Did you know that the average solar panel cost has dropped almost 90 percent over the past 10 years? This form of alternative energy is growing in popularity as it becomes more accessible. Whether you’re looking to lead a more eco-friendly lifestyle or just trying to lower your energy bill, solar panels could be right for you.
To understand the real cost of solar panels, you need to know the up-front price as well as the long-term savings that you can expect. Once you know these numbers you can make an informed decision about adding solar panels to your house.
Keep reading below to learn more about the average cost of solar panels.
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Home Solar Panels
Solar panels can be used in commercial and residential settings. As the cost of installing panels decreases, more and more homeowners are opting for this alternative energy source.
The best solar panels for home use are between 3kW and 10kW in size. The size of your solar panel depends on the size of your house and how much energy you use on a regular basis. The bigger the panel, the more energy it can harness from the sun.
Average Cost of Solar Panels
There are many variables that affect solar panel prices. These include the location of your home, the size of your home, and the size of the solar panels you want to install. Bigger panels cost more, and energy savings are higher in areas that are very sunny.
Solar panels range in price from about $5,000 to $30,000. For a 2kW system, you’ll pay around $5,000. An average-sized residential system of 5kW or 6kW will cost between $12,500 and $19,000.
When you’re shopping around, don’t automatically choose the cheapest option. You should consider the quality of the panels as well as the price.
After all, the best solar panels can last for up to 50 years. You don’t want to buy subpar panels and have them wear out prematurely.
When you’re considering the cost of solar panels, you should also factor in the amount of money that you will save on utilities. Equipping your home for solar power is somewhat expensive upfront, but panels quickly pay for themselves in the form of low utility bills. In lifetime costs, they are about 30 percent cheaper than traditional forms of electricity.
Check to see what kind of tax credits you qualify for. This varies by location, but many homeowners who opt for solar panels can save thousands of dollars with federal tax credits and other incentives.
You can expect to enjoy a return on your investment about eight years after installing solar panels. Because prices and incentives vary greatly, you should consult an expert and estimate your savings so that you can have an accurate price point in mind.
Buying Solar Panels
Many people use financing plans to pay for solar panels, much like you would pay off a mortgage or a new car.
Some areas also have community solar panel purchasing groups. This allows several different homeowners to place orders together and save money on shipping, installation, and other fees.
If you’re interested in solar, talk to your neighbors. You might get others in your community on board, and you can all save money!
Solar panels are a significant investment, but many people think the long-term benefits are worth the up-front cost. Now that you know more about the average cost of solar panels, you can decide if they are right for your home.
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