Many homeowners in Colorado are considering installing solar panels. A question that often arises in this context is whether solar panels increase home value in Colorado or not. This inquiry stems from the desire to contribute to a greener future and also make a wise financial investment. In this blog, we’ll focus on learning how much value does solar add to a house in Colorado.
Do Solar Panels Increase Home Value in Colorado?
Generally speaking, solar panels do increase home value in Colorado. You gain nearly $15,000 to your home value when you install solar panels. Solar panels on average can increase a home’s value by 3% to 5%.
The concept of solar power resonates strongly with a majority of home buyers in Colorado. Apart from the potential energy savings and the ability to operate independently from utility companies, solar panels provide a sense of environmental responsibility to conscientious homeowners to help their planet.
Moreover, solar power creates 96% less CO2 pollution than coal and 91% less than natural gas. Solar panels harness renewable and clean energy directly from the sun and thus play a crucial role in combating greenhouse gas emissions in Colorado. They also help reduce the collective reliance on fossil fuels. The people who are aware of the environmental benefits of solar energy are naturally drawn to homes that already have already been equipped with solar panels.
Lastly, there’s also evidence that shows in comparison to homes without solar panels, the homes with solar panels spend less time in the real estate market. Now, let’s see how much value solar adds to a house in Colorado.
How Much Value Does Solar Add to a House in Colorado?
Solar panels basically help to raise the value of your house in Colorado by lowering your monthly electric bills in the long run. This can be especially appealing in areas with exorbitant energy costs. Additionally, unlike other home upgrades, solar panels require very little maintenance.
According to research conducted by the United States National Renewable Energy Laboratory (NREL), it has been found that when a solar panel system reduces a home’s monthly power bill by $1, the value of the home increases by $20.
While it is widely known that the installation of a solar energy system in one’s home requires upfront an initial investment, the prospective buyer’s focus when considering the added value of the home would not revolve around the cost of installing solar panels. Because they will automatically receive environmental benefits and monthly savings. Now, let’s see how much solar panels save in Colorado.
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How Much Do Solar Panels Save in Colorado?
Colorado is a state that receives an average of 300 days of sunshine each year. Thus, it is an ideal state to harness solar power. The number of solar panels determines how much solar panels save in Colorado for you. For homeowners with more solar panels, the energy produced is greater and thus more savings. For some homes with solar power, the homeowners don’t even need to a dollar on their monthly energy bills. Their solar panels actually provide more electricity than they need. However, this will not be the scenario for every homeowner. The more the number of solar panels, the more you save on energy bills and the more your home’s resale value increases.
How Many Houses Have Solar Panels in Colorado?
There isn’t specific data on how many houses have solar panels in Colorado. However, as of 2023, Colorado can boast over 80,000 solar installations with around $4.3 Billion installed in solar systems. The state of Colorado has installed over 1,700MW of solar power and currently ranks 14th in the USA. Now, let’s learn what is the typical cost of solar in Colorado.
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What is the Typical Cost of Solar in Colorado?
After learning how many houses have solar panels in Colorado, let’s see what is the typical cost of solar in Colorado. The typical cost of solar panel installation here ranges from $14,535 to $19,665. Based on the cost per watt ($/W) basis, you can expect a solar panel installation in Colorado to range from $2.91 to $3.93.
How to Pay for a Solar Panel System in Colorado?
There are many financing options available for homeowners who are looking to invest in solar energy in Colorado. Cash purchases are a common way to pay for solar and mostly lead to the most long-term value for your money. For people preferring $0-down options, solar lease/PPAs and solar loans are also available to help finance a solar energy system.
To conclude, solar panels do increase home value in Colorado. They do so by harnessing the solar energy and reducing your energy bills. For some homeowners, solar panels are even capable of making their entire utility bill $0 dollars.
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