Do Solar Panels Increase the Value of Your Home?

If you’re a homeowner looking to install solar panels, you’re probably wondering two things:

1. Will solar panels actually cut my bills?
2. Will solar panels increase my home’s value if I come to sell?

Households with solar panels installed see a dramatic cut to their electricity bills, most seeing a decrease of up to 70% (even more if you add in battery storage). Also, a home with solar panels installed can see an increase of up to 14% in market value against homes without solar panels, especially in the South East, where property prices are high.

Below is a SolarTherm UK guide, tailored to properties in Essex, Kent, Sussex and the surrounding South East, on how solar panels and battery storage can affect your home value.

How Much Can Solar Panels Increase Home Value?

Several large UK studies have looked at how solar panels affect home value:

• A university led study using millions of property listings found that homes with solar panels sold for around 6-7% more on average.
• Another major UK study found more modest gains of roughly 1-2%, but still a clear positive effect.
• Research by Eco Experts has also found that properties with solar panels will see up to a 14% uplift in property value.

To put that into context, a home worth £300,000 will see a £6,000 uplift at 2%, a £21,000 uplift at 7% and a £42,000 uplift at 14%. Actual uplift will vary from property to property and in different areas, but the research is clear: solar panels tend to increase home value rather than reduce it.

Why Solar Panels Boost Home Value: EPS Ratings

One of the main ways solar PV systems affect home value is through your Energy Performance Certificate (EPC) rating. Homes are rated from A (most efficient) to G (least efficient). Solar panels reduce the amount of grid electricity you use, replacing it with clean energy you generate yourself. That typically raises your EPC score and can move your home up one or even two EPC bands, especially if combined with other improvements (loft insulation, efficient heating system, etc).

Studies using large property datasets show improving a property’s EPC from D to C can increase it’s value by around 2-3% on average and bigger jumps from E or F to C can deliver even larger percentage gains.

As solar panels directly improve energy efficiency, they’re one of the most impactful upgrades you can make for both running costs and resale value.

What Does This Mean for Homes in the South East?

Essex, Kent, Sussex and the surrounding South East see strong demand for commuter homes with low running costs, coastal properties that have renewable energy sources and family homes that are future proofed against rising energy costs.

With many buyers planning on EV charging and heat pumps in the future, on site solar generation makes a home even more appealing. Eco-conscious buyers and families are increasingly prioritising sustainability and green energy when house hunting, and high energy prices in the South East make bill savings even more valuable to potential buyers.

Key Factors That Affect How Much Value Solar Adds

It’s not just “solar panels = X% extra home value”. Buyers – and surveyors – will look at several aspects of your solar PV system.

Size of the Solar PV System

• Larger systems generate more electricity
• That usually means lower bills, a higher EPC rating and a strong story for estate agents to tell buyers
• For many homes, it makes sense to maximise the usable roof space rather than choosing a very small system

Battery Storage

• Adding a solar battery can make a big difference to perceived value
• You can store surplus electricity generated in the day for use in the evenings or when you need it most
• You import far less electricity from the grid, cutting bills further
• A battery also helps you make better use of smart tariffs and export payments

Quality of Equipment

• Not all solar panels and inverters are made equally
• Modern monocrystalline solar panels have strong warranties and perform well for a minimum of 25 years, with most performing efficiently for up to 40 years
• High quality equipment, tidy cabling and a reputable installer like SolarTherm UK all signal quality to a buyer
• Strong documentation (warranties, MCS certificate, DNO approval, handover pack) helps surveyors and buyers feel confident

Age and Condition of the System

• A system installed recently using modern technology will usually be seen as a long term asset
• Very old or poorly maintained systems may still help your EPC, but might not carry the same perceived value

Appearance and Roof Integration

• Neat, symmetrical arrays that match the roofline look more modern and built in
• Black framed or all black panels tend to be more discreet, especially on darker roofs
• Quality installation reduces concerns about roof damage or leaks

Are Buyers Really Looking for Homes with Solar Panels?

Yes, surveys of UK homeowners consistently show that most buyers are more likely to buy a home with solar panels than one without. Common reasons include:

• Lower, more predictable energy bills
• Desire for a greener, low carbon lifestyle
• Growing awareness of energy crises and price spikes
• The expectation that solar will soon be standard, like double glazing

In Essex, Kent, Sussex and the wider South East, where many people commute or work from home, reducing ongoing energy costs is a major selling point.

Solar Panels, Bills and Return on Investment

The financial case ties directly into home value. A well sized solar PV system with battery storage can, in typical UK conditions, cut electricity bills by up to 70% (exact figure will depend on usage, system size and tariff). Surplus energy can be sold to the grid for payment under the Smart Export Guarantee, potentially earning you an additional £300-£350 per year.

The cost of solar has dropped dramatically in the last decade by over 80%, making it more affordable than ever before. Due to the drop in prices, most homeowners see a return on investment within 6-10 years for a solar PV installation and only slightly higher when adding in solar battery storage. When potential buyers see genuinely low electricity bills, they’re often more prepared to pay more for the property as a whole.

Will Solar Panels Affect my Mortgage or Selling Process?

In most cases, owning your solar panels outright is straightforward for both mortgage lenders and future buyers. Issues only arise with roof lease or rent-a-roof schemes, where a third part owns the panels and effectively controls the roof space. Some mortgage lenders don’t like these arrangements, and it often puts buyers off.

When you choose SolarTherm UK you retain full control of your roof and are provided with clear documentation making selling or mortgaging your property easier. Your system is installed to MCS standards by MCS certified installers, which helps with compliance and peace of mind.

Are Solar Panels Worth it for Your Home Value?

Bringing it all together, yes, solar panels can increase the value of your home. The biggest gains are usually seen when solar panels helps you move from a D to a C EPC rating, making your home far more energy efficient and attractive to potential buyers. A modern, well designed solar PV system, installed by a reputable local company, will almost always be seen as a positive asset by buyers.

On top of the increase to the value of your home, the other benefits of a solar PV system more than make solar panels worthwhile for your home. Solar panels reduce your energy bills by up to 70%, more with additional battery storage, they reduce your reliance on expensive grid electricity and future proof your home against future price rises.

Next Steps with SolarTherm UK

If you’re thinking about solar panels to boost your home value, SolarTherm UK can help you:

• Assess you roof space and EPC position
• Design a bespoke solar PV system – with or without battery storage
• Estimate bill savings and likely impact on your home accurately
• Provide a no obligation quote and clear payback guidance

Contact SolarTherm UK today for a free, no obligation quote and design, tailored to your property, usage and future energy needs. No hard sell, just honest, expert advice.

Your home. Your energy. Your future.