Solar Panels: Tax Breaks and More

Solar Panels: Tax Breaks and More

Solar Panels: Tax Breaks and MoreSolar panels have become more popular than ever among homeowners. With more affordable installation and material costs, many people are installing solar panels on their homes. It might be worth considering especially if you live in a sunny region and want to offset some of your energy costs. Here is what you need to know.

The Ease of Installation

Solar panels still require expert installation, but the process has become much more straightforward. Many people in the trade have dedicated their businesses exclusively to solar installation. Your solar installation technician will be able to walk you through the process so that you understand the pros and cons of your investment.

Solar Panel Placement

You will want to consider the placement of your home with respect to sun exposure. South-facing homes are ideal, but other positions can also work depending on the slope and direction of your roof. The shade from tree cover may also play a part in the placement.

Cost of Labor

With the technology becoming more affordable, much of the price of solar power systems is the labor. When getting a quote, consider the work involved and how you can get a good deal.

Return on Investment

The average return on investment (ROI) for solar panels in the United States is roughly 10%. The ROI isn’t the same as the payback period. That’s part of it, but the rate of return and the cost savings for energy should also be factored into the decision.

Rebates and Tax Credits

For solar power systems installed between 2022 and 2032, tax credits are 30%. You must meet specific residential requirements, so check with your tax accountant to learn more. You can also review the federal guidelines for more details. There are a lot of moving parts here, so be sure to get the full details before filling out your returns.

Do you want a house where solar power is a good investment? Call us today.