There has been a big push towards solar power for homes and businesses in the last few years, with government incentives and plenty of providers to choose from.
It’s a smart choice, especially with the rising costs of electricity. When you combine this with restrictions that are seeing families at home all day, using more power for entertainment and living, plus the addition of working from home, you’ll likely be dreadding incoming electricity bills at the moment.
Now more than ever it’s important to look at the solar power savings and see if it’s time you went a little more green.
We need to look at the big picture when it comes to your savings because the extended benefits of installing solar panels might surprise you.
Obviously you’ll be looking to save some money on your power bills, enough to get back your investment and then some, but you also need to consider that it might put your home ahead of the pack when it comes to selling your property at a later date.
In coming years, solar-powered houses will be hot property.
Not only can installing solar panels help ease the strain of electricity bills now, taking the time to invest in solar is expected to pay back in a big way for property value down the line. If your property is already set up with green solar power, it might just put it ahead of the rest in the local market, driving up demand and gaining added interest. Afterall, the future is green.
There is no single figure for solar power savings. It’s not possible to know exactly what your savings will be without any digging since there are a lot of factors that will impact how much you get out of your solar panel installation, including:
- How much electricity you already use
- How well insulated your home is (older homes may allow more heat and cool air to escape, leading to higher energy bills)
- The number of solar panels you install
- If you use a solar battery
- How much direct sunlight the panels get
- When your busiest electrical use times are in your home
The amount you save using solar power will vary a lot from home to home, and family to family.
On average, homes in Australia save approximately $1065, according to UPowr reports.
Of course, in order to go ahead and outline your budget you are going to want more exact figures, or at least approximate savings for your home specifically. When you have a deeper understanding of the costs upfront you can better determine if investing in solar will pay off.
To get an estimation for your home it’s best to get a quote (or two) from solar installation specialists who can look at your electricity bill history, the age of your home and your property to take into account shading, roof slope and sun angle. From there they can determine the Watt and battery system you’ll need to get any benefits, as well as what the return on investment will be for you year to year.
When you discuss the practicality and suitability of solar panels for your home with an expert they can tell you how many panels you will need and what kind of connective system (grid-tied or battery).
The number of panels you purchase will depend on:
- The size of your home and family
- Your budget
- The surface space you have available
- What your solar goals are
Basically you can expect to pay about $1 per Watt, which makes a 5kW solar panel system worth around $5000.
If you want to be able to harness and store energy to use day and night you’ll also need batteries connected. These are high in price. You can expect that in the current market, a solar and battery combined system will cost you around $10,000. That will give you the biggest saving on power in your home, but it’s not essential.
By using a grid-tied system you can use electricity harnessed by the sun instantly in your home without the added costs of battery purchase.
Of course those prices do not take into account the incentive programs available through government programs. If eligible you can get significant savings on your solar panel and battery combination, taking it down to just a few hundred dollars.
You’ve already noticed the rising costs of electricity and gas. In fact, the costs rose so much that government bodies have had to step in to regulate base rates.
From 2009 to 2019 the cost of electricity increased by more than 100%.
Investing in solar will help protect you against further inflation in years to come as well as help you out if you have a growing family with equally growing energy needs.
Many of our investments or lifestyle purchases decrease in value over time; computers, cars and white goods. Solar will keep giving back into your bank account for every year you continue living in the home.
Through use alone, solar power investment typically allows customers to gain back, and exceed their upfront costs over ten years.
Most people can expect their investment to give back again when they are ready to sell the property, by adding increased value and a point of interest for home buyers.
Planning for the future (H2)
Smart homes and green homes are going to be the norm in the future. Homes are becoming more and more connected to technology (and electricity), using our phones to turn on air con, washing machines and allowing parcel delivery to happen remotely.
Technology and push to green is only going to grow, from hot water services to pool heating, we are finding ways to reduce our carbon footprint and make living economical.
As green technology becomes normal in homes so too will solar energy. Battery powered cars requiring recharging stations are going to be relying on solar, so much so that most homes are going to need solar battery combinations to make every day living practical.
Solar panel installation is a great way to future-proof your home.
As well as preparing for greater technology, modern homes are required to meet energy efficiency minimum standards. For example, homes in Canberra must now declare their energy efficiency rating when selling the home, which could easily become a trend across Australia.
Of course the real saving with solar panels is the environment. By using the energy from the sun instead of burning through non-renewable energy sources we lessen our carbon footprint and allow natural resources to grow and flourish, setting aside some of nature for future generations.
And the impact you have on saving the planet is huge. It’s estimated that the average solar panel battery system reduces carbon dependency by as much as six tonnes a year (per household!).
In the ten years you reclaim your invested money using solar, you also save 60 tonnes of carbon.
Solar panels are a great way for your family to help the environment each and every day, just by living under the power of the sun.
If you are worried about the impact that solar panels will have on the look of your home, and possibly reducing the overall aesthetics, you do need to be aware that in order to function, solar panels need to be out there, exposed to as much sunlight as possible.
Depending on the direction your home faces you can look at getting solar panels out the back where they won’t necessarily be as notable, but there's simply no point in installing panels in out of the way areas that won’t get enough light.
Overall, going green is something to be proud of and getting in while the government incentives are still on offer, means you can modernise your home for less.
Developers are known for spending big money on property because they know what they want and how much value they can get from the right location.
You probably have a shortlist of things you are looking for in your investment property search, but no matter what type of investment property you are looking for or what the purpose of your purchase is, there are three fundamental things you need to look out for.
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