Does Solar Panels increase the value of your home?
Ones that are energy efficient sell for $125,000 more than non-energy efficient homes.
All around the country, homes that use efficient energy are selling for greater money. Recent data from Domain indicates that houses with eco-friendly features like solar panels, double-glazed windows, and effective insulation are likely to fetch 17% more when they are sold.
That translates into the typical sustainable home costing $125,000 more to purchase than the comparable non-sustainable home.
National managing editor of Domain, Alice Stolz, stated on Today Extra that the event was "a real sign of the times." In response to a question on the origins of this trend, Stolz stated that there were several factors making energy-efficient homes more valuable than solar panels.
The rising demand for energy-efficient dwellings, according to Stolz, "is emerging out of pure necessity."
"People are really mindful of energy costs these days, of running a home. "So anything anyone can do to this, they are doing."
However, according to Stolz, the rising cost of building more environmentally friendly homes is having an adverse effect on some market participants' ability to purchase homes.
The drawback of increasing demand, according to Stolz, is that sustainable homes are becoming more expensive. So, it puts these homes further out of reach for budget-conscious or first-time buyers.
Stolz responded that it's a brilliant idea that hasn't been fully utilised in other states when asked about Canberra properties having an Energy Efficiency Rating, which may see a property graded from zero to six stars, depending on how eco-friendly they are.
There are currently no plans to implement the Energy Efficiency Rating nationwide, which is something Stolz said he would love to be able to claim.
We do, however, know that the federal government is collaborating more closely with local and state governments in order to encourage individuals to think forward about how to make a home more energy-efficient.
Long-term bill savings from energy-efficient homes are negligible, but they cost more up front. According to new Domain data, buyers may anticipate paying $125,000 more for sustainable homes and $72,750 more for sustainable apartments.
According to the conclusions of Domain's Sustainability In Property 2022 report, building more eco-friendly properties could lower that premium. Over the past three years, the extra cost of a house with energy-efficient features has increased.
Buyers would have to spend an additional $60,000 over the median price for a unit and an additional $79,625 over the median price for a similar house in 2019, with an annual percentage increase in the double digits. However, these homes sell faster than non power-saving properties. Domain found sustainable houses have 8.7 per cent more prospective buyers, and 5.5 per cent for units, based on listing views.