How To Adjust For Solar Panels Appraisal

Solar pv systems can also be designed to back feed the utility electric power grid if more power is produced by the installed system than the home consumes in normal usage.

How to adjust for solar panels appraisal.

Solar panels and green homes are becoming increasingly more common in the marketplace. Determining the value of solar panels is an issue that has many appraisers asking questions. The skilled appraiser can assist the homeowner in understanding the size of system they need to produce the energy they use. A home owner ho came to me the other week with an appraisal.

After reviewing the appraisal i did comment that the solar panels had been mentioned but as the ho stated no adjustment was applied. If the solar panels are then the appraiser owned cash purchase consumer debt not collateralized by solar panels or debt paid off may include the solar panel value based on standard appraisal requirements. The ho seemed dismayed as there was no adjustment credit for the solar panels they had put on their house. Engaging a skilled appraiser that understands solar photovoltaics and how to value them is a smart move before the purchase.

Now while this report well documents the procedures used to arrive at the conclusions appraisers need to be very cautious about applying the numbers in the. Solar pv systems provide financial benefits and are financially feasible in some areas. If you ve seen a rise in solar panels in your area consider taking the first step toward competency in the valuation of this energy efficient feature of real estate.