The state of Colorado is noted as one of the sunniest states in America, with an average of two hundred and forty-five sunny days per year! This makes Denver the perfect city to benefit from the renewable energy provided by solar panels. Solar panels are currently able to reduce an individual homeowner’s carbon footprint by more than thirty pounds of carbon dioxide per year, simply by installing your own solar panels to help power your home on a daily basis. Colorado is one of the most environmentally conscious states in America. Adding solar panels to the homes that fill this beautiful state is an easy, almost effortless way to help continue to pave the way to the future of green living and renewable energy resources.
Not only does this fuel the green movement sweeping our nation, but it also aids in saving homeowners all over Colorado money, with an estimated monthly savings of $84 on their energy bills. In addition to saving money, adding solar panels to your home increases your value by close to $20,000 in the Colorado housing market, making solar panel installation an opportunity to invest in your property. Solar panels are rapidly rising in popularity among young home buyers, and they allow you to have a unique selling point on your home.
The state of Colorado is currently offering various incentives for solar panel installations. The first is a Federal Solar Investment Tax Credit, which is a 26% tax credit offered to those who purchase home solar systems so long as you take advantage and install prior to December 31st of 2022. There is also a property tax exemption that excludes the added value of the solar panel system from your home’s total value for tax benefits.
Additional tax exemptions can be found as well, including Sales and Use tax exemption on Renewable energy resources. Different rebates are also available for research and application by each consumer, entitling you to up to $3,000 through Energy Smart Colorado, or for $750 for the first 6kW expended through your personal system through Holy Cross Energy. All of these incentives help aid in installation costs, thus making solar panels accessible to really anyone in the state of Colorado who is eager to take advantage of the benefits provided by these systems.
When looking to install a solar panel system for your home, you will be faced with two payment options; to lease or to buy. If you find the upfront costs associate with Solar panel installation to be too daunting of an undertaking for your personal financial situation, leasing allows you the opportunity to still reap the benefits of a solar system without facing the upfront costs. Leasing often requires going through a third-party company to purchase and care for the solar panels and the battery, while you cover an agreed-upon monthly rate, bypassing those daunting upfront costs and maintenance fees.
If you plan to move while still paying the leased equipment, you can speak to the third party that purchased your unit to discuss seamlessly passing this lease on to the new homeowners. It is important to note that, when deciding to lease vs purchase upfront, the aforementioned tax benefits will not apply to your leased unit. You will also be locked into a monthly payment, and may not experience the same monthly payment relief that those who own their own systems do.
If you opt to purchase your system outright, you have the option to either pay upfront or finance through a solar panel loan. While this does leave all upfront costs and maintenance fees up to you, it also ensures that the tax exemptions go straight to your pocket. This option also ensures that you will reap the benefits of an increased home value when it comes time to sell your home, as the money you invested in start-up costs will increase your home value by an average of 4.1%. You will immediately begin reaping the benefits of your system, as the energy you have purchased is yours to immediately use, experiencing the decreased monthly payments that are brought on with solar panel installation.
Regardless of the means, you use to obtain your system, solar power is the right decision for all homeowners in Colorado. The abundance of sunshine in this state allows for the potential to produce hundreds of times as much energy as the state consumes as a whole, making solar power the ideal addition to any household in this state. Colorado is pushing towards 100% renewable energy use by 2040, therefore now is the best time for homeowners and businesses to jump on board and reap the benefits being offered by their state now for solar panel installation. Currently, Colorado residents are paying 0.12 cents per kW of energy consumed, but this states solar costs are projected to increase to 0.22 centers per kW. Locking in your solar system today will ensure that you reap the benefits of low-cost solar power for years to come.
Determining what size unit you will need for your household depends on various factors that you will review with the provider you choose. You will likely examine previous electricity bills with your provider and discuss what energy percentage you will like to meet through your solar panels alone. It is often beneficial to contact your utility and request a copy of your total energy usage measured in kilowatt-hours in order to present to your solar panel provider to work towards obtaining an idea of how large your unit should be in order to meet your goals.
You will also have to take into consideration the space your home allows for panels. Your provider will be able to measure the square footage of your roof and present you with an estimate of how many panels you will be able to place up there, taking into consideration your energy goals, to try and get you to where you want to be in regards to savings.
Living in Colorado places you, as a homeowner, in the perfect situation to reap the benefits of this abundant renewable energy resource, and if you act now you’ll find yourself investing in a greener future, doubling your future savings by jumping on the early stages of integrating solar energy into the everyday homeowner’s life.