How do the new solar rules affect your North Park home, whether you’re buying, selling, or staying put?
California’s appeals court just locked in NEM 3.0 for good. If you own a home in North Park or the surrounding San Diego metro neighborhoods, this ruling directly impacts your energy costs, your home’s value, and your next move.
How NEM 3.0 Affects Your North Park Home
Under the old rules (NEM 2.0), your solar panels earned you retail-rate credits, roughly $0.30 to $0.40 per kilowatt-hour for excess energy sent back to the grid. That made the payback period about 5 to 6 years.
NEM 3.0 cut those credits by about 75%. Now you’re looking at $0.05 to $0.08 per kilowatt-hour. Without a battery, the payback period stretches to 9-13 years.
That’s a big shift. But solar isn’t dead in North Park. The strategy has changed.
If you’re a North Park homeowner wondering how this affects what your home is worth today, get a free home valuation here to see where you stand.
What North Park Sellers Need to Know About Solar
Solar panels paired with battery storage still add real value to your listing. Buyers in North Park want lower energy bills. A home with a smart solar setup stands out in a market where energy-conscious buyers are actively looking.
Here’s what matters when you’re pricing your North Park home:
- Is the system on NEM 2.0 or 3.0? NEM 2.0 systems are grandfathered in and more attractive to buyers.
- Does the home include battery storage? That’s a selling point under the new rules.
- Is the system owned or leased? Owned systems add more value at closing.
Thinking about selling your home in North Park? You should know exactly how solar impacts your listing price before you go to market. Here’s a step-by-step guide to selling your house in San Diego to help you plan your next steps.
What North Park Buyers Should Ask About Solar
If you’re shopping for a home in North Park or nearby neighborhoods like South Park, University Heights, or Hillcrest, solar should be on your checklist.
Ask these questions on every tour:
- Is this home on NEM 2.0 or 3.0?
- Does the system include battery storage?
- What are the average monthly energy costs with the current setup?
- Is the solar system owned outright or leased?
These details directly affect your monthly costs and long-term investment. Check out the full guide to buying a home for more on what to look for when evaluating properties in San Diego.
New to the area? The San Diego relocation guide breaks down what you need to know about moving to North Park and the metro neighborhoods.
What Actually Happened in Court
On March 10, 2026, California’s First Appellate District Court of Appeals ruled 3-0 to uphold NEM 3.0. This is the updated net energy metering system implemented by the California Public Utilities Commission (CPUC) in 2023.
Environmental groups challenged the ruling. They argued NEM 3.0 violates state law meant to help rooftop solar grow sustainably. The California Supreme Court sent the case back for a closer look in 2025. But the appeals court again sided with the CPUC.
NEM 3.0 isn’t going anywhere.
Solar Still Makes Sense in San Diego – With the Right Setup
NEM 3.0 pushes homeowners toward pairing solar with battery storage. You get more value by storing energy and using it during peak hours instead of sending it back to the grid at low rates.
Here’s what the smart move looks like in 2026:
- Pair solar panels with a home battery system
- Prioritize self-consumption over grid exports
- Take advantage of federal tax credits still available for solar installations
- Factor solar and storage into your home’s overall value
San Diego gets roughly 266 sunny days a year. Solar still pencils out here – you just need the right approach.
What’s Your North Park Home Worth Right Now?
Whether you already have solar, are thinking about adding it, or just want to know where your property stands, this is the question that matters most.
As a North Park Realtor with McT Real Estate Group, I work with homeowners across North Park, South Park, and San Diego’s metro areas every day who want clear answers. No guessing. No inflated numbers. Just real data.
Request your free San Diego home valuation and find out exactly where your property stands, solar or not.
Written by Z.McT-Contreras, REALTOR® serving North Park, South Park, and the greater San Diego metro area with McT Real Estate Group.