Solar panels- the pros and cons
If you are looking to upgrade your home, solar panels might be an option you want to consider. They are easy to set up and can save you money in the long run. However, before you install them, it’s important to know about their advantages and disadvantages. Some people who have installed solar panels have found them to be effective, but others have felt that they weren’t worth the price or other sacrifices they had to make in order to use them effectively. Here we take a look at the pros and cons of using solar panels on your home so that you can determine if they are right for you.
Great Energy Savings
One of the biggest benefits of switching to solar is that it helps people save money on their energy bills. There’s not a whole lot more you can do in terms of cost savings that has such a dramatic impact on your wallet! As technology advances, these systems are also expected to keep growing in efficiency, meaning they’ll pay for themselves even faster over time. For example, a home solar system may cost $30,000 when installed, but with an expected life expectancy between 25 and 30 years (the length of your loan), you could end up paying back your investment in just five or six years. This means you’ll be essentially getting free power at around 20% less than your utility rate after all is said and done.
Rebates Available
A solar panel system can cost thousands of dollars, but you may be able to cut down on installation costs by taking advantage of state or local incentives. Find out if rebates are available from your utility provider, and research how much they are in your area. Tax credits can also help offset installation costs, so check with a tax professional to see if those apply. You might even find that installing solar power is more affordable than you thought!
Incentives Available
There are tax credits and other government incentives available for homeowners who install solar energy. If you live in a state where these incentives are offered, look into whether or not you qualify for any of them. You may be able to get even more savings than you’d realized by investing in solar power. The payback period on your investment could be much shorter than expected.
No Electric Bills
It’s true that using solar energy to power your home means you don’t have to pay electricity bills. You can stop paying those bills as soon as you install solar panels on your roof. Depending on where you live, energy companies can charge upwards of $100 a month for electricity! And even if you do install solar panels, it could take up to 20 years before your investment pays off. One of their main advantages is that they never run out of fuel, so once they’re installed, they will generate free electricity from sunlight for generations to come!
Risk Free Trial Offers
First off, solar energy companies like to stress that there is no risk involved. But as we’ve shown here, you will have to pay a deposit on your panels as well as a monthly fee for your service. However, many companies will offer a risk free trial which could mean either: 1) they give you money back if you don’t like their service or 2) they charge nothing up front and instead finance your new system with low monthly payments. This could be good for some people but watch out for credit checks! Your interest rate may be higher if you have less than perfect credit.
There are some maintenance costs
Although you'll offset your electricity costs with solar, there are still some maintenance costs involved. Aside from cleaning your solar panels (which takes about ten minutes per month), you'll need to pay for a small amount of electricity to keep your inverter on. This means that once a year, your system will produce slightly less energy than it did before because a small amount of power is going into powering your inverter rather than offsetting utility bills. However, while these annual costs can be up to $25/year if you live in Florida, they could actually be as low as $1/year if you live in Alaska! It really depends on where you live and what size system you have installed; contact us today for more information.
The installation may need to be customised
This can be a big deal if you’re working with a set budget, so it pays to know about any extra expenses in advance. Will you need to install additional wiring? Does your roof face north? If so, how will that affect panel installation? Asking questions early on helps avoid costly mistakes later on. Some solar companies offer free energy audits; use them!
Getting solar panels installed can be expensive.
While, solar panel installation can be expensive to begin with (expect to pay between $7,000 and $20,000 or more), there are financial incentives available. Federal tax credits of 30% or more can be taken over five years. You may also qualify for rebates or grant money from your state. There are also financing options to help you cover costs in exchange for a portion of your savings on energy costs (cash back). The downside is that cash outlay for solar panels today is probably higher than it will be if you wait 5-10 years-- although prices are dropping quickly! The number one reason people cite for not getting solar is that they don't think it's financially worth it.
