Are Solar Panels Right for Your House?

Many homeowners are looking for ways to reduce their monthly utility bills. It’s equally wise to look for ways to reduce your carbon footprint. Adding solar panels to your house is a home maintenance project that will accomplish both. But is it right for you?

Solar panels can be a smart decision … for some homeowners. Before you sign on the dotted line, review the benefits and drawbacks to determine if adding solar panels to your home benefits you.

How much do solar panels cost?

Like any other home improvement project, solar panels can be an expensive upgrade. According to the Center for Sustainable Energy, the average residential system will cost $15,000 to $25,000 prior to tax credits or other incentives.

The price ultimately depends on the size of the system you need and the type of solar panels you want to use. Keep in mind that upgrading to solar energy is expensive upfront as you invest in new equipment. The longer you own the home, the more benefits you’ll derive, as it lowers your overall monthly expenditures.

What about subsidies?

While the cost of solar panels is pretty straightforward, there are ways you can save on the purchase price. Government incentives and local utility subsidies can provide additional savings.

The Federal Solar Tax Credit allows you to deduct 30 percent of the cost of a solar panel investment from your federal income taxes. This credit is available through 2033 when it will lower to 26 percent.

To find details on incentives within each state, you can use the Database on Incentives for Renewables & Efficiency. You can also check in with your local utility company to see what they offer. Use this handy solar calculator to determine solar panel cost and savings based on your location and which electric utility company you use.

Are solar panels usable in all climates?

Solar panels convert sunlight into energy. But it’s a common misconception that you must live in a sunny location to use solar panels.

Solar panels work by allowing particles of light to separate electrons from atoms, generating a flow of electricity. Solar panels are created from many small units called photovoltaic cells that convert sunlight into electricity.

Have you ever been sunburnt on a cloudy day? Sun still filters through, whether the sun is visible or not. Weather conditions may impact the amount of electricity a system produces, but it’s not the only factor. Perfect conditions may include a bright, sunny day, but they can be even more efficient when the temperatures start to cool. As temperatures rise, it generates less voltage, resulting in lower electricity production levels.

Therefore, does solar panel installation make sense in your city? You’ll need to talk with an expert to determine your savings.

Is now the right time to invest in solar panels?

There’s never been a better time to invest in solar panels. There are several reasons for that.

With more companies jumping into solar panel production, it’s opening up more competition. As the number of homeowners taking advantage of solar power increases, the cost of solar panels will continue to go down. Need more proof they’ll work in your community? Chances are, all you have to do is ask a neighbor. If they can attest to increasing efficiency while lowering costs, it’s enough to motivate everyone in the neighborhood.

If you do a quick evaluation to determine if installing solar panels is right for you, you will notice it can take 8 to 12 years to break even on the investment. If you’re planning to move soon, you might be leery of moving forward. However, a study by Zillow determined homes with solar energy sold for 4.1 percent more than homes without. It’s a great way to add value to your home while reaping the reward in the short run. It is worth noting that you’ll only get full value if you buy the system, not lease it.

Did we mention incentives? Right now, because of the growth and demand in the solar power industry, you’ll find incentives at their highest point. You might get several tax credits and rebates to help lower the cost. If you’re in the process of making your home more efficient, this is a great time to move forward with solar panels. After all, green energy helps lower your carbon footprint while making your home more sustainable.