July Solar Home Sales Continue Summer Slide

Phoenix Solar Home Sales July 2016

Phoenix area solar home sales continued their typical summer slow down in Phoenix according to recent data from the Arizona Regional Multiple Listing Service (ARMLS) from July 1, 2016 to July 31, 2016.

Phoenix Solar Sales in General

There were a total of 132 verified solar home sales in Maricopa County for the month of July, down from the 141 confirmed sales in June. Homes with a solar leases (whether monthly lease payments or prepaid monthly solar leases) accounted for 88 of the 132 sales (67%) while homes with solar owned electric systems accounted for the balance of 44 (33%) of the Phoenix area solar home sales in July 2016.

Median Price for Phoenix Solar Homes

The median price for a solar home in Phoenix bounced up to $281,500, up from $270,000 in June. Leased solar homes had a median price of $252,400 (down slightly from the median of $260,000 in June) while the median price for a solar owned home jumped to $317,500 in July from $278,500 the month before. The median price for a single family residence under $500,000 in Maricopa County in July was $238,000, slightly less than the $240,000 median price in June 2016.

Marketing Time for Solar Homes

The median days on the market for a resale home in Maricopa County was 41 days in July 2016. Solar in general stayed within reach of the average market with an median time to sell at 42 days. Phoenix homes with a solar owned system took a little more time with an average of 47 days while Phoenix area homes with solar leases outpaced the market with 39 days. The average days on the market for a solar home in Maricopa County was 71 days versus a market average of 57 days (solar leases had an average market time of 71 days while solar owned was 71 days).

Solar Sales By Phoenix Utility Companies

Almost three-quarters of the total solar home sales in Maricopa County were in APS territory (72.7%) while the remaining 27.3 percent of the solar homes were within SRP territory. SRP solar homes sold in 36 days versus solar homes selling in 44 days in APS territory. The median price for a solar home in APS territory was $283,750 and SRP territory was $277,450.

Impact of Mortgages on July Solar Home Sales in Phoenix

Mortgages helped finance 81.1 percent of all solar sales in the Phoenix area in July, down slightly from the previous month. Conventional financing (Fannie Mae and Freddie Mac mortgages) accounted for 49.2 percent of the total solar home sales in the Phoenix area while FHA and VA financing total 16.7 percent and 15.2 percent respectively. Cash home buyers purchased 18.9 percent of the total Phoenix solar homes for sale in July. Sellers contributed towards buyer’s closing costs in one-third of all sales (37.9 percent).

Typical Solar Home Sold in Phoenix

The typical solar home sold in the Phoenix area in July was a 3 bedroom, 2 bath home with 2,052 square feet on a 7,949 square foot lot. The solar home was built in 2002 and had a 5 kW solar array on the roof.

Considering selling a home with solar? Want to know how much additional value solar adds to your home? Give Rob, the Solar Home Broker, a call at 480-888-1234!

NOTE: Only resale single family residences that sold during the month of July 2016 in Maricopa County with a sales price of $500,000 or less were used in the analysis (non-luxury market). Properties priced over $500,000 fall into the luxury category and were not used in this analysis. All sales were verified to have a solar electric (solar PV) system that was owned outright by the home owner or had a solar lease. While all attempts were made to ensure quality and accurate data, I am limited by the data reported (for example, only 22 percent of listing Realtors actually inputted the size of the solar system). Homes with only solar water heaters or solar thermal pool systems that did not have a solar electric system on the roof were not included due to the extreme differences in these types of systems.