U.S. Solar Market Value Report: Further Evidence that Solar Adds Value to Real Estate

Technical Report · Mon Oct 02 04:00:00 EDT 2017

DOI:https://doi.org/10.2172/1733284· OSTI ID:1733284

Johnson, Jamie L. ^[1]; Klise, Geoffrey Taylor ^[2]

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1. Energy Sense Finance LLC, Tampa. FL (United States)
2. Sandia National Lab. (SNL-NM), Albuquerque, NM (United States)

Solar photovoltaic systems provide cost savings to the property owner in terms of avoided electricity costs that accrue over the system lifetime. From an investment standpoint, the equipment and the value of the energy generated can potentially increase the underlying property value. This first-of-a-kind study presents real market data collected from real estate appraisers using the PV Value® tool to develop a market value for solar as part of a property sale or refinance. Aggregated results at the state level are discussed for California, Arizona and Massachusetts, using 2015 and 2016 data where appraisers used the income capitalization approach to develop a market value for solar. Additional data collection using future transaction data could reveal market-specific trends and insights at the zip code, city and metropolitan statistical area (MSA) levels.

• Research Organization: Sandia National Laboratories (SNL-NM), Albuquerque, NM (United States)
• Sponsoring Organization: USDOE Office of Energy Efficiency and Renewable Energy (EERE), Renewable Power Office. Solar Energy Technologies Office
• DOE Contract Number: AC04-94AL85000
• OSTI ID: 1733284
• Report Number(s): SAND--2017-10698R; 657512
• Country of Publication: United States
• Language: English

Related Subjects

14 SOLAR ENERGY
29 ENERGY PLANNING, POLICY, AND ECONOMY