Solar Panel System GuideBuyers often pay more for a home that already produces its own power, but the size of that premium depends on how the system is financed. EnergySage reports that owned solar can lift property values by 5 to 10 percent, while third-party-owned systems show no measurable resale impact. This guide summarizes what the research shows.
How Much Value Solar Adds
Recent research points to a meaningful premium for owned systems. EnergySage cites a 2025 SolarInsure study of 5,000 California home sales finding that owned solar installations boost property values by 5 to 10 percent.
For an average $790,000 California home, EnergySage notes that translates to a $39,500 to $79,000 increase in resale value. The study compared solar homes against similar non-solar properties sold between 2020 and 2023 and adjusted for market swings using a home price index.
Ownership Is the Key Factor
The value premium depends on who owns the panels. EnergySage reports that third-party-owned systems, meaning leases and PPAs, showed no measurable resale value impact in the study.
System age mattered less than expected. EnergySage notes that installations over five years old still earned 5 to 6 percent premiums, while newer systems saw 7 to 9 percent increases, so an existing system does not lose its resale benefit quickly.
How Today's Findings Compare
The newer figures are higher than earlier estimates. EnergySage notes the findings represent a significant increase from a 2019 Zillow study that reported solar panels added approximately 4.1 percent to home values.
EnergySage frames the value gain as one part of the return, alongside electricity savings. The report estimates that on an average 12-kilowatt system costing roughly $30,505, a 5 percent home value increase could recover over $20,000 of installation costs before counting any bill savings.