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Not sure what you mean by "scale the value". If analysis show a 2% difference in sale price. An appraiser should more than likely use that 2% to determine the adjustment amount. The only credible way to determine a more "accurate" adjustment. would be to compare similar homes that sold with and without a similar sized system to what you have.
Unfortunately, in most areas, the data needed to really do a thorough job is very difficult to obtain.System size. You scale the per KW price of value as thats whats actually there. 1KW Solar ≠ 16KW Solar regardless of the percentage used.
That is true! Solar panels pointed north generate around 70-75% of their total max output. Very worth doing IF you do it yourself. and are low on space.I am going to jump in here and say that I think solid valuation of a home with a PV system is even more involved than has been suggested so far. We would not use a sale of a home with a lower cost above ground pool to try to extract the contributory value for a custom-designed inground pool. Just as all pools are not equal, neither are all PV systems.
PV systems degrade over time. Solar cells lose efficiency over time, and the inverters have a much shorter life than the panels themselves. PV systems also vary in capacity, and they vary in installation orientation. I once saw a case where two homes across the street from each other had virtually identical systems. But, because one was installed with the panels facing due south, and one was installed with the panels facing due north (to avoid having solar panels on the front of the home) there was a large difference in the energy created/saved.
Bottom line, there is more to it than just, does the comp also have a PV system. One also needs to know how that PV system compares to the subject's PV system. Otherwise, you might as well compare an above ground pool to an inground pool
No kidding. But that wouldn't be considered a market derived adjustment. Unless you could show that relationship with market data.
How should you go about it? Im looking for the logic so I can apply it in the correct way.
I am going to jump in here and say that I think solid valuation of a home with a PV system is even more involved than has been suggested so far. We would not use a sale of a home with a lower cost above ground pool to try to extract the contributory value for a custom-designed inground pool. Just as all pools are not equal, neither are all PV systems.
PV systems degrade over time. Solar cells lose efficiency over time, and the inverters have a much shorter life than the panels themselves. PV systems also vary in capacity, and they vary in installation orientation. I once saw a case where two homes across the street from each other had virtually identical systems. But, because one was installed with the panels facing due south, and one was installed with the panels facing due north (to avoid having solar panels on the front of the home) there was a large difference in the energy created/saved.
Bottom line, there is more to it than just, does the comp also have a PV system. One also needs to know how that PV system compares to the subject's PV system. Otherwise, you might as well compare an above ground pool to an inground pool