Solar technology has advanced to the point where the costs of installing a solar energy system in your home can be almost entirely negated by the savings you get on your utility bills. In fact, between government tax incentives and various purchase/finance/lease options, most residential solar systems repay their initial investment within 7-10 years, and often require minimal to no initial out-of-pocket cash whatsoever.
In areas like Arizona, where air conditioning is a necessity as summer temperatures climb well into the 100’s, harvesting our most abundant natural resource is essential because the costs of buying power from your local utility are only going up. With a warrantied life of 25 years and effective life of 40 - 50, solar panels lock in predictable energy costs for decades.
For those of you considering making the switch to solar energy, here are three important financial benefits to consider:
1. Lower Power Costs and Lower Bills
The most obvious financial benefit of solar power is that it can lower your utility bills. It’s a simple equation, actually. Any power you produce yourself through your solar panels is power that you don’t have to purchase from the utility. What’s more, when your system produces more power than you’re using, that power is sent back into the grid where it's redistributed to users. And if your utility provider supports net metering, you’ll receive a credit for the excess energy. When that happens, your solar system is actually making you money!!
2. Increasing Home Value
Installing solar panels or a solar water heater can increase your home's value by at least the cost of the system. While this isn't a benefit you'd notice immediately, it's one you'll see when you go to sell your home down the road. With solar becoming more and more popular among homeowners, solar is one of the few home improvement projects that not only improves the resale value of your home, but pays for itself along the way in the form of reduced electricity bills.
3. Tax Breaks and Rebates and Other Purchase Options
Get money back on your purchase, or get a cash incentive to buy a solar system. Right now there are lucrative federal tax incentives available that can offset nearly one-third of the purchase prices of a solar system through a 30% tax credit. The state of Arizona offers a flat $1000 incentive as well.
In addition, there are also compelling financing and leasing options available. Today it’s entirely possible to go solar with minimal to no out-of-pocket investment. So long as your monthly lease or loan payment is below your average bill, you’re still left with money in your pocket at the end of the month and many decades of predictable energy costs.
Are you interested in the financial benefits of solar energy? If so, you can download our complimentary solar guide to learn more about the important factors that impact your solar return on investment. We invite you to download the guide, and if you're interested, request a free custom solar quote from one of our solar experts today.