Have you heard that solar panels can help you save money on your monthly utility bills? As electricity costs increase and solar panel system costs decrease, more homeowners are considering just how much they can save by going solar. After all, installing a solar panel system isn’t cheap, so it’s important to know when you’ll start seeing savings and of how much, even if you are leasing it for $0 down.
Review Your Electric Bill
The higher your electric bill, the more you will benefit from having a solar system. Solar panels generate their own energy, so you can use this energy instead of paying the electric companies for it. Location affects electricity rates most, with East Coast states paying some of the highest rates in the country. The average electricity price in the U.S. is roughly 12 cents per kilowatt-hour.
Consider Your Region
Your region affects your electricity rates and whether your home is a good candidate for a solar panel system. Generally speaking, more days of sun mean more energy produced. States like Arizona, California and Nevada see more sunlight than the average U.S. state.
That being said, states on the East Coast are good candidates for solar because there are many cool, sunny days in the fall, winter and spring. Solar panels perform best in cool temperatures because they expend less energy, which means more energy is produced. Check out the solar-estimate.org calculator to learn more about the savings you can expect based on your address.
Estimate Your Installation Costs
Solar panel systems are an investment, but there are ways to make them more affordable. According to the Center for Sustainable Energy, solar systems cost around $15,000 to $25,000 before tax credits and incentives, depending on the system size. The good news is that these systems are very low maintenance and almost guaranteed to save money in the long run.
If you choose to buy the system outright, you can enjoy government incentives and rebates. Some states give extra incentives, such as cash back, property tax exemptions, expedited permits and waived fees. If you don’t have the upfront cash, renting the panels can be a great alternative. Though you don’t get to keep the incentives and rebates, you can take advantage of solar energy for as little as $0 down.
Average Savings Over 20 Years
With this information, let’s look at an example of an average American family living in Maryland. We’ll call them the Smiths. The Smiths pay 13 cents per kilowatt-hour for electricity, which is an average of $1,430 a year. The Smiths purchase a solar panel system, and after taxes and rebates, they pay $11,000 for it.
Over 20 years, the family saves over $19,000. Imagine having nearly $20k in your pocket in 20 years. Is that worth it to you?
Get Your Residential Solar System Quote
If your electric bills are hurting your budget, it doesn’t hurt to look into a residential solar system and how much you can save over the years. This investment pays for itself relatively quickly, especially if you choose to rent the system. For a free quote on solar panel installation, contact Suntuity Solar today.