Do Domestic Solar Panels Increase Home Value?

When people think about upgrading their home, adding a new kitchen or converting a loft might spring to mind. But there’s one upgrade that has risen in popularity in recent years—installing domestic solar panels. In the UK, solar photovoltaic (PV) systems are becoming a mainstream choice for homeowners who want to reduce their energy bills, lower their carbon footprint and potentially boost their property value. But how exactly do solar panels increase a home’s worth? How many panels do you need, and does their value show immediately or gradually?

Why Solar Panels Are on the Rise

In the past decade, the cost of solar panel installation has dropped significantly, while energy prices have trended upward. According to a recent guide from MoneySavingExpert, government incentives such as the Smart Export Guarantee help to encourage homeowners to install solar panels by offering payments or credits for the energy they generate. Although today’s financial incentives look a bit different than they did years ago, there are still compelling reasons to invest in solar.

People are also becoming more conscious about the environmental benefits of installing solar panels on their homes, and because sunlight is a clean and renewable way to source energy, this makes it an increasingly popular choice for homeowners up and down the UK.

How Do Solar Panels Increase the Value of a Home?

There are tangible ways that solar panels increase the value of a home and help you to make savings at the same time. Some of these factors include:

Lower Energy Bills, Higher Appeal

A key attraction for potential buyers is the prospect of having reduced electricity bills. A typical domestic solar PV system in the UK can offset a substantial portion of a household’s daytime energy consumption. This means lower utility costs and, depending on your chosen tariff, the opportunity to sell excess energy back to the grid through the Smart Export Guarantee. When prospective buyers see that a home has solar panels, they anticipate these energy savings which makes the property more attractive and potentially allows you to list your home at a higher price.

Future-Proofing Against Energy Price Rises

Energy prices in Britain have seen fluctuations that have affected many households. Owning a solar panel system is a hedge against these price hikes because you can generate some of your own power. Prospective buyers will see that they’re somewhat insulated from future energy market volatility. This perception of long-term financial security – alongside actual energy cost savings – can also enhance a home’s value.

Eco-Friendly Credentials

Energy efficiency and sustainability have become major selling points in the property market. From the perspective of a potential buyer, a solar-equipped home already has a “green” edge over standard properties. The drive to reduce carbon footprints is evident, and by installing solar panels you immediately signal an environmentally responsible lifestyle, which can tip the scales in favour of your property for buyers prioritising eco-friendly features.

How Many Solar Panels Do You Need to Increase Home Value?

The ideal number of panels depends on several factors: your roof size, your household’s energy demand, your budget and the goals you have for installing them. Many UK homeowners opt for systems between 3 kWp and 4 kWp, which usually translates to around 10–16 panels, with each panel typically rated at around 250–400 watts (although this can vary based on the latest technology). Here are a few steps you can take to get the most out of your solar panels:

Assess Your Energy Consumption: Look at your annual kWh usage. Our installers can conduct an assessment to determine how big your system should be.
Roof Orientation and Shading: A south-facing roof in the UK captures the most sunlight, but east- or west-facing roofs can still yield good results. If your roof is shaded or angled, you may need more panels or a different configuration.
Budget Constraints: Solar panel costs have decreased over the years, yet the number of needed panels will clearly drive the overall cost. You’ll need to balance a desire for maximum energy generation with a reasonable upfront investment.

Ultimately, there’s no fixed number – instead, it’s about finding the sweet spot where your panels produce enough energy for a good return on investment, without overspending on system size. At East Yorkshire Solar, our local installers can advise you on the specifics of your installation needs.

Do Solar Panels Increase a Home’s Value Immediately?

Immediate Perceived Value

In many cases, just the presence of solar panels can provide an immediate boost to perceived property value. Even when the panels are newly installed and haven’t yet amassed a long track record of savings, prospective buyers appreciate the fact that some of the legwork has already been done. They won’t need to arrange installations or make any structural modifications themselves. For some buyers, that convenience can translate to a willingness to pay a premium right away.

