Are you thinking about installing solar panels but aren’t sure if it’s worth the extra cost?
On average, you can expect to pay anywhere from $10,000 to $20,000 to install solar panels. While this is a large chunk of money, there are many financial benefits of solar panel installation that can help offset these initial costs.
Read on to learn about the top financial benefits of solar panel installation.
- Save Money On Electric Bills
While installing solar panels will cost you more money upfront, you’ll experience massive savings on your monthly electricity bills. This is primarily done through a process called net metering.
Net metering is a billing system that credits homeowners with solar panels for the electricity they contribute to the grid. A solar panel system continuously generates electricity, resulting in a surplus of energy. Your unused, extra electricity can then be delivered to the power grid.
The electricity you add to the grid each month is paid for by your utility company and appears as solar credits on your billing statements. These credits are then subtracted from your monthly expenses.
The more electricity you contribute to the grid, the more solar credits you earn, and the more money you save each month.
- Earn Tax Incentives
Lucrative tax incentives are also available to those who install solar panels. Solar panel owners receive an investment tax credit, which is also known as a federal solar tax credit.
With this tax credit, you can deduct around 26% of your installation costs from your federal taxes. Additionally, there are other tax incentives and rebates available depending on your location. So, do your research to discover other tax incentives you may qualify for.
- Increase Your Property’s Value
If you’re thinking about selling your house some time down the road, solar panels are a great investment. This is because they can increase the property value of your home.
Typically, a solar panel system can increase the value of a home by $20 for every $1 reduction in utility bills. Your solar provider can help you determine how much of an increase you’ll see in the value of your property.
- Huge Return On Investment
Solar panels typically last between 25 and 30 years, so you’ll see a large return on your investment over time. Generally, solar panel owners see a 20% return on investment or more, with most solar panel systems paying for themselves multiple times over during the course of ownership.
Plus, many solar panel systems come with warranties that last 25 years or more, so if there’s an issue with your system, you may not have to pay out of pocket to fix it.
- Save Money on Costs Associated With Climate Change
According to a recent study, it may cost anywhere between $300 billion and $50 trillion to end global climate change. By purchasing solar panels, you can help stop global warming, and hopefully, offset some of the costs associated with global climate change.
You’ll also be reducing your home’s carbon footprint by taking advantage of a naturally replenishable and inexhaustible resource.
Solar Panel Installation: Time to Install
Now that you understand the financial benefits of solar panel installation, it’s time to think about installing them in your home. Make sure you work with a reputable solar contractor, as this will ensure your solar panels last as long as possible.
And, check back in with us for more news on solar panels!