Benefits of Installing Solar Panels on Home or Business
According to resources, in 2021, the US consumed around 1.32 trillion kWh of electricity for commercial purposes, which had a huge impact on the US economy and an influence on energy consumption and usage. An overloaded utility grid can cause a multitude of issues, such as blackouts and brownouts. One of the ways to reduce the strain on the utility grid is to replace fossil-fuel-generated energy with renewable energy, specifically solar. As solar becomes more desirable in the US, solar installations are adding significantly to property value.
Solar had been successfully implemented in around 4% of residential buildings, which is a big step towards reducing non-renewable energy consumption. However, solar is not limited to residential use anymore, and with growing awareness about the benefits of switching to renewable energy, more and more businesses are abandoning traditional energy sources in favor of solar. Installing solar on your commercial property comes with many benefits, such as lower electricity bills, reduced carbon footprint, and energy independence, and one of the most significant benefits is how solar increases property value.
Many businesses hesitate to make the switch to solar, worrying about the upfront solar installation cost and wondering if they will be able to return the investment they made in solar, but you will be surprised to know that properties with solar installed are in higher demand, and when it comes to reselling your property, you will get extra profit compared to a property that does not have solar installed. Let’s go over how solar impacts your property value and its benefits in greater detail.
5 Ways Solar Has an Impact on Property Value
Location of the Property
The location of a commercial structure is the main consideration in determining how much value may be achieved by adding solar panels to your business, and if your property is in a high-demand state like California, Colorado, New Jersey, or Oregon, consider yourself lucky; chances are your property value will rise as the location of your property significantly influences how much your property value rises.
Quality of Solar Panels Installed
Another important factor affecting your property’s value is the quality of the solar panels installed, in terms of panel quality, warranty on parts, longevity, and the manufacturer. Instead of considering low-quality panels are available at lower prices, research and go for high-quality solar that fits your budget to get the most out of your long-term investment, as they play a part in determining value.
When choosing solar panels, business owners have two main options: monocrystalline and polycrystalline. Monocrystalline solar panels are made from a single, pure crystal of silicon and are known for their high-efficiency rate- between 15-24%. They have a uniformly dark color and sleek appearance due to their black coloring and rounded edges. These panels can convert a higher percentage of sunlight into electricity compared to polycrystalline panels, which means you can generate more electricity with fewer panels, ultimately leading to a more efficient and cost-effective system.
Polycrystalline solar panels are made of individual silicon polycrystalline cells instead of single pure silicon crystal cells. They are usually less expensive than monocrystalline panels, but due to their lower efficiency rate, required more space compared to monocrystalline. The efficiency rate of polycrystalline solar panels is low, usually between 13% and 16%, with less heat tolerance. Monocrystalline panels are typically more efficient and thus take up less space, making them a worthwhile investment for those who want to maximize their energy output.
Boost Your Resale Value
As a business owner, you must calculate your ROI period before considering switching to solar. Here is the good news: according to some reports, properties with solar installed have increased their value by 3%–4% on average, and because properties with solar are always in demand and potential buyers are willing to pay more, you can earn back more than you initially invested in your installation.
Enhance Your Brand Image
As a business, one of the vital contributions to your success and growth is having an image that your customers can resonate with, and now that people are more inclined towards eco-friendly products and businesses, installing solar will not only boost the value of your property but also bring in more customers and improve sales, so it is a win-win situation.
Save on Property Tax
Many states offer tax rebates to businesses that choose to switch to renewable energy. In general, as the value of your property increases, so does the property tax, but with solar installed on your property, you do not have to worry about rising property taxes. Property tax exemptions allow businesses to deduct the added value of a solar system from the valuation of their property for taxation purposes.
Boost Your Property Value and Business Growth with IE Construction.
Our goal at IE Construction is to provide you with a sustainable energy plan that works for your business. We have a fantastic group of solar experts who want to assist you at every stage of your solar journey. There are several benefits to going solar for a business, including fewer overhead costs and tax benefits. IE Construction provides top-quality materials and seamless installations that do not get in your way. We can help you turn your energy expenses into tax savings. Contact us today to learn more about how we can help your business transition to solar energy.