It's never been clearer: solar energy can save Americans tens of thousands of dollars while keeping the planet cooler.
However, the hardest thing is to change. The research itself can seem daunting given the amount of information that needs to be evaluated.
Almost no one has time for that kind of in-depth analysis, so we've done all the work for you, explaining as clearly and simply as possible how to power your home with solar energy.
When you start
If you're considering switching to solar power, the first important decision you'll need to make is how to use this cheap, clean, and abundant source of energy. There are two main options:
Installing Solar Rooftops - Great for Homeowners, Big Savings, Higher Upfront Costs
Join a community solar program - Great for renters, cheaper to convert, no installation required
Benefits of rooftop solar panels
Installing panels on your home is the most popular option and the benefits are clear.
Including upfront costs, Forbes estimates that a heavy-duty roofing system could save you between $25,500 and $33,000 on your energy bills over the life of your panels (25 to 30 years), and these estimates assume energy rates won't to grow. which means the savings are likely to be even greater.
Rooftop solar can bring you many benefits. In addition to saving energy, this will increase the value of your home. A 2019 Zillow study found that adding siding would increase a home's sales price by more than 4.1% on average.
For many people, independence is another important benefit. By equipping your solar system with a battery backup, you can keep the lights on in your home even if the power is out.
In addition to the personal benefits, switching to solar energy will help avoid thousands of kilograms of pollution that contribute to global warming each year.
These benefits far outweigh the costs. However, solar panels are not a cheap investment, with some estimates putting the national average at nearly $16,000 before tax credits.
What is community solar and why is it preferred over rooftop panels?
Rooftop solar panels are not for everyone.
In addition to the high price, some houses are not suitable for solar panels. Many houses blocked views of the southern sky, which was necessary to maximize direct sunlight. In other cases, pesky homeowners associations can limit home improvements, such as adding walls.
And perhaps most importantly, replacing roofs is not an option for millions of Americans who rent.
Solution? Public areas. You can think of it as a subscription service, similar to Netflix or HelloFresh (and some shows are even free).
The savings aren't as great compared to rooftop programs, but by joining a community solar program, you can expect your annual energy bills to drop by 5-15%.
Once signed up, nearby solar farms will feed into the grid and give you access to cheaper, cleaner energy.
Basically, when you sign up for Community Solar, you "rent" or in some cases buy panels nearby and take advantage of their low energy costs without any installation or maintenance costs.
If you choose rooftop solar...
If you've decided that rooftop solar panels are right for you, you'll need to find some key information.
Compatibility, compatibility, compatibility. Not all houses can support the panels. It is important to determine if the roof is in the right direction, is the right shape and can support the weight of the panels.
Finding a solar panel installer to determine your roof's compatibility and estimate costs is a great first step. This Forbes Home tool provides free solar panel installation quotes based on your energy bill, zip code and roof shape.
Tech media site CNET has a list of the best solar panel installers in the United States, as well as important questions to ask your installer.
Once you have determined that your roof is compatible with adding panels, you will need to calculate the number of panels needed.
Fortunately, the Department of Energy has a tool, the PVWatts Calculator, that can help you determine how much sunlight you can receive and convert into solar energy, depending on your home's location. It also works with Google Maps, showing your home and letting you draw the solar panel area you want on it. (Google also has its own similar tool called Project Solarium.)
This tool can also help you estimate energy costs and savings, as well as recommended system sizing.
For reference, an average 2,000 square foot home may require 16 to 21 panels to fully power the electrical system.
And, of course, there are costs to consider. In addition to purchase and installation costs, you will need to pay for maintenance, cleaning and annual inspections. Forbes estimates it will cost you about $150 for cleaning and another $150 for inspection.
It's a big investment, but the return on investment is in the tens of thousands of dollars you can save by installing the panels.
If you choose public solar...
Now that you've determined that community solar is preferable to rooftop panels, the next step is to set a timeline. Most states offer community solar projects for most residents.
Arcadia is a great service that can help you find local solar programs in your area. All you have to do is enter your zip code and utility company, and Arcadia will immediately provide you with registration options.
Solstice, another solar energy company, offers two tools to make this process easier. The first will help you find out if community solar programs are available based on your location. Another tool shows how much money you'll save each month.
How much money can you get from the government for solar energy?
The Inflation Relief Act now makes it much cheaper for Americans to power their lives with clean energy. One of the biggest financial incentives for an IRA is the 30% tax credit for installing solar panels.
These tax benefits add up quickly. Rewiring America, a nonprofit organization dedicated to home electrification, estimates that this 30% IRA credit will save homeowners an average of $4,600.
There may also be local solar incentives in your area, such as sales tax exemptions, so do a little research first. This can save you even more money.
But if you're a renter or think community solar is the easiest option, don't worry. You may still be able to use financial incentives. With your IRA, you can take advantage of the opportunity to join a community solar program.
If your local community solar program uses an ownership model, meaning you buy multiple solar panels, you'll still get a 30% discount. And if the program uses a standard subscription model, the cost can be even lower with an IRA.
Of course, each person's IRA benefits will be slightly different, so it's a good idea to check out this IRA savings calculator to see exactly how much you could get by going solar.
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