Tangible Long-Term Benefits

However, the ultimate tangible financial benefit of solar panels often becomes clearer over time. As you accumulate lower energy bills or export credits, you build a clear track record of savings. This history can be shown to estate agents and potential buyers to justify a higher asking price. The better the evidence of your solar panels’ impact, the easier it will be to highlight its contribution to the overall value of your home.

The Longevity of Domestic Solar Panels

One key reason solar panels positively affect property value is their longevity. All our domestic and commercial solar panels are backed by a 12-year manufacturer guarantee and a two-year guarantee on our workmanship, ensuring that your panels are in optimal working condition for over a decade. Across their lifespan, the benefits of solar panels become clear through:

Accumulated Savings: The longer you own a solar PV system, the more you recoup on your investment through lowered bills.
Inflation Protection: As traditional energy prices rise, the financial savings you gain from solar generation also effectively rises—adding to your property’s attractiveness.
Technological Improvements: Battery storage systems, which are becoming increasingly common in UK homes, can store excess energy from solar panels for use later in the day. Over time, pairing solar with battery storage can multiply a system’s value, further reinforcing the idea that a solar-equipped home is on the cutting edge of energy efficiency.

Are There Any Other Considerations?

There are some further factors to price into your thinking before going ahead with installing domestic solar panels. Organisations such as Solar Energy UK have published a report called ‘The Value of Solar Property’, where they detail that homes with solar often secure higher valuations and can sell more quickly. The exact figure by which solar can boost property value, however this can vary depending on factors such as:

Geographical Location: Properties in sunnier regions or places where green energy is highly valued (e.g., near eco-friendly communities) might see a greater boost.
System Size & Quality: Higher-capacity or better-quality panels tend to deliver more savings, making the home more attractive.
Age & Condition of the System: Newer systems with warranties in place generally offer better value than older ones nearing the end of their useful lifespan.
General Upkeep: Solar panels generally require minimal upkeep, as rain generally handles a lot of the cleaning. However, occasional professional cleaning may be recommended if you live in a dusty area. Check out our domestic solar services page to learn more.

Though exact numbers differ from case to case, the overarching trend is that solar can—and frequently does—increase a home’s worth beyond the initial investment cost, particularly over time and especially if the panels are well maintained and looked after.

Why Choose East Yorkshire Solar?

For homeowners located in Yorkshire and Lincolnshire, we offer detailed consultations that can help you estimate your potential return on investment more accurately. By considering your specific needs, you can arrive at a clearer picture of how solar panels can boost your home’s value. As an MCS accredited company and Which? Trusted Trader, we have obtained assurance from a scheme supported by the government’s Energy and Industrial Strategy, so you can be assured of the best possible service when you choose East Yorkshire Solar.

We are happy to offer free site visits to discuss your needs in detail, However, through the use of Google Earth, we can also carry out a remote survey of your home, providing you with an initial quote, installation specifications and a comprehensive report outlining the projected timeframe for your solar panel investment to yield returns.

Conclusion

So, do solar panels increase home value? In many cases, yes – both in terms of immediate market perception and through long-term financial returns. Buyers increasingly appreciate an energy-efficient, eco-friendly home, and a solar PV system can stand out as a major selling point. Lower energy bills, greater resilience against rising electricity costs and a reduced carbon footprint are compelling incentives for you and any future occupant of your home.

If you’re serious about boosting your home’s worth with solar panels, contact us for advice tailored to your property’s unique attributes. With the right planning, installation, and maintenance, a set of gleaming solar panels on your roof can be one of the smartest upgrades you’ll make in 2025.

Further Support

We are here to help, so please do not hesitate to contact our team of solar panel experts today for further guidance and advice. 

Email: info@eastyorkshiresolar.co.uk
Telephone: 01482 230 422