In theory, adding solar power to your home sounds like a great idea. It will save you money on energy costs over time, it’s good for the environment, and perhaps you’ll even start a trend on your block.
Of course, the decision isn’t so simple as that, since solar panels are a long-term investment. You’ll want to consider a few factors before you take on the up-front costs.
Can you afford it?
There’s no getting around the fact that solar panels are expensive. The good news, however, is they are way less expensive than they used to be, and there are some pretty attractive tax credits available right now to help make them more affordable. The Solar Energy Industries Association (SEIA) states that the average price of solar panels decreased 65 percent since 2010, while installation costs dropped about 40 percent.
In addition, Uncle Sam is willing to help too, in the form of tax incentives. As of now, the Residential Renewable Energy Tax Credit allows taxpayers to claim 30 percent of the cost for solar systems, but that benefit is up at the end of 2016. In addition, states also provide their own perks, rebate programs, and other tax breaks, but you’ll need to do your homework to figure out what your state offers.
Is your home in an ideal location?
How much benefit you’ll get out of solar panels will really depend on how much sunlight your home receives. Depending on where you live, how your home is situated (such as if there are any trees or taller homes blocking the sun), can make a huge difference in your decision. Keep in mind that even moderate sunlight exposure can turn out to be cost-effective for you if you pay a lot for your electricity, simply for the fact that you won’t be subject to the ever-fluctuating energy costs you’re dealing with now.
What about your roof?
Not all roofs are created equal, and depending on the type you have, it could bring up the installation costs, or it might not be ideal for solar panel arrangement. If you’ve got a standard shingled roof, you’re probably OK, but Spanish tiles, for instance could complicate matters. An installation consultation will help you figure out if your roof poses any challenges.
What are your future plans?
Remember, that although you’ll begin enjoying lower electric bills right away, it does take several years to recoup the investment of a solar panel system. In other words, you should think about if you plan to stay in your home for a few years before you move forward. That’s not to say that adding solar and then moving will be a devastating loss, since doing so will add to your home’s value (and selling price).
However, once solar panel installation is done, you can’t take them with you if you decide to move on.
Solar panels have proven to be a growing consideration among homeowners over the last few years. While they may not be right for everyone, it’s worth looking into, especially if your home enjoys ample sunlight year round, you’re currently paying high electricity prices now, and/or you live in a state that offers strong perks for solar installation.