6 Benefits of Solar Panels

6 Benefits of Solar Panels

Written by Monica Martinez
June 1, 2023

It’s widely accepted that solar panels are a benefit to the environment and a sound investment for most homeowners. However, understanding exactly how installing solar panels directly benefits you can be confusing to figure out. There are countless calculators that help you estimate how much money you can save, what your tax credits are, and how much solar panels really impact the environment. However, all of these numbers don’t always provide you with a better understanding of how switching to solar can benefit you.

The first step toward understanding how solar panels can benefit you as a homeowner is understanding these advantages in greater detail. Let’s break down each benefit of solar panels and help you understand how residential solar energy systems can benefit your home.

What are the Benefits of Solar Panels?

In short, solar panels can help you save money on your monthly energy bill, make you eligible for federal tax credits, increase your home value, power your home through power outages, work in virtually any climate, and reduce your carbon footprint.

1. Residential Solar Systems Save You Money on Energy Bills

Using solar panels to power your home reduces your electricity bill and can even eliminate it altogether. How much money you save depends on several factors, which include:

  • Your energy consumption
  • Whether you purchased or leased your home
  • Angle & size of your roof
  • How many solar panels you have
  • Amount of direct sunlight that hits your roof
  • Your local electricity rates

However, it’s safe to assume that solar panels can reduce your monthly bills and provide a safe, low-risk, long-term investment for homeowners.

2. Solar Panels Increase Your Home Value

According to the Appraisal Journal, your home value increases by $20 for every $1 you save on your annual electricity bill. For example, if you save $200 on your electricity bill, your home value increases by $4,000. It’s important to note that the exact value varies according to several factors such as the capacity of your home solar system and how long ago your solar panels were installed.

3. Solar Energy Systems Can Power Your Home Through Power Outages

Solar panels can be set up to work independently from the power grid even when there isn’t any sunlight. This works by installing a solar battery within your system, which stores any excess energy generated during the day so you can use this power supply at night. This stored energy can also be used when the power goes out in your home. Whether it’s heavy rain, thunderstorms, extreme heat, or snow storms, stored solar energy can power your home in any kind of adverse weather.

4. Solar Panels Work in Virtually Any Climate

Solar energy is an extremely reliable source of power that works in virtually every climate, so long as you get a few hours of sunlight on your roof. This makes solar a viable energy source even in colder climates, where sun exposure can be low. Additionally, solar panels are designed to withstand all of the elements including snow, hail, heavy rains, and extreme heat.

5. You Can Get Federal Solar Tax Credits & Local Rebates

Installing solar panels in your home makes you eligible for a federal tax incentive worth 30% of the cost of your home upgrade. This tax credit is applied by the IRS toward the total amount of taxes you owe for the year in which you install solar panels. Learn more about the tax benefits of solar panels to see how federal tax credits can ease the costs of installing solar panels.

There are also local rebates that you can take advantage of as many local energy companies offer these incentives when you install solar panels in your home. Most energy companies also offer credits for any unused excess solar energy generated by your solar energy system.

6. Solar Panels Reduce Your Carbon Footprint

Electric power companies operate power plants, which typically use coal, steam, nuclear fission, or natural gas to generate this electricity. The result of this process is that CO2 emissions are released into the atmosphere or that water is depleted, both of which negatively affect the environment.

This means that each time your home generates electricity using solar energy rather than other conventional methods, you reduce the amount of CO2 emissions in the atmosphere or reduce your water consumption.

There are many benefits to installing solar panels in your home, making it a sound long-term investment for your home. Learn more about how solar panels work and get a free personalized quote to find out how much upgrading your home to solar costs.

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