Solar panels - PV Value estimated energy value

[alebrewer]

PV Value®

PV Value® is a free solar PV Valuation tool that answers the question of "How much is solar PV worth" and is compliant with the Uniform Standards of Professional Appraisal Practice. It is available for and being used by real estate appraisers, realtor...

www.energy.gov

Someone's telling a little porkey pie...

 

[J Grant]

Part of what drives appraisers to search for the easy app is unreasonable turn time deadline expectations of 48 hours after an inspection (from many clients ) one can ask for more time, but do that too often and ratings lowers. Turn time should be 3 days plus after an inspection and if an appraiser is faster, so be it. Low fees also incentivize appraisers to take the fast approach and the demand for "proof" of support plays into that - the click drop chart or grid looks impressive, which satisfies, to some clients the support, even if the market may not agree.

 

[alebrewer]

I have reviewed thousands of reports. I have personally never reviewed one where an appraiser relied solely on a value estimate generated by an online 'easy' app. I personally believe homeowners and homebuyers rely on that stuff more so than appraisers. As evidenced by the fact that I've had probably a dozen occurrences over the years where I've been afforded the output of such an app by the homeowner(s).

 

[Terrel L. Shields]

still had a couple years payments to own left

FNMA does not allow appraisers to apply value to leased solar panels.

And easier to sell that outcome to the also-clueless underwriters.

Since FNMA has already determined such panels are valued at zero, even if a contributory value before completely paid for, the next step is to get the report past the underwriters. Whether they understand it or not, a DCF is not necessary nor is "paired sales" necessarily always the only way to value these panels. If a sinking fund mirrors the behavior of the market then so be it.

And while many home buyers may recognize the value is not zero, often they simply don't want to increase the amount of payment they can safely make thus tend to discount in their head or they seek an alternative without panels.

 

[Terrel L. Shields]

I personally believe homeowners and homebuyers rely on that stuff more so than appraisers.

which begs the argument that this is impacting the market right?

 

[djd09]

"Real Distress" Hits Solar Industry As Bankruptcy Tsunami Looms​

"That will wreak havoc on a lot of these solar companies."

It's no secret that progressive billionaire elites, their dark money-funded NGOs, far-left lawmakers, and legacy corporate media orchestrated one of the most elaborate propaganda campaigns in recent memory—weaponizing the narrative of an imminent "climate crisis" to ram through green legislation on Capitol Hill. The result? A massive heist on the Treasury, all under the noble guise of saving the planet.

Now, the darker side of the green scam is coming into focus. Reuters reported earlier this week that a draft tax bill released by Senate Finance Committee Chair Mike Crapo (R-Idaho) proposes an accelerated phaseout of clean energy subsidies established under the Biden-Harris regime's 2022 Inflation Reduction Act. Specifically, the legislation would significantly dial back solar and wind tax credits to 60% of their original value starting in 2026, with complete elimination by 2028. Under current law, these credits are scheduled to begin phasing out in 2032, meaning the proposal would effectively shorten the incentive window.

Crapo stated in a press release that this draft bill "achieves significant savings by slashing Green New Deal spending and targeting waste, fraud and abuse in spending programs while preserving and protecting them for the most vulnerable."

Slashing clean energy tax credits, essentially the lifeline of the green industry, would unleash a tsunami of bankruptcies across the sector. Think of Solyndra's high-profile collapse under the Obama administration in 2011—but multiplied many times over.

... all those suckers who invested in saving the planet

 

[NC Appraising]

Pvvalues...snake oil. Probably developed by the solar companies as a way to support their pocket book.

Each market is different.

-do a MLS search for all properties that sold with solar. Call the buyers agent up and survey them. See if you can contact the borrower directly. What does that data say? From that data, do some matched paired analysis.

Solar panels were the it things 3-5 years ago. The cool factor has worn off. In my market there is a very small subset of buyers that want and seek out solar. Older NE northrener types (most solar are on modern or contemporary style homes). The other are the tech nerds. They cannot wait to show you their solar app.

The question is, are there enough of those in you market to make a difference?

Use real market data.

Solar panels could cut your power bill — but raise your insurance

You’ve probably seen more and more solar panels popping up on rooftops across Florida’s Gulf Coast. While harnessing the Florida sun could save you thousands, it could also come with a costly surprise.

www.gulfcoastnewsnow.com

Love our solar! Love it!" said Lynette Paracino of Fort Myers.

Paracino has owned two homes — both solar-powered.

"We have two electric vehicles. We have a pool, a spa, and our monthly costs come out to just $29.95 for the FPL service charge," she said.


"I would say easily a 15 to 20 percent increase if you want to have those solar panels covered under the insurance policy," Nellans said.

Companies refuse to insure Palm Beach County homeowner with solar panels

As more Floridians turn to solar panels to try and save money on energy costs, some homeowners are finding it hard to find homeowners insurance.

www.wptv.com

Companies refuse to insure Palm Beach County homeowner with solar panels​

 

[alebrewer]

which begs the argument that this is impacting the market right?

no doubt. The app (at least the pvvalue app) is pimped by the DOE, so there's prolly more oversight into the veracity of the results than if it were just some Solar Company's 'rigged' app.

 

[Terrel L. Shields]

Each market is different.

I bet there is a correlation between the money saved and the cost of the array in every market.

 

[NC Appraising]

I bet there is a correlation between the money saved and the cost of the array in every market.

I've appraised 3 in the past month. 1.5mill, 1.8 mill, and 900k.

Most were newer in age panels 2-4 years old....60-80k cost. I applied a 20k adjustment.

These were large systems. Older and smaller systems can detract from value...

Not to bad of a trade off. The 20k is part of the mortgage, so on a 1.8 mill home it is spare change on the mortgage. The savings were about $400 per month.


***side that no one speaks about***

1. Did it really add value? Yes and no.
There are two players. Seller and buyer.

In a sellers market coupled with a low supply of homes, the seller can make the buyer pay extra for the solar panels. That's what I found out by interviewing the buyers agent on some of the sales. The buyer saw the panels as neutral or as a added feature, but we're forced to pay a premium for the solar panels. Multiple offer situation. The seller demanded a return...

2. Several of the other buyer agents said that there buyers were not looking or searching for homes with solar, but would be willing to pay a higher price for the home for the solar panels.

3. A few of the buyer...few..were actually searching for a home with solar.

4. 3 of the homes that I appraised were odd ball custom built homes with no direct sales to use. Therefore, when they close for comps, same situation
...no comps for match pairing.