Are Solar Panels Worth it in Colorado?
It’s no surprise solar panels are growing in popularity among Colorado homeowners. After all, Colorado is known for its “300 sunny days a year”, making it a popular area for residential solar systems.
While many people are interested in going solar, it is a major home improvement project — and deciding whether or not it’s worth the investment isn’t as easy as it sounds.
So, are solar panels worth it in Colorado? The short answer is yes.
Solar panels pay for themselves over time through energy savings, add value to your home and can be a prosperous long-term investment.
As you start exploring your options, asking yourself the following questions can help you determine whether solar panels are worth it for you:
- How much do solar panels cost?
- How much can I save with solar panels?
- How fast will I be able to pay solar panels off?
- Will solar panels add to my home’s value?
In this blog, we’ll help you answer each of these questions so that you can better determine if solar energy is a smart long-term investment for your Colorado home.
Ready to learn how much you could save with solar? Our team will give you all the information you need to make an informed decision. Photon Brothers is dedicated to providing high-quality solar installations and amazing customer experience. Call 719-204-3094 or:
Question #1: How much do solar panels cost?
Average cost
In Colorado, the average cost of a solar panel installation can range between $13,000 and $18,000.
Keep in mind, a lot of factors come into play when determining overall cost, including:
- The number of panels you need
- The equipment you choose
- The layout of your home
- Available solar incentives
- And more…
The only way to know how much your solar panel installation project might cost is by requesting a solar estimate from one or more solar companies. Knowledgeable service providers like Photon Brothers offer free no-obligation consultations with cost estimates, so you’ll know how much your investment will cost ahead of time.
Financing options
Paying in cash is common among Colorado homeowners and can lead to the most long-term value for your money. However, some solar companies provide options when it comes to financing.
For those who prefer $0-down options, some solar companies offer solar loans and solar lease/Power Purchase Agreements (PPAs) to help finance a solar energy system. Solar leases and PPAs are very similar, as they both allow homeowners to lock in a low-monthly rate for electricity and equipment through a 3rd-party financing company.
What’s the difference between a solar lease and a PPA?
- Leases: Homeowners “rent” the system and make fixed monthly lease payments that are determined by the estimated amount of electricity the system will produce.
- PPAs: Homeowners purchase the power generated by the solar system at a fixed per-kWh price.
Keep in mind, financing options will vary greatly by installer and state. To learn more about costs in Colorado or to discover the best investment option for you, call 719-204-3094 to speak with one of our solar professionals.
Question #2: How much can I save with solar panels?
Determining how much money you can save with solar panels is a big concern for those who are still on the fence about solar panels.
How much you can save will depend on a few factors, including:
- How much electricity you typically use
- Your local utility rates
- How many solar panels you install
Typically, the more solar panels you install and the more electricity you use, the more savings you will see every month. In fact, it’s not unusual for some homeowners with solar power to spend $0 on their monthly energy bill because their solar panels actually provided more electricity than they needed.
While paying $0 every month won’t be the case for every homeowner, it does help paint a picture for the max amount of savings every month.
For example, most customers who contact Photon Brothers for a solar system have an average energy bill of $150+, which means, if you were to install enough solar panels to cover the electricity usage in your home, your savings could reach up to $1,800+ per year.
Question #3: How fast will I be able to pay solar panels off?
So, how much time does it take to recover your initial investment through electricity savings?
This is known as the solar payback period. And, on average, homes in Colorado see a payback period of 10-14 years. This varies depending on energy usage and utility rates, but either way, a solar system will inevitably insulate you from rising electricity costs.
Question #4: Will solar panels add to my home’s value?
A US Department of Energy study showed that home buyers are willing to pay more for homes with solar panels. On average, home buyers will pay up to an additional $15,000 for a home with a 3.6 kW solar system.
So, are solar panels worth it when it comes to home value? Regardless of whether you plan to stay in your home for a while or sell sooner than later, the answer is yes.
Trust the best in solar energy. Schedule your free, no-obligation consultation with a cost estimate today.
As a Colorado solar energy company, Photon Brothers is committed to helping Coloradans protect the environment and make progress towards energy independence through clean, affordable solar power. Give us a call today at 720-370-3344 to see if solar panels are a worthwhile investment for your home.