Solar panels have been gaining popularity across the country, and Montgomery County is no exception. Thanks to innovations that are bringing down the cost of panels and increasing their efficiency, more households than ever are turning to this green energy source to power their lives and decrease their reliance on less eco-friendly alternatives.
For those that wonder if the investment of going solar makes sense for them, consider the advantages of solar installation—rebates, incentives, energy production, and more. The good news is that for many homes in Montgomery County, going solar makes more sense than ever before.
Here is an overview of why going solar is a smart move for many households, as well as a breakdown of the many advantages this type of installation offers and what to expect for those just dipping their toes into the prospect.
Does Going Solar Make Sense?
One of the main questions that any family will ask when considering solar panels is whether the panels will produce sufficient energy to be “worth” the cost. The answer depends on many factors.
Skilled installers will help homeowners address their individually unique energy needs by designing and explaining a solar array that produces sufficient power to reduce or replace their reliance on electricity.
Knowing this, homeowners can make their calculations about how long it will take for the panels to pay for themselves—that is, how soon will the panels have saved enough in energy costs to cover the cost of their own installation.
In Montgomery County, with its hundreds of days of sun each year, going solar can be a very smart choice. This is due to the costs of the array itself, as well as numerous incentives unique to Maryland residents, that further incentivize the process of converting away from electricity and toward energy independence.
The Advantages of Solar Installation
Going solar in Montgomery County makes sense for many reasons. These include:
- Maryland Solar Incentives – The state of Maryland offers numerous incentives to encourage residents to make the switch from other forms of energy to comprehensive solar production. The Maryland solar property tax exemption ensures that the value that the solar array adds to your property is not reflected in taxes. The assessed value of the home does not include the solar panels, saving families an average of more than $4,000 depending on the state of their annual property taxes.
- State and Federal Tax credits – The federal Solar Investment Tax Credit can claw back a portion of the cost of a solar installation project by providing tax credits during the year in which the array is first installed. If a homeowner does not have a sufficient tax burden to make use of the entire credit, it may be rolled across multiple years to maximize the savings. Additionally, the Maryland energy storage tax credit applies to storage systems such as solar batteries. It is a first-come, first-served program that is valued at 30% of the total cost of the energy storage system or $5,000, whichever is less.
- Solar Energy Credits – Maryland residents may accumulate solar energy credits to be sold on a public marketplace. For each megawatt hour produced by the panels, one renewable energy credit is generated. While the value of these credits can fluctuate based on market pricing, homeowners may earn hundreds each year as a result of the energy their system produces. As of this writing, these credits would generate an average of $600 per year in additional income for a homeowner in Montgomery County.
An experienced installer can, in detail, explain the full scope of the renewable energy credits and the other incentives. As always, for details specific to your tax situation, consult a tax professional.
Payback and Costs
To determine whether going solar in Montgomery County makes sense, the presented advantages should be compared alongside the costs of the system for your home. The average 10kW system costs approximately $30,000, but the incentives listed above can reduce that cost by $10,000 or more.
Because the projected savings generated by a 10kW system exceeds $100,000 over the life of the array, solar panels pay for themselves (and then some) over time. How long this takes depends on multiple factors, the size of the home, the cost of electricity, and how much energy a specific household uses.
With the average electric bill in Montgomery County coming in at just over $200 per month, a 10kW system should fully recover its cost in about 8 years. After that, everything produced by the system is a net gain. As we’ve said before, solar is an untaxed stock market return with no volatility. Montgomery County is no exception.
Get Solar Installation from Industry Professionals
Investing in solar panels is a big step, but it is a wise one for many households seeking energy independence. Thanks to comprehensive solar incentives offered by Montgomery County and the federal government, homeowners can feel more confident choosing to go solar.
The experts at Ipsun Solar are part of the Amicus Solar Cooperative, which remains on the cutting edge of solar technology to bring customers the most up-to-date and effective arrays.
During an in-home consultation, the Ipsun Solar team conducts a detailed analysis of your home and energy consumption to provide you with a transparent estimate of the cost to install a solar array for your household. Contact Ipsun Solar to schedule a review of your property and learn about your solar options.