Do Solar Panels Increase Home Value in Pennsylvania?

Whether solar panels increase home value is one of the first questions Pennsylvania homeowners ask before going solar, and the research gives a clear answer: an owned solar system adds measurable resale value to most homes. How much it adds depends on your system, your market, and one critical factor that many homeowners overlook, which is whether you own the system or lease it. This guide explains what the data shows about solar and home value, why ownership makes all the difference, and how to protect that value for the long term.

Here is what you will learn:

• What the data says: How much value an owned solar system typically adds to a home.
• Why ownership matters: The difference between owning versus leasing makes your home’s resale value.
• Protecting value: How system quality, roof condition, and the right installer safeguard your investment.

Do Solar Panels Add Resale Value to Pennsylvania Homes?

Owned solar panels add measurable resale value to most homes, and Pennsylvania is no exception. Buyers consistently pay more for a home that comes with a solar system they will own outright.

What the Research Shows About Solar and Home Value

Owned solar systems add real, measurable value to a home according to the leading research on the subject. A landmark Lawrence Berkeley National Laboratory study analyzing nearly 22,000 home sales across eight states, including Pennsylvania, found that buyers paid a premium of about $4 per watt of installed solar, roughly $15,000 for an average-sized system, on homes with host-owned systems. A separate Zillow analysis of home sales found that homes with solar sold for roughly 4 percent more than comparable homes without it. The exact premium varies by market, system size, and local electricity rates, but the direction is consistent: owned solar adds value.

• Berkeley Lab finding: Buyers paid about $4 per watt, roughly $15,000 on an average system.
• Pennsylvania included: The Berkeley Lab dataset covered Pennsylvania home sales.
• Zillow analysis: Solar homes sold for roughly 4 percent more than comparable homes.
• Varies by market: The exact premium depends on size, location, and electricity rates.

Why Buyers Pay More for Solar Homes

Buyers pay more for solar homes because an owned system promises lower energy costs for years to come, which translates into real financial value. A home with an owned solar system offers reduced or eliminated electricity bills, protection from rising utility rates, and an asset that keeps producing for 25 years or more. All of which a buyer factors into what they are willing to pay. In a market like Southeastern Pennsylvania, where electricity rates have been climbing, that long-term savings is increasingly attractive. O’Donnell Solar Co. designs owned systems built around your home and energy usage, which is the foundation of the value a future buyer will recognize.

• Lower bills: An owned system reduces or eliminates a future owner’s electricity costs.
• Rate protection: Buyers value insulation from rising utility rates.
• Long-lived asset: A quality system keeps producing for decades.
• Custom design: We build systems around your home to maximize long-term value.

Why Ownership Is the Key to Added Home Value

Ownership is the single most important factor in whether solar adds to your home’s value. The resale premium the research identifies applies to owned systems, not leased ones, which changes the entire calculation.

Owned Systems Versus Leased Systems

Owned solar systems add resale value, while leased systems generally do not and can even complicate a sale. Every major study of solar and home value, including the Berkeley Lab research, measured homes where the seller owned the system, because a buyer is purchasing an asset rather than taking over someone else’s contract. With a lease or power purchase agreement, the buyer must qualify to assume the remaining 20-to-25-year agreement, which narrows the buyer pool and can delay or complicate closing. This is a core reason O’Donnell Solar Co. sells only systems homeowners own, never leases, so the value stays with you and your home.

• Owned adds value: Resale premiums apply to systems the homeowner owns.
• Leased complicates sales: A buyer must qualify to assume the remaining lease.
• Narrower buyer pool: Lease assumption can slow or complicate a closing.
• Ownership only: We sell systems you own, keeping the value with your home.

How Financing Still Lets You Own

You do not need to pay cash to own your system and capture its home-value benefit, because financing lets you own from day one. A solar loan spreads the cost over time while you hold title to the equipment, which means the system is yours, the energy savings are yours, and the added home value is yours, unlike a lease where a third party owns the panels. O’Donnell Solar Co. offers financing through its partner Atmos, which is structured around ownership so homeowners can pursue solar without a large upfront payment while keeping the long-term value. This lets more homeowners access the resale benefit that only ownership provides.

• Own from day one: A solar loan means you hold title to the system.
• Benefits stay yours: Savings and added home value belong to you, not a lender.
• Atmos financing: We offer ownership-based financing through our partner Atmos.
• No large upfront cost: Financing spreads the investment while preserving ownership.

5 Factors That Affect How Much Value Solar Adds in Pennsylvania

Several factors determine how much value a solar system actually adds to your Pennsylvania home. The following five considerations help homeowners across Phoenixville, West Chester, Malvern, Berwyn, and the broader Main Line protect and maximize that value.

1. Whether You Own or Lease the System

Ownership is the biggest single factor in how much value solar adds. As the research consistently shows, owned systems command a resale premium while leased systems generally do not, so how you structure the purchase matters as much as the system itself. A homeowner planning to sell within the system’s life should strongly weigh ownership for this reason. O’Donnell Solar Co. sells only owned systems, with financing available, so the value you build stays with your home when you sell.

• Ownership premium: Owned systems earn the resale value; leases typically do not.
• Structure matters: How you buy affects resale as much as the system does.
• Plan for resale: Ownership protects value if you may sell later.
• Owned only: We ensure the value stays with you and your home.

2. System Size and Energy Production

A system’s size and how much energy it produces directly influence the value it adds. The Berkeley Lab research measured the premium per watt of installed capacity, meaning a larger, well-producing system generally adds more value than a small one, as long as it is appropriately sized to the home. A system that meaningfully offsets a home’s electricity use is more attractive to buyers than an undersized one. O’Donnell Solar Co. sizes each system to your home’s actual energy usage and roof, designing for the strong production that underpins long-term value.

