Skip to main content

How your neighbor’s cool new Tesla may raise your property value

Public interest in electric vehicles (EVs) is on the rise as people are beginning to make more permanent environmentally-friendly changes to their homes and in their lifestyles. With car manufacturers ramping up production to meet this growing demand, it’s becoming more and more common to see EVs in store parking lots, on the road, and even in your neighborhood. With EVs and their charging stations popping up all over, will your neighbor’s new Tesla EV increase the value of your home? We’ve got the scoop.

Image used with permission by copyright holder

Does your neighbor’s Tesla EV impact your property value?

It may seem like the make of your neighbor’s car can’t impact your home’s value at all, right? Well, when it comes to electric vehicles, that may be the case. Many EV owners are updating their property to include high-performing stations that allow them to charge their vehicle quickly and conveniently at home. With more consumers purchasing EVs, they’re likely to pay a premium on a house with an existing charger.

Recommended Videos

When your neighbor’s home value increases, so does yours

When appraising a home, the price of other homes recently sold in your neighborhood is a major factor. That means that when your neighbor’s house sells for much higher than its previous price, there’s a good chance that your home’s value can skyrocket too. While home-specific upgrades like pools or finished basements primarily impact just the home on sale, eco-friendly updates can signal to prospective buyers that the community as a whole may be eco-conscious. This raises the profile of your neighborhood, potentially increasing the value of all the homes there.

The benefit of rising interest in electric vehicles

If a large number of homebuyers are expected to own electric vehicles shortly, this creates a massive demand for homes with EV chargers already installed, thus increasing their property value. Luckily, the popularity of EVs is most certainly on the rise. Sales of electric vehicles have tripled in the past four years.

The question is, do these numbers mean that the majority of people will be interested in electric vehicles eventually, and will they need homes with charging stations? According to a recent Pew Research survey, around 40 percent of people are seriously considering going electric when they buy their next car. Additionally, 88 percent of EV owners charge their car at home most, if not all, of the time, so a good portion of homebuyers will be looking for that charging feature.

Neighborhoods with EV chargers have higher home values

Research by Realtor.com found that housing markets with a high number of electric vehicle charging stations tend to have higher average home prices. It’s unclear, however, whether or not the charging stations actually increased home values or if wealthier homeowners are simply more equipped to purchase those higher-priced electric vehicles.

While this correlation between luxury vehicle accessories and home values doesn’t necessarily prove causation, the fact remains that EV chargers are in higher-valued homes, and the presence of one in your neighborhood can only help to attract homebuyers that are willing to pay higher prices.

guteksk7 / Shutterstock

The impact of car manufacturers’ green goals

With environmental concerns and awareness around climate change increasing every day, car manufacturing companies are taking notice. Many companies like General Motors, Volkswagen, Ford, and Volvo have committed to making all or most of their new vehicles electricity-powered in the next 10-15 years.

This increased competition can also drive down the price of an average electric car, making it more accessible to the general population. This can also increase the number of people with EVs who need homes that can charge them.

The future of electric vehicles

Since we can expect many other manufacturers to follow suit, electric vehicles will become increasingly common, and homebuyers will require features like charging stations in the homes they’re considering. This means that the homes in your neighborhood with charging stations will soon be in high demand, increasing their listing price as well as your own home’s property value.

There’s no doubt that electricity is the future in vehicle manufacturing, and the popularity of these eco-friendly vehicles has created a subsequent demand for charging stations. While it’s still unclear how much EVs and their charging stations can increase home values on their own, it signals to prospective homebuyers that your neighborhood just might be the earth-conscious community they’re looking for.

Editors' Recommendations

Veronica Sparks
Veronica Sparks is a writer from Milwaukee, Wisconsin who loves writing about gardening, home décor, and DIY life. She’s…
Smart bathroom design: How to upgrade your space, according to the experts
Bring tech into your space for a new design element
Modern minimalist bathroom with light colors

When it comes to home design, bathroom renovation and upgrades are usually among our top priorities. With the advent of smart technology, though, home design experts say it's time to reconsider how you approach your bathroom design. Smart bathroom design is a growing trend that combines functionality, convenience, and style.

"As smart home technology continues to advance, bathrooms will likely incorporate more high-tech features."

Read more
How to make your kitchen design more functional, according to experts
Here’s the best way to make use of your kitchen most efficiently
Navy blue farmhouse-style kitchen design

The kitchen is the heart of the home. It’s where families gather several times a day, making it one of the most used rooms in the house. That’s why the kitchen design needs to be functional and multi-purpose, capable of adhering to your family's needs throughout the busy day.

To get some advice on how to best utilize the space, we spoke to Laurel Vernazza, Home Design Expert at The Plan Collection. Here’s what we learned.

Read more
Replacing your doors and windows? This is what you should buy, according to an expert
Change up the aesthetics of your space with door and window replacement
three vertical windows with a view of nature

When it comes to upgrading your home, one of the most impactful changes you can make is door and window replacement. Not only does this improve the overall aesthetics of your space, but it also enhances energy efficiency and security. As we step into 2024, experts in the field of doors and windows are predicting some exciting trends that will shape the choices homeowners make when it comes to replacing their doors and windows.

From window embellishments and stunning views to smart window technology, let's explore what you should consider when replacing your doors and windows this year.

Read more