The Return on Investment for Solar Panels
As you see more and more solar panels popping up on homes in residential neighborhoods, you might be wondering about the return on investment. Is this investment financially smart for the homeowner? Do solar panels really add value to your home?
The answer is yes.
Unlike most investments, the purchase and installation of solar panels on your home is a return you will begin to see after the first day. Additionally, you will reap the benefits of solar panels for the next 25-30 years. The investment you make will not only pay for itself once but several times over the years – even if you never sell your home.
But what kind of value will solar panels add if you do decide to sell?
Just as the property value of homes varies depending on location, the added value of solar panels varies as well. According to The National Renewable Energy Laboratory, every $1 you save on your energy bill from solar panels adds $20 to the property value of your home. However, there are a few other factors that help to determine how much your property value will increase:
- Location/size of home
- Number of panels you have installed
- Current value of your home
For example, in a state like California, where solar panels are more popular and the cost of living is more expensive, a medium-sized home can increase upwards of $18,000 with the installation of a small 3.1-kilowatt system. And as the size of the home increases, so does the added value.
Long story short, the installation of solar panels on homes has proved to be a money-saving and returning investment. Contact Big Mountain Air to see what solar panels can do for you and your home.