Installing a solar system is an excellent investment that allows you to earn returns. Returns are the benefits that you receive from purchasing an investment. Returns are great ways to gain money or save costs when purchasing solar systems. They offer many superior characteristics for buyers that are listed in this article. These characteristics are beneficial for both homeowners and businesses.
Earn Great Returns
Long term returns
Solar systems are designed to last more than 25 years. IGS has a 25-year warranty to ensure our solar panels have a long-life span. With a long lifespan, our panels are not only durable but also require minimal maintenance. During the duration of a solar system’s lifespan, you can generate returns in savings. Since solar panels significantly reduce electricity bills, the savings will outweigh the cost you would have to pay for your utilities.
Owning a solar system increases the value of your property. You can increase the value of your property through upgrades with the savings you have earned from your solar system but also from the solar system itself. Properties equipped with solar systems increase the value significantly more than properties without solar. According to Energy.gov, when you decide to sell your property, you can sell your property faster. Buyers are also willing to pay a premium of about $15,000 for your property. Solar systems make homes more energy-efficient, which in turn lowers your electricity bills. Buyers are also interested in energy-efficient homes because it reduces their environmental impact. You can learn more about increasing your property value.
Solar renewable energy certificates
Solar Renewable Energy Certificates, or SRECs, are an incentive for electricity generation from renewable energy sources. You may be able to sell your system’s SRECs, depending on your state. Your state or even your utility may have a market for you to sell your SRECs. Purchasing and installing solar panels can be expensive to pay for upfront. Many buyers tend to get a loan and pay for their solar systems over time. SRECs can help you break even on your solar investment faster and even generate additional income!
Electricity rates vary per state. The higher your electricity rates, the more money you can save when transitioning into solar. Installing a solar system allows you to become energy independent to avoid extra costs. Because electricity is constantly increasing, you will be able to save more with solar. The graph below shows what you would save with solar.
Similar to how electricity rates continue to rise, the cost of electricity will also increase, making your new electricity bill with solar low-risk and consistent over its lifespan.
Some states offer a solar tax credit for installing a solar panel system. The federal government also provides buyers with solar credits, otherwise known as the federal investment tax credit (ITC). ITC allows buyers to deduct solar costs from taxes by allowing you to apply 26 percent of your solar system’s value as a tax credit to your income tax bill as of 2020. Additionally, tax rebates encourage solar installation. Homeowners and businesses can receive a cash rebate from their state, their utility company, or from organizations that promote solar energy. Companies can take advantage of the depreciation tax benefits using accelerated depreciation, which reduces businesses’ tax burden and increases solar return. You can learn more about financial incentives in our cost-benefit section: When is the Right Time For Me to Go Solar?
Solar systems provide you with the benefit of solar investment, otherwise known as return on investment. Businesses who transition to solar will experience increased sales from customers who are attracted to the company’s sustainable values.