Solar Panel ROI: Averages and Property Benefits
In parts one and two of this multi-part blog series, we’ve been going over several of the important factors at play when trying to calculate your expected return on investment (ROI) for a solar panel installation. Solar power is an investment just like many other long-term property upgrades, and it’s particularly enticing because it often provides ways for property owners to actually increase the value of this investment over time.
At Intermountain Wind & Solar, we provide a huge range of residential and commercial solar panel installation services for all our clients, including assisting those who are looking to determine potential ROI and decide whether such an installation is the most cost-effective move for them. Here are some of the final factors to keep an eye on here, plus some basic info on how both home and business owners can benefit from the strong ROI typically associated with solar panel installation.
As we’ve noted multiple times in this series, the exact ROI you achieve – and therefore, the savings you obtain compared to your previous energy needs – will differ based on the specifics of your setup, the size and number of your solar panels, your previous electricity costs, and more. That said, we can still list some average savings numbers to help you get an idea of what this picture often looks like.
Generally speaking, homeowners average about $1,400 a year in energy savings after switching to solar – this number continues to rise each year as electricity gets more expensive while solar panel installation gets cheaper. If you’re saving anywhere close to this number, which you can calculate using the variables we’ve gone over here or using a solar panel savings calculator, you can simply compare this with the cost of the solar installation, and this will allow you to arrive at your payback period we went over in part one.
Property Value Factors
For homeowners, an additional benefit of solar panel installation is property value increase. Many solar panel systems will improve property value by far more than what you actually paid to install them, especially if they show a consistent track record of generating quality power. The best benefits here come from those who own their own solar panels, rather than those who lease or rent panels from a third party.
Business owners also see many of the same benefits. Not only do solar panels improve energy costs and increase your profits, they also provide goodwill in the community through promotion of sustainable programs. In many cases, this makes your business more attractive to a potential client than competitors who do not utilize solar technology or other sustainable solutions.
For more on the ROI of a solar panel installation, or to learn about any of our solar panels and related services, speak to the staff at Intermountain Wind & Solar today.