If you own a home in Michigan, you’re probably interested in any possible money saving opportunities. Sometimes, those opportunities do come with some type of upfront investment attached. Such is the case with solar panels.
Having solar panels installed on your Michigan home may cost you more in the short term, but the decision is virtually guaranteed to save you money over a longer period of time. Since solar power is still an emerging concept for many homeowners in the state, there’s a lot of hesitation when it comes to making that initial investment. Some of it is due to misinformation or confusion about what solar panels cost and how they actually save you money.
If you’re wondering what you can save with residential solar panels and how exactly this process works, read on for a comprehensive guide.
Are Solar Panels Worth It in Michigan?
One of the biggest concerns that potential buyers wonder is whether the residential solar panel cost will pay off in the long run. They’re already sold on the environmental benefits, the ease of use, and plenty of other factors. However, that initial cost has held a lot of people back from taking the leap into the world of solar energy.
The short answer to this question is: Yes, solar panels are worth the investment in Michigan. Over time, that initial investment is essentially paid off by the savings that you get each month on your energy bills.
Another common concern for homeowners is that the long winters in Michigan will make it difficult for solar panels to operate as efficiently as possible, which will lead to decreased savings. While it’s true that Michigan receives about 13 percent less sunlight than the national average, there’s still enough to effectively power a residential solar power system in a way that will save you money. In fact, experts have found that solar panels in Michigan are about 8 percent more cost effective than they are throughout the rest of the country. In addition, Michigan has programs that help homeowners essentially bank energy from solar panels during especially sunny periods, which can help to offset any particularly overcast or cloudy seasons.
How Do Solar Panels Save You Money?
According to the U.S. Energy Information Administration, Michigan homeowners pay just under $100 per month, on average, for utilities. With solar panels, you can basically cut out that monthly expense, though you’ll still need to pay for gas if your home uses it to power appliances or other components of your home.
Though those monthly savings won’t repay you for the solar panel installation immediately, they are sure to do so over time. On average, solar panels save Michigan homeowners more than $1,100 per year, and completely pay for themselves in about 18 years, on average. Once you’ve reached that point where you’ve paid off the entire purchase and installation cost, all of those savings are just putting money back into your pocket. You’re completely done with expensive monthly utility bills.
Though the savings are clear, that’s still a long period of time for many homeowners. However, if you think about mortgage periods and what you’re willing to invest in a long-term home, it makes more sense. If you’re planning on staying in your home for a prolonged period of time, it makes sense to invest in solar panels right away, so you can realize the savings for as many years as possible.
If you’re not planning on staying in your home for at least 15 to 20 years, it can still make sense to invest in solar panels. In the same way that cost savings and environmental benefits are so intriguing to you, they’re also likely to appeal to other homeowners who may be interested in purchasing your home when the time comes. Thus, those solar panels can make the property more appealing to potential buyers and raise the value of your home, increasing your return on investment significantly.
What Are the Other Benefits of Solar Panels?
Even with the environmental benefits and the savings over time, that initial investment can still hold some homeowners back from investing in residential solar panels. However, there are actually plenty of ways to alleviate that cost and make the purchase even more beneficial for your home.
For example, the U.S. Federal Government currently offers a significant tax credit for residential property owners that invest in renewable energy sources, including solar panels. In fact, you can write off up to 30 percent of your investment on your taxes, which can help to offset that initial cost significantly.
The state of Michigan also has a number of programs aimed at incentivizing the purchase and installation of solar panels around the state. For example, Michigan has a net metering policy that allows homeowners with solar panels to earn credits for any extra power generated by their system, which can help you increase your monthly savings significantly. There are also plenty of grants and low interest loans available from government agencies and private entities throughout the state.
You can also check with solar panel manufacturers and installation companies in your area to see if any of them offer financing opportunities or incentives that could make the purchase a bit more cost effective for your family. Solar power is a growing industry, but there are plenty of deals and companies that are willing to help you make the best possible investment for your home.
The Green Panel is one solar panel installation company that is prepared to help you realize your optimal cost savings for residential solar panels. Our team of experienced professionals will help to walk you through the options and any money saving opportunities that might present themselves. We also work with top manufacturers to provide residents with high performance solar panels that are sure to give you the optimal return on investment. Contact us today to learn more about how you can save with residential solar panels.