The Benefits of Installing Solar on Your Home
Looking to install solar on your home? The benefits of installing solar energy in your home are numerous. They include reduced electric bills, durability, and increased resale value. You’ll also enjoy tax benefits. Let’s take a look at these benefits. After all, who doesn’t want to save money on their electric bill? Installing solar panels is an excellent idea for any home. But how does it work? And is it worth the money?
Increased resale value
Installing solar panels on a home can increase its resale value. According to the Appraisal Institute, a house with a solar energy system can add more than $15,000 to the home’s overall value. In addition, a new full bathroom, a kitchen makeover, and hardwood floors can all increase the value of a home by about the same amount. You can pass on this to add value to future buyers.
Another study by the Berkeley Lab found that homeowners in Riverside, CA, and Orlando, FL enjoyed a $9,274 premium on their home’s resale price. These were the two hottest markets for home sales, with an average value increase of $22,295. This means a six-kW solar system can increase the value of your home by $22,000 to $30,000. Of course, the exact increase will depend on the size and age of your solar system and the surrounding neighborhood.
Lower electric bills
A solar panel system on your roof will make it possible to generate electricity and lower your electric bills. Electricity rates are on the rise, outpacing wage growth and inflation. Because utilities must constantly expand and maintain the grid, the cost of delivering electricity continues to rise. With the rising cost of fossil fuels, it makes sense to reduce these costs. Installing solar power on your roof can reduce energy costs and help you and the environment simultaneously.
If your utility company charges you by the kilowatt-hour, your bill will likely reflect that. However, if the installation is done correctly, your electric bill will be harmful. This is because your solar panel system has generated more energy than you’ve used. You can apply the excess energy to your next bill or pay the company for the unused fuel. Remember that you’ll still have to pay a minimum amount every month.
While solar panels are highly durable but susceptible to damage and wear over time, if they are broken, the panels and home could be destroyed. In such cases, homeowners should check with their insurance adjusters to determine if the manufacturer’s warranty will cover them. The panel’s quality is also essential, as different manufacturers produce different types of panels. Fortunately, most panels are very durable. Here are a few tips to keep in mind when purchasing solar panels.
First, ensure your solar panels are cleaned and inspected annually. If you do not, you risk voiding the warranty. Similarly, battery backup systems need periodic maintenance. Whether you use lithium-ion or sealed lead-acid batteries, they will require regular inspections. Battery warranties will last anywhere from three to 10 years. You will also need to check if your solar panels are still working correctly.
Several federal and state governments offer tax credits for renewable energy systems in your home. Unfortunately, federal tax credits are not refundable, but they may reduce the tax you must pay. Some states also offer additional honors, including property tax exemptions, waived fees, expedited permits, and cash back. Some states even let you sell excess power to your utility company. While it is difficult to calculate all of the tax benefits associated with solar energy, many states offer various incentives.
The first step is finding solar installers for those looking to make the most of these tax credits. Then, locate the tax forms you need to file. You can find these on the IRS website. Then, attach the necessary receipts to your tax returns. You can file your taxes any time during the year, but the most advantageous time to install solar on your home is before the end of 2022.
One of the biggest questions you may have before investing in solar panels for your home is their reliability. This question has many answers, but we’ll first cover the most common ones. Generally, solar panels are highly reliable. For example, one study looked at the reliability of solar panels from 2005 to 2015. The researchers looked at the reliability of over 55,000 PV systems installed in the United States and found that only five out of every 10,000 panels needed replacement. This rate is meager but still higher than the typical failure rate for other renewable energy sources.
A study by the National Renewable Energy Laboratory found that only five solar panels out of every 10,000 installed failed, or about 0.5 percent. This failure rate is likely to be higher in harsher environments. Regardless, solar panels from a reputable installation company will have a 20 to 30-year warranty. So you’ll have peace of mind knowing that they will keep producing electricity for many years. While the reliability of solar panels will vary with the type of installation, you can expect to pay a lower electric bill over the long term.