Homeowners thinking about going solar should take the time and effort to determine if solar is a smart investment for their individual lives. Unfortunately, it is easier said than done, as many Americans are unfamiliar with the complexities of residential solar. To help homeowners get a better understanding of whether solar is right for their home and circumstances, we have put together 10 questions to ask when considering solar. Which include:
1. Why should I go solar?
The choice is up to you.
Most homeowners choose to go solar for the electricity bill savings. While this might be the initial attraction of going solar, many do not realize solar also allows you to control your power bill and increase your property value.
In some states solar owners can even get paid for excess energy their panels produce. This program is most often called net metering.
Other non-fiscal related reasons to go solar are the reduction in carbon emissions, helping to create and sustain hundreds of thousands of American jobs, and promoting the future of renewable energy. No matter the answer, it is important to determine why you want to go solar, as it will heavily influence the answers to the rest of the questions listed below.
2. Is my house right for solar?
This question directly affects the cost and the savings associated with your custom solar panel system. For the most part, it is hard to determine on your own whether solar energy is right for your home, but there are three factors you can evaluate:
- The amount of sun your roof receives. If there is a large amount of shade, solar might not be a viable option.
- The direction of your roof. In the northern hemisphere, your roof should face south for the highest production.
- The cost of electricity in your region. The higher the price of electricity from your utility company, the more money you will be able to save by going solar.
Those three things are the most important, but there is one more thing to consider about your home: are you the homeowner? If you are renting a home and want to get solar panels you will have to go through your landlord before talking with a solar company.
If your home checks these boxes, solar power will likely be a wise investment for your home.
3. Is my electricity bill high enough to justify going solar?
Although you might have the ideal home design for solar panels, a low electricity bill might turn you away from installing a new system. Even if you live in a state or city charging expensive rates for power, if you do not use a large amount of power, solar might not be worth it.
A good rule of thumb to follow is having an energy bill higher than $75 dollars per month for solar to be worthwhile. As we mentioned in the previous question, the more you pay for electricity, the faster the panels can be paid off.
4. How much money will I save with solar?
It is hard to be happy with the price of solar if you are unable to determine how much it will allow you to save. Luckily, solar companies always calculate how much a homeowner can save by installing a custom rooftop solar system. Your savings are determined by several factors.
First, if you decide to own your system, you are entitled to the Federal Solar Investment Tax Credit (ITC). The ITC allows you to take 30% of the total cost of your system and apply it as a tax credit in the following year. So, if you purchase a $20,000 system, you will be able to take $6,000 off your taxes the following year.
Another factor influencing your savings is how you finance your system. A lease or PPA deal will only allow homeowners to save a couple dollars a month, while a purchased system will usually put 100% of your power bill back into your pocket. If you purchase your panels with a loan, the loan payment would ideally be lower than your monthly power bill, allowing for automatic monthly savings. Overall, after solar ownership, the typical system on an optimal home will pay itself off in 6-8 years.
5. How do I know which solar company to trust?
One of the most difficult decisions when considering going solar is which company to trust. That’s where we come in. We have done research on the best solar companies across America so you don’t have to. Now we know you will likely still do your own independent research, which you should, even to verify the company we match you with. Look for these things when doing your own research: positive review average, customer testimonials, accreditations, and those that own their mistakes and do what they can to fix them.
About Shop Renewable Energy
Shop Renewable Energy started because of a simple question: Which company should we go solar with? As we navigated going solar for our own roofs, we discovered that there were dozens of local and national companies offering different discounts, solar panels, ownership agreements, and more. With hours of research, we made our decision, but we recognized that many homeowners are choosing their solar installers blindly. That’s where we came up with the idea for Shop Renewable Energy. As a small business, we look to improve the lives of our customers by making the solar journey more simple than ever. We do this by connecting homeowners with the best local solar companies in your neighborhood. We hope that you can utilize our business to shop for the best renewable energy in your area!
Learn more about solar from our blog.