Time May Be Running Out for Solar Credit

Solar credit
Solar roofing combines a quality roof replacement with solar capability.

As 2015 drew to a close, it seemed that the lucrative solar credits that had encouraged many people to install solar electric technology in their homes would finally be allowed to expire after several year-end extensions.

In fact, the 30% credit for certain energy-efficient improvements including photovoltaics (solar energy) and solar thermal systems were extended until 2019, giving homeowners more time to take full advantage of these improvements. After 2019, the credits will be slowly phased out through 2022.

While this generous extension seems to take the pressure off scheduling a solar installation this year, there are many advantages to making the change to solar sooner rather than later.

Advantages to Installing Solar Now

–Major savings on every month’s electric bill. Depending on the size and placement of the solar installation, homeowners can save up to 100% of their electric cost each month. Cloudy days and cold weather don’t deter solar savings either. Although cloudy days will not generate as much electricity, a significant amount is still generated, and cold sunny days may be the best energy generation days of all, particularly when snow cover reflects and intensifies the light available.

–Making a profit. If you generate more electricity than your home uses, some electric companies will buy your excess electricity from you, so you may even make a profit from your solar installation at least some of the time. This helps the system pay for itself faster and lowers your energy costs on the days you can’t generate as much solar energy.

–Ability to get financing. Solar companies have generous financing programs that may make your net monthly cost zero to convert to solar now. Although these financing programs may remain in place until 2019, there are no guarantees that they will, or that you will be able to qualify for them if your household income drops or changes.

Solar credit
Unlike solar panels on the roof, solar roofing looks attractive and blends in.

–Increase in home value. Solar installation increases your home’s value by an average of over $11,000, which can have implications if you plan to sell the home in the near future or if you plan to use the equity in the home while living there. Although the average system costs more than the equity increase, it will still help to cover these costs and give a net benefit to your home.

–The system will pay for itself, and more. Although solar systems have a large up-front cost, they are ultimately profitable for homeowners and can save them a significant amount of money for many years. It makes financial sense to invest in a solar system now, when you can get a significant tax credit for doing so and further increase your savings.

–Waiting wastes savings. Sure, you could wait a few years and still get the savings offered by the tax credit, but by doing so, you delay your savings instead of starting the process of lowering your electricity costs now.

Moonworks offers the exclusive Dow Powerhouse solar roofing system to integrate roof replacement and a solar system that will provide power to your home. Not only does this system make it possible to get a new roof and solar system all at once, but the solar shingles blend in with the roof to make it attractive and streamlined.

Call 1-800-975-6666 to get your free estimate from Moonworks on a solar roofing system for your home.

Leave a Reply

More Resources