When discussing alternative energy sources, solar energy always comes up. Environmentalists promote it as the best, cleanest energy source that will help reduce the impact of global warming.
However, there’s another benefit to solar panels that frequently gets overlooked — they help people save money in the long term. Therefore, you may wonder: “Do solar panels save me money?” To help you decide, here is a complete breakdown of how much money solar panels cost.
What Are Solar Panels?
The environmental crisis has made solar panels more popular in recent years. However, while everyone has heard about how great solar energy is for the environment, very few know what solar panels are and how they work. For starters, solar panels are a type of solar architecture that collects renewable energy from the Sun and converts it into electricity.
Panels are made of photovoltaic cells, also known as solar cells, that consist of layers of silicon, phosphorus, and boron. When sunlight strikes the surface of the panels, the photons strike the electrons from their atomic orbit. These electrons get pulled into an electrical field that is generated by the solar cell. The result of this process is electricity.
Most residential panels produce anywhere between 250-400 watts of electricity per hour.
That amounts to around 2,850 kWh of electricity in a year. However, despite the impressive energy output, there is still a prevalent belief that the panels can’t beat traditional energy sources, especially in bad weather. This is a common misconception.
The Sun never completely disappears, even when it’s cloudy outside. Though an overcast sky may make the panels work at a slightly reduced capacity, they can still generate more than enough energy to power a home.
Do Solar Panels Save Me Money
Everyone knows going solar is good for the environment. However, many still hesitate to make the switch because of the associated costs. Yet, when you look at all the benefits that come with going solar, you actually end up saving money in the long run.
You Save on Electrical Bills
If you want to go solar, you’re going to need to pay a lot upfront. Most panels cost anywhere between $10,000 to $35,000 depending on the type of model and the size of the property. Nevertheless, you can end up offsetting this initial cost with the money you save on electrical bills.
The average American family spends around $1,500 on electrical bills per year. That number is likely to increase in the future, as the price of electricity continues to rise. However, if you generate your own power through solar panels, you can lock energy costs at a constant rate. Over a 20-year period, this can help you save anywhere between $9,748-$34,056 on utilities depending on the state you live in.
Panels Grant You a Tax Incentive
As part of an effort to go green, governments have started offering tax incentives to all homeowners looking to install solar panels on their property. Owners can get a 26% cost reduction on any solar architecture they decide to buy. For example, if you spend $10,000 installing your solar system, you’ll get a $2,600 tax credit.
What’s more, many states allow solar-powered homeowners to qualify for a deduction on their state income taxes as well.
Increase the Value of Your Property
Since being eco-friendly is in vogue, having a solar-powered home can increase the value of your house on the property market. Recent research shows that solar-powered homes cost 4.1% more than homes that use traditional energy sources. For a median-valued home, that amounts to a total of around $9,274.
Therefore, if you ever want to sell your home, installing solar panels is incredibly beneficial. It will not only make the property more attractive to potential buyers but help you profit from the sale overall.
At first glance, solar panels may seem expensive. However, they can wind up saving you money in the long run. Solar power is the best and cleanest energy source you can use, both for your home and the environment.
Though installing them is an investment, their benefits can double the profit from the initial cost. Plus, if you choose Atlantic Key Energy to install your panels, you may end up saving even more, while also investing in a sustainable future.