Solar panels payback

Are solar panels a good investment?

One of the biggest reasons homeowners go solar is the potential for savings. Solar panels can also raise your property value, help you get through a blackout (with a battery), and combat climate change, but if your going solar, you're likely thinking about savings. But what solar savings can you expect?

What is a solar panel payback period?

A: The solar panel payback period refers to the time it takes for the savings on energy bills and any earned incentives to equal the initial investment made in purchasing and installing the solar panel system. This period varies based on factors such as system cost, energy prices, electricity usage, and local incentives.

What factors influence the payback period for solar panels?

A: Several key factors influence the payback period, including the total cost of the solar panel system, the efficiency of the panels, regional sunlight exposure, local electricity rates, state and federal incentives, and rebates available for solar installations.

Should I pay back my solar panels if I don't pay back?

Any money you receive to help pay for your solar panels that you don't have to pay back to anyone can help make your solar power payback period even shorter. The most important of these is the federal Residential Clean Energy Credit, which will reduce the amount of taxes you owe by 30% of the cost of your system.