Investing in Residential Solar
Are you looking for an efficient and sustainable way of powering your home? If so, then you should consider installing solar panels to your home to pimp its exterior while simultaneously providing electricity. However, like any other financial investment, you need to assess the viability of residential solar panels before installing them. This is vital despite the obvious known benefits of solar energy of being lowering your monthly electric bill as well as environmentally friendly.
This article is an in-depth guide about the factors you need to consider when investing in a residential solar system. Once you know this, it will be easier to understand whether installing solar panels in your home is viable.
What Is the Price of a Solar Panel System?
The installation price varies greatly, and it depends on the equipment you want and your preferred solar company. When looking for the ideal solar panel, it would be best to avoid cheap models that might look a lot more attractive to invest compared to the high-quality models. It would be best if you instead opted for the expensive models as they provide greater value. Therefore, you need to do a thorough review of different solar panels and equipment to give your home the desired quality while still not breaking the bank.
Additionally, research whether there are any solar rebates and incentives in your region. If there are, you might end up lowering the overall cost by either 50 percent or more.
Assess How You Spend Electricity
The installation of solar panels in your home helps offset your monthly electric expense, either entirely or partially. Therefore, if your electric bill is quite steep, then switching to solar energy is wise. However, it would help if you only did this after getting an average of your monthly electricity expense, as this amount can vary greatly. The higher your electricity bills, the more beneficial solar panels are, thereby the urgency to install solar panels.
How Are You Planning to Fund Your Solar Panel System Investment?
Another question you most likely are asking yourself when planning to invest in a residential solar system is knowing whether to lease or buy solar panels. This decision is crucial and will affect the long-term value provided by the installed solar panels. The best option would be making a cash purchase as you save a lot more than any other method.
Nonetheless, you still save several thousands of dollars by getting a solar loan where no minimum deposit is required. With solar leases and power agreements (PPAs), you are not required to pay any money but will be responsible for all maintenance costs. The downside of this method is that you only save between 10 to 30 percent of your total electricity expense.
Assess Your Home’s Exposure to Sunlight
You need to consider your home’s exposure to sunlight before purchasing solar panels. The reason for this is that greater exposure to sunlight means more energy is produced. As a result, you get to enjoy a greater potential to save thanks to solar energy.
Other factors you also should consider are your home’s type of roof, amount of shade, and positioning towards the sun. Using a Solar-Estimate calculator, you will evaluate the effectiveness of solar panels in your locality. When estimating the cost, you should enter your utility provider, average monthly electricity cost, and address.
How Long Will The Payback Period Be?
Are you evaluating the return on investment of installing solar energy systems? If so, you need to consider the number of years it will take for you to recoup the amount you paid. This is what is known as the payback period. Calculating the payback period is simple as you need to only divide your solar electric system net cost by the savings made on your yearly electric bill. After doing this, you get the preliminary payback period but still should consider other factors.
What Are The Non-Financial Benefits of Residential Solar Energy Systems?
Whereas the non-financial benefits often get overlooked, you should also factor in the non-financial advantages of having solar energy. This is important, especially with the rampant environmental degradation being witnessed across the globe. When you install solar energy systems to your home, you enjoy several ecological benefits such as renewable and clean renewable energy sources.
This is different from the conventional methods of producing electricity, such as natural gas and coal, which produce vast quantities of carbon dioxide, leading to numerous health problems. Therefore, when you opt for solar energy systems, you play a part in guaranteeing the well-being of the entire community and future generations.
The Type Of Panels You Want
In the past, you would need to purchase mono-crystalline panels that are incredibly efficient but very expensive if your roof’s space was relatively small. Nevertheless, this has changed with advancements in a couple of film thin-film technologies and polycrystalline panel technology. While the size of the solar panels is crucial, you should also consider their output. This is because placing inefficient solar panels on your roof might affect your ability to add extra panels in the future. Because of this, you end up not maximizing your space’s power output.
Which Type Of Solar Is Ideal For Your Home?
There are two popular types of solar technologies, that is, thermal and photovoltaic. The two work somewhat differently with thermal technology using sunlight to heat air or water that will be used inside your home while photovoltaic uses a collection of cells that convert sunlight into electricity. If you live in an area that heating fuel is costlier compared to heating fuel or you use plenty of energy to heat in your home, then the solar thermal option is an excellent pick.
If you were conflicted about whether investing in residential solar energy systems is a wise decision, reading through this article has offered you invaluable reasons why it undoubtedly is. Therefore, you need not wait any longer to purchase solar energy systems. Consequently, you will enjoy its massive benefits while still helping make the world a bit more habitable.