Solar power systems are a new addition in home renovation, but are they a smart investment?
In a politically charged climate like the one we live in today, there are lots of talks about important issues, one of the most important being renewable sources of energy. Solar power is one of the easiest ways to create renewable energy, and solar initiatives have popped up all over the world, encouraging businesses and homeowners alike to invest in the technology. The question on most people’s minds however, is whether or not a solar power system will be a money pit, or an investment.
In a recent study done by economists in California, it was concluded that homeowners who installed photovoltaic solar panels to their homes did indeed recoup almost all of the investment costs upon moving, as well as save a lot of money annually in energy.
The study, published by the National Bureau of Economic Research looked at utility data, single-family home sales records, and building permit data in the counties of San Diego and Sacramento between the years of 2003 through 2010.
Each average installation of solar panels added a premium of $20,194 to the sales price of the house for houses in the mid $500,000 range.
According to the National Renewable Energy Laboratory, for every dollar you save in energy bill savings from solar installations, you can add $20 to your home’s total value. You can read more about those initiatives here.
If you are thinking of going solar for the sake of planet Earth, then your head is definitely in the right place. If you are considering it as a financial investment, you can set your mind at ease, because as electricity prices go up, and solar energy research expands, it will only become a more cost effective and advantageous investment for homeowners.[ via ] [ via ]