Do Solar Panels Increase Property Taxes in Florida?

If you’ve decided to install solar panels at your Orlando or Central Florida home, congratulations! You’ve just made a fantastic decision to take your electricity into your own hands, and we couldn’t be more excited. But you may still be wondering if your solar array will increase your property taxes, and that’s a great question!

Our team at Solar Bear Orlando shares what you should know about solar energy and property taxes in the state of Florida.

Do Home Improvements Impact Property Taxes?

First, let’s take a moment to discuss how Florida’s property taxes are calculated. Property taxes are determined by the county you live in and the value of your specific property. When you invest in home improvements, this can have a significant impact on the value of your home, which can sometimes cause your home to be assessed, and tax value reassigned depending on the improvements that you have made to your property.

Solar panels do add value to homes based on home appraisals, and depending on the size and location of the home, can increase the value of the property by 10-15 thousand dollars. While an increase like this may lead to slightly higher property taxes in many states, this is not the case in Florida. Any increase in property value due to the installation of a solar array is exempt.

Florida Property Tax Abatement for Renewable Energy

This exemption is due to the Florida Property Tax Abatement for Renewable Energy law which allows Florida homeowners to install solar panel systems at their homes without experiencing an increase in property taxes.

This abatement, which was introduced in 2013, is available through the end of 2037. It works like this:

Say your property taxes are $4,000 each year. If you install solar panels, which in this example we will say adds $30,000 to your home’s value, your tax rate will remain the same instead of increasing like it would in other states.

And the best part? This isn’t the only tax-related solar policy that benefits homeowners in the Sunshine State. Make sure you take advantage of the solar sales tax exemption for your solar equipment, which helps you save more money when you decide to go solar!

Read More > Can HOAs Legally Deny Solar Panels in Florida?

Choose Solar Bear Orlando

Installing a solar array in Central Florida is a smart decision for many reasons. First, you’ll gain energy independence, and second, it can be a smart financial decision with many perks that you can take advantage of. And now you know that you can increase your home’s value with solar without worrying about higher property taxes. We call that a major win!

If you’re ready to go solar, consider partnering with our pros at Solar Bear Orlando. We are considered one of the #1 solar companies in Florida for a reason, and our commitment to helping homeowners experience a sustainable future is what drives us forward every day.

Get started by contacting us for a no-hassle quote today at (727) 471-7442!