Solar energy is growing in popularity with homeowners as they turn to this sustainable form of energy for its environmental benefits as well as its financial advantages. While many recognize that solar power reduces carbon emissions, making it a cleaner form of energy than fossil fuels, the question remains: what are the financial benefits of going solar? Is the investment in solar energy worth it? In this blog post, we’re sharing the cost savings of going solar along with other financial benefits solar power provides so you can decide if it’s a smart decision for your home and family.
What Are The Financial Benefits of Going Solar?
Investing in a home solar energy system offers many financial benefits. Installing solar panels on your home can save you a lot of money in the long-run and even make you money by increasing your home’s value and qualifying you for tax credits and government incentives. Whether you’re buying a home with solar panels or investing in them as a home improvement project, solar energy proves to be a great investment for many homeowners.
Lower Utility Bills
One of the most immediate and obvious financial benefits of solar power is the lower cost of monthly electricity bills. Solar panels generate electricity from the sun, reducing your dependence on the traditional power grid. By generating your own power, you can take control of your energy (and your utility bills!). Over time, these savings can add up to thousands of dollars, making solar panels a smart financial investment that keeps on giving. Plus, any excess power that you generate can either be stored in a battery for use during times when the sun doesn’t shine or sent back to the grid in exchange for energy credits.
Energy Independence
By installing a solar energy system, you are able to take control of your energy consumption and rely less on external energy sources. This gives you greater control over your energy costs and consumption. This protects you from fluctuating prices, unexpected rate increases, and traditional power outages, ensuring long-term financial stability and access to energy.
Increased Home Value
Homes that are equipped with solar panels are often more attractive to buyers, potentially leading to a higher sale price and quicker sales times. Studies show that homes with functional solar energy systems can increase in value by 4.1% to 6.8%. A 2019 Zillow study found that solar-powered homes sold for an average of 4.1% more than homes without solar panels. I don’t know about you, but that makes solar energy look like a pretty appealing investment if I was a homeowner looking to boost my property value!
Government Incentives and Tax Credits
As solar energy gains popularity (for good reason!), governments are catching on to the environmental and financial benefits as well. Many governments offer financial incentives, including tax credits and rebates, to encourage more homeowners to adopt solar energy for their homes. For example, in California, homeowners may qualify for solar tax credits ranging from $7,500 to $15,000. With the federal Solar Incentive Tax Credit, homeowners can earn a tax credit up to 30% of their total installation cost. These incentives can significantly offset the initial investment in installing solar panels, making them a more affordable option.
Long-Term Savings and ROI
The upfront cost of solar panels is definitely an investment and one that can make some homeowners question whether it’s worth it, but the long-term savings far outweighs the initial expense. Not to mention the added benefit of energy independence. On average, homeowners can expect to break even on their solar investment within the first 5-10 years of having solar power as their cost savings adds up to the total cost of their solar system. After that “payback period,” your solar system essentially produces free electricity from then on out during the lifespan of the system. This is typically 25-30 years depending on your system and its warranty. With the high cost savings and longevity of your solar system, solar panels can provide a strong return on a very worthwhile investment.
Reduced Carbon Footprint
The financial benefits of solar power are a major draw to this form of sustainable energy, but the reduction of your carbon footprint and reliance on fossil fuels for energy is also important to consider. Solar energy contributes to a cleaner environment and a more sustainable future, while still saving homeowners money on their energy costs.
Options During Grid Outages
Solar energy systems with battery storage can also provide an option for keeping your lights on and appliances running during grid outages. This gives homeowners peace of mind that they have options when the power goes out, preventing costly and frustrating disruptions.
What is the Financial Cost of Solar Energy?
The financial cost of solar energy varies depending on your system size, the type of panels you choose, your mounting system, location, and available incentives. While solar panel installation can range from $15,000-$25,000 before incentives, the savings on electricity bills and the potential increase in your home value often makes the investment worthwhile. There are also financing options such as solar loans and power purchase agreements, which can help homeowners go solar with little to no cost upfront.
Are the Financial Benefits Solar Power Provides Worth the Cost?
For many homeowners, they are drawn to solar for its financial benefits. However, they still need reassurance that they’ll see real savings in the long-run, making their investment worthwhile. By choosing a solar provider that will be transparent with you and clearly explain incentives, tax credits, and the long-term return on investment, you can feel more confident in your decision to invest in solar energy.
At Blu Solar, we specialize in maximizing financial incentives and helping our clients lock in predictable, lower energy costs for years to come. We’re committed to helping you navigate solar every step of the way, ensuring every question is answered and every tax credit and financial incentive is taken advantage of. Our motto is to make the process of solar 100% headache-free!
Invest in Solar Energy Today!
So, is solar energy a good investment? With lower energy bills, increased home value, and long-term financial stability, the answer for most homeowners is a resounding yes!
If you’re ready to invest in solar energy, now is the time to explore your options and start saving, and we’re here to help you every step of the way.
Visit our website to request an estimate today!