• Per-watt value: Research ties the premium to installed system capacity.
• Right-sized matters: The system should match the home’s energy use.
• Production counts: Strong, real output makes a system more attractive to buyers.
• Custom sizing: We design around your actual usage and roof.

3. The Age and Condition of the System

A system’s age and condition affect how much value it retains at resale. Newer systems with strong remaining warranty coverage and up-to-date equipment tend to command higher premiums, while older systems add somewhat less, though quality systems still retain meaningful value well into their life. Transferable warranties reassure a buyer that the system is protected. O’Donnell Solar Co. installs quality equipment from manufacturers like CertainTeed and Enphase and provides ongoing system monitoring and maintenance, helping your system stay in the condition that protects its resale value.

• Newer adds more: Recent systems with full warranties command higher premiums.
• Warranties reassure: Transferable coverage adds buyer confidence.
• Quality equipment: We install trusted CertainTeed and Enphase components.
• Ongoing care: Our monitoring and maintenance help preserve system condition.

4. Equipment Quality and Documentation

The quality of your equipment and the documentation behind it shape how buyers and appraisers value your system. Recognizable, reputable equipment with clear specifications, warranty records, and production history gives a buyer confidence and gives an appraiser the information needed to credit the system’s value. A vaguely documented system is harder to value than one with clear records. O’Donnell Solar Co. installs clearly specified, industry-leading equipment, including CertainTeed solar modules and Enphase microinverters, and provides the documentation that supports your system’s value at resale.

• Reputable brands: Recognizable equipment supports buyer and appraiser confidence.
• Clear specs: Documented system size and warranties aid valuation.
• Production records: A history of output demonstrates real value.
• Quality install: We use industry-leading equipment with clear documentation.

5. Roof Condition and Installation Quality

Your roof’s condition and the quality of the installation protect the value solar adds by ensuring the system lasts and the roof underneath stays sound. A system installed on a failing roof, or installed poorly, can create future costs that erode the value gained, which is why the roof should be sound before panels go on. O’Donnell Solar Co. brings a rare advantage here as the sister company to O’Donnell Roofing, with more than 100 years of combined roofing expertise, evaluating roof condition before installation and coordinating roofing and solar so your investment is protected for the long term.

• Sound roof first: The roof should outlast or match the solar system’s life.
• Quality install: Proper installation prevents value-eroding future problems.
• Roofing advantage: Our roofing heritage protects the roof beneath your system.
• Long-term protection: We coordinate roofing and solar to safeguard your investment.

Frequently Asked Questions

Do solar panels increase home value in Pennsylvania?

Yes, owned solar panels increase home value for most Pennsylvania homes. Research from Lawrence Berkeley National Laboratory, which included Pennsylvania, found buyers paid about $4 per watt more for homes with owned solar, and a Zillow analysis found solar homes sold for roughly 4 percent more. The premium applies to owned systems, not leased ones.

How much do solar panels add to home value?

Research points to roughly $4 per watt of installed capacity, about $15,000 on an average-sized system, according to Lawrence Berkeley National Laboratory. A separate Zillow analysis found a premium of roughly 4 percent of home value. The exact figure depends on your system size, local market, and electricity rates.

Do leased solar panels add home value?

Generally no. Major studies measured the resale premium on owned systems, because a buyer is purchasing an asset rather than assuming a contract. A leased system or PPA can actually complicate a sale, since the buyer must qualify to take over the remaining agreement. This is why O’Donnell Solar Co. sells only systems homeowners own.

Does solar make a home harder to sell?

An owned system generally does not make a home harder to sell and often adds value and buyer appeal. A leased system can complicate a sale because the buyer must assume the lease. Clear documentation, transferable warranties, and quality equipment all make an owned solar home easier to sell.

Can I still add home value if I finance my solar system?

Yes. With a solar loan you own the system and hold title to the equipment, so the energy savings and added home value belong to you, unlike a lease. O’Donnell Solar Co. offers ownership-based financing through its partner Atmos, letting you own your system without a large upfront payment while keeping the resale benefit.

What areas in Pennsylvania do you serve?

O’Donnell Solar Co. serves the Main Line and Southeastern Pennsylvania, including Berwyn, Bryn Mawr, Phoenixville, West Chester, Malvern, Wayne, Exton, Chester Springs, Collegeville, Royersford, and Kennett Square, across Chester, Delaware, and Montgomery counties. Our local team understands the needs of the communities we serve. Contact us to confirm service for your specific location.

Why O’Donnell Solar Co. Is the Right Choice for Protecting Your Home’s Value

When you want solar that genuinely adds to your home’s value, you need a local team that installs quality systems you own and protects the roof beneath them, and that is exactly where O’Donnell Solar Co. stands apart. Family-owned and serving Southeastern Pennsylvania since 2006, and backed by more than 100 years of roofing craftsmanship through its sister company O’Donnell Roofing, O’Donnell Solar designs systems around your home with industry-leading CertainTeed and Enphase equipment. We sell only systems homeowners own, with financing available through Atmos so the added value stays with you, and we evaluate your roof honestly before installation so your investment is protected for the long term. Our A+ BBB accreditation, 5-star reviews, and roofing-first expertise reflect a company focused on lasting value, not a quick sale. If you want honest guidance on how solar can add value to your home anywhere across the Main Line or Southeastern PA, reach out to O’Donnell Solar Co. for a free consultation.