Do Home Generators Increase Home Value? By How Much?

Last Updated on March 13, 2023 by Manager Access

Power outages can happen anytime, and they can be frustrating, especially when they last for several hours or days. That is why some homeowners invest in a generator as an alternative power source for whenever they lose power. However, do home generators increase home value?

Home generators can increase the value of your home. However, the increase in value may not necessarily be equal to the cost of purchasing and installing the generator. 

In this article, we will explore the topic and examine whether a house generator adds value to a home.

How Does A Home Generator Increase Home Value

How Does Home Generator Increase Home Value

Home generators increase property value because they are a desirable feature for many home buyers.

In areas that experience frequent power outages due to severe weather or other factors, a standby generator installed can be considered an asset that can provide peace of mind and convenience.

In addition, a backup generator can protect the home’s electrical system from power surges and other electrical problems, potentially saving homeowners money in the long run.

How Much Value Does A Home Generator Add to A Property?

Study Average increase in home value with a generator
2016 National Association of Realtors (NAR) study $5,000 or 3-5% increase depending on location
2018 Generac Power Outage Survey 75% of respondents believe a backup generator adds value to a home
2019 Zillow survey Homes with backup generators sell for 54% more than homes without generators in some New England areas
2021 Houzz & Home survey 22% of homeowners planning a renovation would add a generator or alternative power source

The table above highlights some unique data related to the impact of home standby generators on home value.

These studies and surveys provide insights into the perceived value of backup generators among homeowners and potential buyers.

While the increase in the price of a property due to a generator can vary based on location and other factors.

The data suggests that having an alternative but reliable power source can be seen as a valuable asset in the housing market. This is why most homeowners are investing in a standby generator.

What Factors Influence How Much A Home Generator Increases Home Value?

While owning a standby generator can certainly increase the value of your home, there are also potential downsides to consider that could affect its value.

In this section, we will discuss some of the potential downsides of owning a house generator and how they can impact a property’s price.

Home Generator Type and Size

Home Generator Type and Size

The type and size of a standby generator can impact the value of a home. In general, standby generators are considered to be more valuable than portable generators because they can power an entire home and are more reliable.

Additionally, larger generators, such as a whole house generator, may be more valuable than smaller ones because they can provide more power.

However, it’s important to keep in mind that the value of a home generator ultimately depends on the specific needs of the homeowner.

For example, if the home is small and the homeowner only needs to power a few key appliances during a power outage, a portable generator may be sufficient and could still add value to the home.

Energy Efficiency

Energy efficiency is another important factor to consider when it comes to home generators and the value of a property. Homeowners are becoming increasingly conscious of their energy consumption and are looking for ways to reduce their energy costs.

A standby generator for your home with a higher fuel efficiency rating can help homeowners to save money on their utility bills over time.

Additionally, generators that run on propane or natural gas may be more attractive to homeowners who are looking for environmentally friendly and cost-effective options.

This can be particularly important in areas where energy costs are high or where there are environmental regulations in place.


One of the main downsides of owning a house generator is the cost, particularly if it’s an initial purchase. Home generators can be expensive to purchase and install, with some high-end models costing tens of thousands of dollars.

This can be a big investment for homeowners, especially those who are on a tight budget. Additionally, ongoing maintenance costs can add up over time, further increasing the overall cost of owning a home generator.

The cost of a home generator can impact its resale value. If you install a high-end, expensive generator, it may not necessarily add the full cost of the generator to the value of your house.

In some cases, you may only recoup a portion of the cost when you get your house sold.


generator -noise-problem

Another potential downside of owning a house generator is the noise it can produce. Home generators can be quite loud when they are running, which can be a nuisance for neighbors or for homeowners who value peace and quiet.

This can be especially problematic if you live in a densely populated area where noise pollution is a concern.

Noise pollution can impact the desirability of your home. If potential buyers are put off by the noise from your generator, it could make your home less attractive to them.

They may be less likely to make an offer or may offer less than they otherwise would have.

Fuel Source

Home generators can run on a variety of different fuel sources. Each fuel source comes with its own set of challenges.

For example, if you run your generator on liquid propane or natural gas, you’ll need to ensure that you have a steady supply of fuel, particularly during an extended power outage. It can be extra challenging when fuel deliveries may be delayed or unavailable.

The fuel source you choose can impact the desirability of your home. If potential buyers are concerned about the availability or cost of your chosen fuel source, it could make your home less attractive to them.



Home generators require regular maintenance to ensure that they are functioning properly and ready to go when needed. This can be time-consuming and costly, especially if you don’t have the skills or knowledge to perform the maintenance yourself.

It’s also important to consider this:

A house generator that has been well-maintained is likely to be more reliable and have a longer lifespan. Potential buyers may find it more attractive.

Additionally, regular maintenance can help to prevent breakdowns and costly repairs, which can be a selling point for potential buyers.

On the other hand, a generator that has not been well-maintained may be less valuable or even detract from the value of a home. A generator that is in poor condition may require costly repairs or replacement, which can be a turn-off for potential buyers.

The maintenance requirements of your home generator can impact its resale value. If a potential buyer is worried about any ongoing maintenance cost, it can make them think twice about buying your home.

They may even find it hard to put out an offer even when there are frequent outages in the area.


The frequency and severity of power outages in the area can influence how much a home generator increases the price of a property.

In areas with frequent power outages, a backup generator may be more valuable than in areas where outages are rare.

Age and condition

Like any other feature in a home, the age and condition of a generator can affect its value. A new and well-maintained generator is more valuable than an old and neglected one.

In Conclusion

A home generator can be a valuable investment for homeowners. Not only does it provide peace of mind during a power loss, but it can also increase the value of your property.

While the exact amount of value that a home generator adds to your home depends on several factors, such as the size and type of the generator and the location of your home, studies have shown that a generator installation can increase your home’s value by an average of 5%.

However, it’s important to consider factors such as installation cost, ongoing maintenance, and noise level when choosing a generator.

Ultimately, a generator can be a wise home improvement investment for those who live in areas where a backup power source is frequently needed. is an independent review business. I am not affiliated with any manufacturers and do not accept paid reviews. When you buy through my links, I may earn a commission which helps me purchase more generators for testing. - Scott Krager

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