Solar has become so popular that you now know many people such as neighbors, co-workers, family and friends who have started to save money on their electric bill. So, the question remains; if you have not adopted solar, what has stopped you from making the move? If you had every intention to adopt solar in 2017, but didn’t; there is no time like the present to consider the advantages of switching to solar this year.
Following are some financial benefits to consider. First and foremost, solar prices are at an all-time low, due to reduction in prices of PV modules, inverters, trackers and even labor costs, according to GTM Research.It is likely that solar panels may not drop further for some time due to the recent solar panel trade developments.
Federal Solar Tax Credit
Congress recently passed tax reform legislation that will reconfigure how Americans calculate their mortgage interest tax deductions in 2018; however homeowners going solar in 2018 will still qualify for a 30 percent solar investment tax credit (ITC). This credit will drop to 26 percent after 2019 and down to 10 percent in 2021.
Sunny days are ahead; with approximately three hundred days of sun per year in our area and longer days upon us, by installing a system before summer arrives, you will be able to start generating energy at maximum capacity. By making more solar electricity than you use during the long days and sunny months; depending on your local utility rules, you could build up a credit with your utility to apply toward your electric bills during the fall and winter, when your solar production will be lower.
Increasing Home Value
Installing solar panels can increase the market value of your home by at least the cost of the system. Per the National Renewable Energy Laboratory, every $1 of savings in energy bill savings can add $20 to your home’s total value when you decide to sell. Not only will you realize an increase in the value of your home, a solar energy system can help sell your home faster than residences without solar panels. These are just a few ways to complete your financial plan in 2018 with the benefits of solar, which can allow you to save money, receive tax credits, and increase the value of your home. For other information regarding the financial benefits of solar, please contact your local solar expert, Joe Holstein.
1 Hill, Joshua. “Dramatic Solar Price Reductions Will Only Continue.” https://cleantechnica.com, 2 Dec. 2016, cleantechnica.com/2016/12/02/dramatic-solar-price-reductions-will-continue-fall/.
2 Tax credits subject to change. Consult your tax advisor regarding the solar tax credit and how it applies to your specific circumstances.
3 “By How Much Does Solar Increase Your Property's Value?” Costofsolar.com, costofsolar.com/is-my-home-worth-more-with-solar-ener