Today is Earth Day, a timely reminder of the need to respect our environment -– and our homes are a good place to start. 

Better still, property experts across the Raine & Horne property group say installing energy-efficient features such as solar power can see a property’s value rise by as much as 2%. But the deal breaker can be whether solar batteries are in place to harness the full value of solar power.  

Australia leads the world in per capita household solar, with more than 4 million homes - approximately one in three properties – equipped with solar panelsi. 

A search for ‘solar panels’ across the Raine & Horne network revealed 500 listings of 3,631 homes listed for sale – around 13%.  

With Earth Day just around the corner, Raine & Horne property experts explain that eco-friendly features can boost a property’s sale value by up to 2% and generate a 10% uptick in buyer enquiries. 

The impact of solar varies between locations  

Filippo D’Arrigo, Principal of Raine & Horne Marrickville in Sydney, said, “In the Inner West, home buyers are super-keen on green home features, but they are also savvy about cost versus benefit. 

“Among homes with solar panels installed, buyers are increasingly asking whether there is a solar battery in place, and how many kilowatts it is generating.   

“More broadly, we typically see 10% more buyers for properties where solar panels are in place,” added Filippo. 

Chris Vote, Principal of Raine & Horne - Wynnum/Manly in Brisbane, said, “A growing proportion of younger home buyers are definitely asking about solar power. It certainly is a sweetener, though not necessarily a must-have. 

“Across our sales we have seen rooftop solar add about 2% to a property’s value. At current average house values (around $1.35 million in Wynnum and $1.65 million in Manly), this could see solar panels add as much as $33,000 to a property’s value.” 

In Adelaide, John Cullen, Principal of Raine & Horne Kurralta Park, said solar power is more of a “sweetener than a must-have, however, around one in three buyers ask about the presence of solar panels.” 

He explained, “Lots of properties in South Australia have solar power. So the clincher can be whether a home has a solar battery. If it does, this can add an extra $20,000 to a property’s value.” 

Factor ageing appliances into negotiations  

The common thread across markets is that home buyers are wary of older, energy-hungry appliances.  

“Buyers will look at older appliances, especially ageing air-conditioning units, and leverage the cost of replacing these items in price negotiations,” said Chris Vote.  

In Sydney’s Inner West, Filippo D’Arrigo said, “Most vendors will incorporate the replacement cost of older appliances into a property’s sale price. It typically isn’t cost-effective for sellers to replace these items in the hope of gaining an uptick in the property’s sale value.”   

Angus Raine, Chief Executive of the Raine & Horne Property Group, said, “Earth Day is an event that draws attention to our collective power consumption.  

“As power costs rise, home buyers are clearly interested in features that can help them save on utility bills.   

“However, they are taking a savvy approach and are prepared to spend more on features that offer extra bang for buck such as solar batteries. This is a clear message for sellers to be realistic about price expectations on properties that have older, energy inefficient appliances.”