Solar panels for rental properties

Solar panels help landlords increase property value, improve their ROI, and stay in line with government regulations. 

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When letting properties with bills included, landlords who install solar panels can significantly slash their electricity costs. For those who don’t handle the bills for their portfolio, the prospect of lower energy bills for tenants would make properties more attractive and allow them to be let at a higher rate.

Solar panels also add value to your properties if you ever decide to sell, as they make them more environmentally friendly and self-sufficient for the duration of the panels’ 25+ year lifespan.

At MakeMyHouseGreen, we’ve successfully helped landlords like you install solar panels and make a smart investment in their properties. Our expert team will help you determine how much solar will cost for your properties, how much energy they would generate, and what impact solar panels can have on your energy efficiency rating.

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Improve EPC ratings with solar

New government legislation mandates that in order to be privately let, all properties must have an EPC rating of C or higher by 2030. This standard would apply to all new tenancies from 2028.

However, most of the ways to retrofit a property, such as adding floor or wall insulation, are costly and disruptive to tenants, involving multiple days of in-home installation work. Solar panel installations, on the other hand, usually only take one day to complete. Residents only lose power for about 15 minutes, and the panels start generating electricity immediately after being put up.

By allowing residents to save thousands of pounds on energy and significantly lowering a home’s carbon dioxide emissions, solar panels can bring up a property’s EPC rating by one band or more. In fact, we’re so confident that solar will improve your property’s energy efficiency rating that we’ll give you a free EPC assessment if you install solar with us.

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Benefits of solar for landlords

Increased property value: Solar panels can raise home prices by as much as 16%, making them a great investment in case you decide to sell the property in the future.

Lower energy costs: As energy prices continue to rise, generating renewable electricity with solar panels becomes increasingly cost-effective. Landlords and tenants alike can expect a reduction of up to 90% on their energy bills.

Improved EPC rating: Installing solar panels is one of the most cost-effective and efficient ways to improve a property’s EPC rating. By switching to solar, you can easily raise a property’s EPC rating by one band or more.

Generate additional income: You can sell any excess energy you generate back to the grid, creating additional revenue streams from your property.

Our process for installing solar panels

We want to make the process of switching to solar as smooth as possible, and are dedicated to providing unbiased advice throughout your journey. Here’s how we guide you every step of the way:

Step 1: Start by using our solar savings calculator to instantly see how much you could save per property. Get an accurate estimate of your system’s potential and savings, tailored to your property’s unique layout and energy needs.

Step 2: Book a free consultation with our experienced solar experts to discuss your energy needs in more detail. Working with a 3-D model of your property, they’ll create a customised solar design that fits your goals and budget.

Step 3: Our MCS certified installation team will ensure your solar panels are installed safely, efficiently, and to the highest standards. We take pride in completing projects with minimal disruption to tenants, keeping the property running smoothly throughout the entire process.

Step 4: After the installation is complete, we’ll arrange and pay for an EPC assessment for your property. You’ll be able to see the impact of solar for yourself – and continue renting your property into 2030 and beyond.

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FAQs

How long is the payback period for rental properties?

The payback period for your property depends on the size of your system as well as factors such as the orientation of the roof, shading, etc. On average, payback periods for rental properties range from 5-10 years. You can calculate your payback period with our solar calculator.

Do I need tenant permission to install solar panels?

Generally, no - as the property owner, you can install solar panels without tenant permission since they're considered property improvements. However, it is best to check the lease terms and give tenants advance notice of the installation.

How do I structure solar costs with my tenants?

You have several options for handling solar costs with tenants:

Inclusive rent model: Increase rent and cover all energy costs yourself. This simplifies billing and makes your property more attractive since tenants get "free" electricity.

Separate solar billing: Keep rent the same but charge tenants a fixed monthly solar fee (typically 15-20% less than their previous electricity bills). This provides immediate savings for tenants while allowing you to recoup your investment.

Consumption-based billing: Charge your tenants for the energy they use, but at a cheaper rate than what it would cost for the grid. This allows you to get paid for the exact energy your panels produce.

What happens when tenants move out?

Solar systems are permanently attached to your property, so you retain all benefits regardless of tenant changes. There is no disruption to solar generation if tenants move in or out.

Ready to see what you can save?

Our solar calculator is 100% free to use. Enter your postcode below to get started.

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