear idea about how much the system generates and how much of their energy consumption will the system meet. If you are transferring the ownership of the solar power system, then you must provide them with all the documents such as the information and contract of the solar installer and the warranty papers as well.
Installation of a solar power system is worth the investment even if you are selling the property. According to the current real estate market, the demand for houses with installed solar power systems is higher compared to those that do not come with solar power systems. The tips mentioned in the guide above will help you to sell your solar powered home easily and without any hassle. Make sure that you have all the necessary documents of your solar power system and sell your property after clear discussion and proper paperwork.