Does An EV Charger Increase The Value Of Your Home?
In this modern world with so many advances in home design, functionality, and technology, there seems to be an endless number of ways to improve your home. Whether it’s turning it into a smart home or making your house as energy efficient as possible, there are lots of ways to make your home better. Some of these improvements are personal preferences, while others can drastically increase the value of a home. Take installing an EV charger in your home for example. Is this simply a personal preference, or can installing an EV charging station increase the value of your home?
An EV charging station can increase the value of your home, but not always. North American car owners continue to slowly, but with increasing frequency, purchase plug-in electric vehicles. If this trend continues, home EV charging stations will become more desirable. Keep in mind the state, city, and neighborhood you live in, as well as the energy efficiency level of your home, can affect how an EV charger will impact your home’s value.
While installing an EV charging station may have a positive impact on your home’s value, you should ask yourself if it is the right decision for you. If you don’t have an electric vehicle, you might wonder if perhaps your money might be better spent on another add-on. Or if you live somewhere where electric vehicles are still unpopular, you might wonder if adding a charging station will have any impact at all. Keep reading to better understand how installing an EV charger can affect your home’s value, and if it is a home upgrade you should consider.
How Does Installing An EV Charger Affect Your Home’s Value?
You might be wondering how an EV charger in your garage can affect the value of your home. Just like any home improvement, it is about the perceived value of the addition that can increase or decrease the value of a home.
Therefore, an EV charger will increase the value of the home if it has some intrinsic value – and it does. Having an EV charger on your own property allows an electric vehicle owner the chance to have a safe, reliable, and local spot to charge their vehicle on the property. This means the car will always be fully charged before leaving the driveway.
While on the surface this seems like an amazing improvement, it is important to remember that only a small fraction of Americans drive EVs. Therefore, it might not be seen as a huge value to many potential buyers. Let’s look at some of the factors that can impact whether installing an EV charger in your home can increase the value of your home.
Factors That Can Effect An EV Charger’s Impact On Home Value
While installing an EV charging station is unlikely to ever decrease your home’s value, there are several factors that can impact whether or not it will increase the home’s value, and by how much. Below are some of the most critical factors to think about before installing an EV charger to increase the value of your home, as they can all have an impact.
The State You Live In
The state that you live in is perhaps the biggest factor when it comes to how much your home will increase in value after installing an EV charger. This is because some states have many incentives and infrastructure for electric vehicles, while others do not. This also results in some states having lots of electric vehicles, while they still remain quite unpopular in other states.
California, for example, has highly incentivized owning an electric vehicle and even wants to stop selling non-electric cars in the near future. Therefore, an EV charging station in a home in California is a smart and solid investment in increasing the value of your home.
Other states, especially rural states with few cities and long distances between locations, like Wyoming and Montana, are less likely to show significant increases in property value if you install an EV charger.
Your Specific Neighborhood
It’s not just the state you need to consider, but also the city and neighborhood you live in. The odds are that if you live in a city or municipality that has prioritized EV charging stations, then you live somewhere with lots of EV users. The more popular electric vehicles are where you live, then the odds are the more valuable having a private EV charging station will become.
Keep in mind, however, that if there are several free places to charge an EV, then having one in your home isn’t as appealing.
Apartment Vs. HOA Vs. Single-Family Home
The type of home environment you have can also impact how much an EV charger will increase your home value. If you have a standalone home, then an EV charging station is usually a good idea. But if you live in an HOA or a sprawling condo or apartment complex, there might already be EV charging stations throughout. So, unless these stations are often full, or charge a significant fee, then having your own EV charging station might just seem redundant.
Is The Home Energy Efficient?
You also need to consider your home’s energy efficiency. For example, if you install an EV charging station in a home that runs off of a busy and expensive electrical grid (like Los Angeles), then an EV charging station isn’t ideal.
If, on the other hand, your home relies on lots of solar power and other renewable energy, then an EV charging station is ideal, and a great investment. It is also likely to pique the interest of homebuyers looking to save on energy and fuel costs in the future.
Who Is The Buyer?
A deck, a screened-in porch or a two-car garage, and a pool are add-ons that many homebuyers enjoy. Therefore, they are usually a safe bet when it comes to investing money and getting a return.
An EV charger, on the other hand, will likely only be perceived as a great asset to those who have an electric car or want one. This is still a very small percentage of Americans (less than 5% of Americans own a plug-in EV). So, it is a bit more of a gamble than adding a deck.
Is It A Good Idea To Install An EV Charger In Your Home?
If you are wondering if it is worth it to install an EV charger in your home, you should know by now that this is a nuanced question, and the answer depends on the person. If you don’t own your own electric vehicle, then you might want to consider other home improvements before adding an EV charging station. After all, what’s the point in improving the home if you can’t enjoy the improvements first?
If you do own an electric vehicle and have found charging it to be a bit difficult at times, then do some basic math. See if the installation will pay for itself in the time you save and the level of convenience. If so, then any money you make additionally when you sell the house is a bonus. But it is best to not bank on an EV charger adding lots of money to the value of your home because the perceived value of this upgrade will vary based on the buyer.
Summing Up If An EV Charger Will Increase A Home’s Value
If you are wondering if installing an EV charger in your home will increase the value of your home, the answer is: yes, sometimes. On one hand, adding an EV charging station is a huge convenience for anyone who owns an electric plug-in vehicle. It is a reliable, safe spot to charge the car, and it ensures your battery is fully charged every time you leave home. But only a small percentage of drivers use cars that need an EV charger. While this number is slowly increasing, you should think about the state you live in and even your specific neighborhood.
If EVs and charging stations are growing in popularity near you, then installing a charging station might be a great investment. If, however, you live in a rural area and seeing an electric vehicle is like spotting a unicorn, then don’t count on your newly installed EV charging station to pump up the price tag on your home.
Tom Gaffey is an expert writer who currently resides in Washington D.C. Tom has a passion for real estate and home improvement writing, as well as travel and lifestyle writing. He lived the last twelve years in Hawaii where he worked closely with luxury resorts and event planners, mastering his knowledge of aesthetics and luxury products. This is where he found his passion for home improvement and a keen interest in DIY projects. Currently, Tom resides in Washington D.C, and also working on his debut fiction novel.
More by Tom Gaffey