These days people are more aware of the impact they are having on the environment, and with energy prices soaring, people are continually looking for ways to save money on this necessary commodity.
The popularity of solar energy is something that investors can no longer afford to ignore. A recent survey (2018) commissioned by Origin Energy found that two thirds of renters would be willing to pay higher rent for a property with solar panels.
The number of rental properties on the market with solar panels is still relatively low, making it somewhat of an exclusive benefit for renters. But this won’t always be the case, with the growing popularity of renting a property with solar power resulting in it less likely to be considered a ‘feature’ and more likely a ‘must have’ for potential tenants.
From a tenant’s point of view, having a property which saves them money is a huge advantage, and as the survey’s findings show, it is an increasingly popular feature they are willing to pay for.
There are many advantages for landlords too, which is why it’s important to consider the long-term advantages over the up-front cost. The opportunity to market your property as energy-efficient will not only appeal to the savvy renter but presents opportunity to increase your property’s value and increase rental yield.
Consider too, while the upfront cost of installation may be significant, it is an expenditure on your investment, and therefore you may be able to claim depreciation come tax-time.
As a property owner, differentiating your property in today’s market by offering potential tenants a way to save their money is something that will appeal to a large proportion of the population. Actively keeping your property competitive will ensure your investment’s long term success.