Going Solar: How panels can impact the price of your home - Eyewitness News 3

Going Solar: How panels can impact the price of your home

(WFSB) - Adding solar panels to your home can save you money on your monthly electric bill, but realtors say it may cost you down the line.

The I-Team went and asked people if they would be more or less likely to buy a home with solar.

The responses:

“I would want to buy a house with the solar panels on it. Just because it saves money,” said Karen Gordon from Glastonbury.

“I certainly would be more inclined to buy a house with solar panels,” said Jim Lindner from Newington.

However, when you start asking follow-up questions, you learn there are caveats.

“Definitely would have to be owned. I wouldn’t want to lease,” said Lindner.

“Definitely how it looks and how it appears definitely will affect my opinion on purchasing,” said Gordon.

Those are the kind of answers Paula Fahy Ostop has been hearing too. She’s a realtor and team leader at William Raveis Real Estate. Fahy Ostop says the data is clear: solar installations are not increasing home values.

“You’re not going to see the benefit. Not in our market. Not today,” said Fahy Ostop.

Fahy Ostop pulled data from the multiple listing service or MLS, a database for realtors.

In 2023, 244 homes in Hartford county were marketed in the MLS as having solar. That’s 3 % of homes sold last year.

The average sales price of a home without solar was $480,530.

The average sales price of a home with solar was $432,104.

“We don’t have buyers in our market seeking homes with solar. If they see homes that have solar and it’s owned, that’s fine, but it’s not something that they are specifically looking for,” said Fahy Ostop.

She says there are two things that will make a buyer more open to solar.

First is if the panels are on the back of the home, so that they don’t impact curb appeal.

“There is an impact based on where the solar panels are on the home. You definitely see more of an impact if they’re at the front of the home,” said Fahy Ostop.

Fahy Ostop then says the biggest factor is who owns the panels.

“The first question we always ask when selling a house with solar panels is if they’re owned or leased because if they own the solar panels, that makes it much easier to market the property to potential buyers,” said Fahy Ostop.

If a buyer has to take over a solar lease, the lease has to be transferred before closing on the home.

That puts the buyer at potential risk.

“You’re essentially owning a portion of the home before you actually own the home. It’s unlikely that there would be a challenge that close to the closing date, but there are some things that we encourage people to review with their attorney just to make sure they’re not at any unnecessary risks,” said Fahy Ostop.

It’s all something to think about before you sign a contract. Fahy ostop says this could all change as attitudes change with time and new technology comes out.

This story is part of a series investigating solar energy. You can watch the other stories at the below links:

Going Solar Part 1: Breaking down the costs

Going Solar Part 2: Investigating the sales pitch

Going Solar Part 3: Leaky & Damaged roofs

Going Solar Part 4: When a solar company goes bankrupt

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