Shine on: the solar power benefits for landlords and tenants
Category General News
As the cost of living rises, affordable rental properties are more popular than ever. Properties with features that help to save, like prepaid electricity metres and low-maintenance gardens, are at the top of the list for those on the home hunt. Solar power is also becoming a game-changer, with benefits for both landlords and tenants alike. Load shedding may be around for longer, but solar power can help both parties thrive, especially living in the sunny Mpumalanga province.
Solar power benefits for landlords
The ongoing electricity crisis can be frustrating, but forward-thinking landlords can see this as an opportunity to create an attractive value proposition for prospective tenants.
Increase your rental earnings: Because solar power can cut back on tenant costs and promote a better quality of life, you can charge higher rents. The extra amount can go towards paying off the cost of your solar set-up or loan.
Boost your property value: Property practitioners and bond originators believe homes with solar systems installed can increase the property value by 3-8%. This can translate to a higher resale value if you decide to sell your property down the line. Panels and batteries sold by reputable manufacturers can have a lifespan between 25 to 30 years and you would likely have paid off your set-up much earlier than this. Despite promises loadshedding will end this year, energy experts say it could persist for years to come, meaning a sustained demand for your property.
Make your property appealing: Rental properties equipped with solar power can help tenants live a more comfortable lifestyle and save on energy bills. From the onset, listings highlighting these features can stand out and lead to longer lease agreements and higher rates of tenant retention.
Embrace green values: With solar power, your rental home cuts back on relying on fossil fuels and is run by clean energy from the sun. Besides reducing your carbon footprint as a business owner, you can also attract eco-conscious tenants who prioritise green living.
Solar power benefits for tenants
For tenants, choosing a home with a solar set-up can be worth any additional bump in rental costs.
Lower utility bills: With solar panels on your rental property, you can enjoy reduced electricity bills. Harnessing the power of the sun means less reliance on the grid, translating to potential savings at a time when electricity is rising in cost.
Enjoy the convenience: During loadshedding or power outages, rental properties with solar set-ups can still keep on lights, refrigeration, heating, and other devices. This can ensure your daily routine including cooking, studying, working, and staying entertained remains uninterrupted.
Stay in a secure property: Keeping lights and home security systems powered at all times is a must for your family's safety. As insurers and law enforcement report a spike in break-ins during load shedding periods, having solar power can ensure your security features remain online.
Live sustainably: By using clean, renewable energy, you can make a positive impact on the environment by reducing carbon emissions and supporting green initiatives.
Turning the switch on for solar power
Having a solar power set-up added to a property can make a world of difference. If a tenant proactively requests this feature, the landlord is under no obligation to make this change. If considered, there should be open negotiation, agreement, and exploration of the possibility. Here are some questions to answer:
- Is it feasible? Evaluate if the property is suited for a solar power set-up and if area codes or body corporate rules prevent solar power set-ups from being added to the property.
- What are the options? See what solar power set-ups are available on the market.
- How much will it cost? Besides the initial outlay, this will include future maintenance and potential increases in a tenant's rental.
Make solar power a real estate goal
Whether you're a renter looking for homes with a solar power set-up or a landlord looking to market your solar-powered property, turn to Kellaprince Properties. Our team are experienced in matching tenants with the right fit and ensuring landlords find success with their rental business. Reach out today to get started.
Author: Kellaprince Properties