You’re looking to buy a home, and you notice that there are solar panels on the top. Get the inside knowledge on what to do.
You’re looking to buy a home, and you notice that there are solar panels on the top. You’re not sure what to do with them.
There are 2 major things to consider:
This article will discuss these main points.
Home solar panels have become popular nowadays. According to the Clean Energy Regulator, over 2.66 million rooftop solar systems have been installed across Australia.
Here are some interesting statistics that show how having a solar panel affects the price of the home you want to buy.
However, how much a solar system adds value to your home depends on whether the residential solar panel is owned or leased. It has been found that buyers shy away from buying houses with leased solar panels or if the solar panels are purchased via a loan.
Installation of a solar system requires a huge investment. But not everyone can bear the upfront cost of solar panels. So, some companies offer financing options, like solar loans and solar leases, to make it easier for homeowners to install solar systems.
However, houses with owned solar panels and leased solar panels both have their own advantages and disadvantages. Let us check out what makes both types of solar panels different from each other.
Here is a table to help you understand the advantages and disadvantages of both types of solar panels.
The size of a solar system significantly impacts its functionality and decides how much you can save on electricity bills. So, always check how much the solar panels will generate electricity to ensure it is sufficient for your home appliances. By having an energy generation estimate, you can also decide how much energy you can sell to the grid.
In the case of owned solar panels, you can ask the existing homeowner to remove the solar panel and buy it. And if he/she agrees, you may have to pay the cost of re-roofing the home in some circumstances.
However, if you have leased solar panels, you need to check your agreement whether you can remove the solar panel or not. Some solar panel leases include a buyout clause; some don’t. Generally, the buyout amount is cheaper than monthly payments. However, it may vary with every case.
Restoring a rooftop with solar panels is much more complicated than a rooftop without solar panels. If you want to repair your rooftop with solar panels, you need to hire a reputed firm or experts to remove and replace your solar panels.
Once your panels are down, your roof is ready for repair. And once your roof is in its shape, you can re-install the system. However, you have to incur the cost of restoration, which may vary between $700 to $2000.
If a home features rooftop solar panels owned by someone else other than the homeowner, then the person who owns the system is responsible for maintenance. You need to ask the company or installer to replace the equipment or pay the maintenance cost.
On the other hand, if you’re buying a house with an owned solar panel & it gets damaged after you sign the agreement, you have to pay for the maintenance or replacement of equipment. Hence, find when the solar panels are installed, how much electricity it will produce, is there any scope for parts replacement, etc. Considering all these questions will help you reap the long-term benefits.
Usually, solar panel manufacturers offer a warranty for 20-25 years. But it is crucial to check the warranty left on solar panels before you buy a house with a solar system. It helps you ensure that your solar system is free of malfunctioning and offers you the best value for your money.
With a warranty, you can ask the manufacturer to replace the equipment or bear the maintenance cost in case of a system failure. So, it is recommended to check how much warranty on solar panels is left or is there any option to increase the warranty period.
No, solar panels never damage your rooftop, especially if you hire a qualified and experienced professional to install your solar panel. But if you choose an inexperienced installer, there are high chances of roof damage.
If you are buying a house in an area where the electricity cost is high, it is worth investing in a home with solar panels. Not only is it an eco-friendly way for energy production, but it also reduces your utility bills.
The savings you earn by going solar can vary between 7 to 20 years, depending upon the area you’re residing in. But once you cover the initial cost, you can save up to quite a bit annually.
Buying a home with solar panels is a great decision, as it saves your money on utility bills and enhances your home resale value. But make sure you own solar panels as you may have to face some drawbacks of installing the solar panels via lease over time, such as:
Now that you know what you should consider when buying a home with solar panels, what are you waiting for? Call your real estate agent & find your dream home.
All the Best!