3 tips for buying affordable solar panels for home

Solar panels are an investment that can quickly pay for themselves given smart installation choices. This article from The Motley Fool outlines three tips to help you spend less and save more when buying solar panels. If you're considering switching to solar, connect with an authorized Panasonic installer for a free quote today.

If you're thinking about having solar panels installed on your home, you're in good company. Many homeowners have turned to solar energy because it's clean, and also, because it's free.

Once you have your solar panels installed, you may find that you don't have to rely on your local power grid for electricity at all. And that could save you a lot of money on utility costs.

But one drawback to going solar is the upfront expense involved. Solar panels can cost thousands of dollars, and the amount you spend will hinge on factors like the size of your home and the specific setup you put in place.

But the less money you spend on solar panels, the less time it will take to recoup your investment and come out ahead financially. With that in mind, here are some tips for saving money in the course of buying solar panels.

1. Shop around with different companies

Any time you seek to improve your home, it's important to get estimates from different companies so you can compare your costs. Well, solar panels are no exception. If you're interested in having them installed, seek out quotes from a number of local providers so you can see which ones are the most competitive. But in doing so, make sure you're comparing comparable systems – and ask detailed questions if you aren't sure.

2. Install your panels sooner rather than later

Right now, there are tax credits available for putting solar panels in place. But that benefit may not stick around much longer. Panels installed in 2022 may be eligible for a 26% tax credit, so if you spend $10,000, you'd get a $2,600 credit on your taxes. Panels installed in 2023, however, may only be eligible for a credit worth up to 22% of your cost.

Meanwhile, these tax credits are currently set to expire in 2024. There's a chance Congress will renew them, but rather than run that risk, get moving on your solar panel installation.

3. Find the lowest-cost option for financing your purchase

You may not have the money in your savings to pay for solar panels outright. But the less you spend to finance your purchase, the better. To that end, be sure to explore different borrowing options and compare the costs involved. You may, for example, find that a home equity loan comes with a lower interest rate than a personal loan.

You can also see if the company you decide to work with offers affordable financing. Solar panels are a big job, and you may find that some companies offer competitive financing rates. But do keep in mind that these days, borrowing rates are up across the board, so it's important to do plenty of research.

Converting to solar energy could be a money-saving move that adds value to your home and pays off in the long run. Use these tips to eke out some savings on solar panel installation so you can start reaping that benefit as early as possible.

This article was written by Maurie Backman from The Motley Fool and was legally licensed through the Industry Dive Content Marketplace. Please direct all licensing questions to [email protected].