Electricity prices have been increasing as fast as the inflation rate. Causing a huge concern for Americans, and most people seeking to reduce or optimize their household expenses.
Electricity bills can be expensive, and with inflation running wild and making everything from gas to groceries more expensive, homeowners will want to do everything they can to combat rising prices and keep their households expenses as low as possible.
Is solar a good investment against inflation? Yes, it can protect you and your wallet from rising energy costs. In fact, solar energy can – in some cases – bring your monthly electricity bill down to a $10 interconnection fee.
This article explains how residential solar can help offset the effects of inflation.
Is solar a good investment right now?
Residential solar systems and panels are considered hard assets. This means they can increase in value over time as energy costs continue to rise. A solar system may even help you sell your home faster and for more money.
Producing electricity from solar power can help you minimize your dependence on grid power. This means your monthly energy costs will remain stable even as power becomes more expensive.
Installing a solar system allows you to generate free electricity for the system’s lifespan–usually 25+ years. If you are spending $100 or more on electricity each month, solar power can bring that cost down to as little as $10 per month for an interconnection fee.
Still need convincing? Here are the top reasons why solar is a good investment against inflation:
- Impressive ROI. Some investments can be risky, with a low Return On Investment (ROI). A solar system is a low-risk, high returns investment spread over the system’s lifespan.
- Guaranteed Returns. Solar power relies on nature, and your returns are still protected as long as the sun shines. Unlike other investments, solar systems can’t be influenced by factors like inflation, market volatility, etc.
- Increased Home Value. Solar panels can increase your home value. Every dollar the solar panels save you on electricity bills increases your home’s value by $20. Additionally, homes with solar panels sell for 4% higher than those without.
- It Protects Against Inflation. According to some data, inflation rates have constantly been rising, from 2.1% in 2012 to an estimated 8.4% in 2022 – and this trend is expected to continue. Reducing household costs such as electricity bills by installing solar systems can protect you from rising inflation rates since solar power is 100% free after the initial installation.
Solar Systems Can Help You Save Significantly
Installing solar can help you significantly reduce electricity bills by generating power. However, for the first few years of installing solar systems, any savings you notice typically goes towards paying off your solar power system. Once you’ve recouped your initial investment cost, you won’t have to pay any more electricity bills, helping you save significantly.
Save 30% With the Solar Tax Credit
With the 30% Solar Tax Credit, you don’t even have to wait that long to see savings. The tax credit allows you to deduct 30% of the total cost of equipment + installation on your taxes. This means you could potentially save thousands of dollars if you act before the December 2032 deadline.
Monthly Specials Through Solar Optimum
At Solar Optimum, we also offer monthly promotions to help you save even more on the cost of going solar. Our promotions often change so always be sure to check our promotions page to see what our current offer is.
Using Solar to Combat Inflation
With inflation affecting commodities of different natures, people are looking for ways to save money. One of the ways to protect yourself against rising inflation is to reduce your energy bills.
Since electricity bills can increase subject to market changes, renewable energies – such as solar power– are an effective way to save money on energy bills.
Are you interested in reducing your expenditure to survive the unpredictable inflation rates? Contact us to help you join the energy revolution and install a powerful solar system to power your home and reduce your electricity bills to as little as $10 per month.
