There are many benefits to having solar panels installed on your home. However, it is important to note that installing solar panels can also result in some maintenance costs. For this reason, you should consider these costs before purchasing your panels. This article will cover all of these benefits in detail. Find out the benefits of solar panel installation in your home by reading on. Continue reading to discover if solar panels might be right for you.
Installing solar panels is expensive
Depending on how big your home is and how much energy you use, the cost of installing solar panel panels will vary. The amount you save will depend largely on the size and condition your roof is in, as well as the electricity rate in your region. However, the savings you can expect will make the installation worth it. Here's how to calculate the cost of installing solar panel on your home. Estimate how much electricity you consume each month.
You can use the average cost of electricity in your area and figure out how much you'll save in the first year. A solar array with a life expectancy of 25 years will likely return its investment in two years. However, utility cost inflation must be considered. The average electric bill rises by 2.2% annually, so it is important to include utility cost inflation in your total costs.
Tax credits
The government offers a tax credit for installing solar panels in your home. The credit can reduce the cost of your system from forty to seventy per cent depending on how many panels are purchased. There are restrictions. This credit cannot be used if there is a $800 tax liability. A loan may be available to help you pay for the installation of solar panels if you have a lower tax liability.
There are two types of tax credits for solar panels: federal and state. The federal credit covers 10% of the purchase price for your equipment. The credit is worth up to $300 if you have solar panels installed in your home. You can claim the credit on your individual tax return. Although there is not a specific documentation requirement, it is advisable to keep all receipts in case the IRS audits you. These credits are available for new and used systems.
Return on investment
The total cost of installing and maintaining solar panels, as well the annual benefits like reduced electricity bills, are all factors that determine the payback period. Once you have calculated the benefits, divide them by the electricity cost before installing the panels. An average solar system will pay for its self in about eight years. Click here to find out if you have enough sunlight in your area. Charleston, S.C.'s average solar-electric cost is $13,000. Government incentives cover 30 to 65% of this price. You can expect to see a ROI of $20 or greater in eight years.
Apart from producing clean electricity, solar panels can also be used to generate electricity. This can make it possible for you to save money each month. These systems can also work during the day when you're not consuming electricity from the grid. This will allow your grid dependence to be reduced and may even enable you to live off the grid if incentives aren’t available. To capture the benefits of solar panels or other home energy technologies, a simple payback period will not suffice.
Maintenance costs
Solar panel installations are not subject to active maintenance. Some homeowners may choose to have their solar system checked and cleaned. This service is not as common in residential installations as it for commercial ones. It can cost a few hundred dollar per year. Annual maintenance is a good idea to avoid additional costs. An annual inspection of the panels might also be included in your maintenance costs.
A solar inspection typically costs $150 to $180 per year. This inspection will verify for corrosion and wear, loose bolts, crack glass, or panels. Repairs will be necessary if any of these issues are discovered. They can cost anywhere from $650 up to $384 per panel. Additionally, you may have to move or trim trees. Bundled warranties are offered by some solar service companies. Based on how much electricity you use annually, the cost of annual inspection and cleaning could be anywhere from $150 up to $384 for a solar panel.