Will buyers pay more for solar-powered homes?

As load shedding persists, an increasing amount of home buyers are searching for properties that can avoid the effects of the rolling blackouts. This is likely to become even more prevalent now that the budget speech has made allowance for South Africans to receive up R15,000 in tax rebates for installing solar panels, effective from 1 March 2023.

“What I will say is that adding solar power to your home is an expensive exercise. Those who do go to the trouble of having it installed are unlikely to sell anytime soon. This could mean that the demand for solar-powered homes might outstrip supply, which could push up the price of these homes,” comments Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa.

Speaking into the luxury housing market in Cape Town, Karryn Cartoulis of RE/MAX Living explains that “it is now one of the first questions a potential purchaser will ask as they enter the property. The solar panels actually become a feature on a home and clients don’t seem to be put off by their appearance as they are more interested in their performance. With constant loadshedding and increasing electricity prices, it really is the only way to go – especially if you are working from home.”

She adds that most of her clients who purchase freehold homes all consider adding solar energy to their new properties if they do not already have solar installed. For those who do plan to install their own systems, Cartoulis highlights that “there are different tiers (quality) of hardware and although they may be more expensive, the tier 1 products have better production and longevity,” she explains.

According to Tanya Sakota of RE/MAX One in Johannesburg, off-the-grid homes are also in high demand in her markets, along with other luxury features such as “home automation, cinema lounges, and rotating garage floors”.

Apart from being somewhat of a luxury and saving homeowners from the inconvenience of load shedding, solar power is also a more environmentally friendly way for us to power our homes. “We should all be striving towards implementing systems that can help us reduce our carbon footprint and live more sustainably. I would highly recommend going ahead with the addition if you are able to afford adding solar to the home. Not only could it add to the resale value of your home, but it could also help you live more sustainably,” Goslett concludes.