Living in Texas, where there is plenty of warm weather, many may not feel it is necessary to switch to solar energy. After all, it isn’t like you need to spend a lot for home heating, so it likely wouldn’t be worth the cost and effort, right? However, consider the hot summer months when home cooling creates high energy usage.

You might be surprised to learn that there are many benefits to switching to solar energy, no matter where you live. If you do your research, you will find many reasons to switch to solar energy, including that you can save a lot of money in the long run. Obviously, you will need to do a bit of comparison shopping to learn which providers offer the best services at the best prices.

If you live in the Houston area and are interested in learning more about whether or not it would be worth it for you to make the switch to solar energy, keep reading.

Why Go Solar?

There are so many good reasons to switch to solar energy besides significantly reducing your electricity bills. For starters, it will increase the value of your property. In just a few years, the solar panels will have paid for themselves for this reason alone. In addition, if you decide to sell at any point, having solar energy will be a great incentive for potential buyers.

If you are concerned about the environment, switching to solar energy is one way you can do your part to save it. With solar energy, there is no pollution, and you will leave a much smaller carbon footprint. In fact, you will even get tax incentives for taking steps to help the environment. For example, you could receive as much as a 30% tax credit, depending on where you live.

Another bonus is that solar panels protect your roof. Since they are installed on top of the roofing, they will protect it from harsh weather. This means your roof will last longer and need fewer repairs.

So, if you want to know if solar in Houston is worth it, keep reading to learn more.

The Cost of Going Solar in Houston

There are several factors to consider when adding up the cost of going solar in Houston. First, the size of the solar panel system will play a role, but perhaps not in the way you might think. Believe it or not, the larger the system, the lower the cost per watt. This is because panels can be purchased in bulk, which makes them less expensive. But, on the other hand, the cost to install these panels will be higher because there will be more panels to install.

The latest data from 2021 shows that the average cost for solar energy in Houston per watt is lower than the national average. For example, the average price of a 6,000-watt system costs $11,785, or $1.96 per watt, which is lower than the national average of $3 per watt. Obviously, the cost will depend on the size of the system, but here is a quick rundown of the average system cost by size.

Keep in mind that all prices are subject to change. Permits, inspections, and profit margins all play a role as well. Other factors can contribute to the installation cost, including:

Electricity Consumption

The number of people in your household and how much electricity everyone uses can affect the cost of solar installation. The more people in the home, the more panels that will be needed. But the more you use, the more you save in the long run.

Solar Panel Types

There are two main types of solar panels, polycrystalline and monocrystalline. Monocrystalline is far more efficient, but it also costs a lot more. On the other hand, polycrystalline is less expensive but also less efficient.

Will Electric Providers Compensate You for Solar Power?

If you go with solar power, your electric provider will compensate you for the energy you generate in Houston. The amount of compensation will depend on your electric provider. You will not find this information on the Power to Choose website because each provider is different. Before you make your decision, it is a good idea to visit the websites of each electric provider to see what their compensation rates are.

Are there Incentives, Rebates, or Tax Credits for Going Solar?

Unfortunately, there are no local rebates available to Houston homeowners. But there is a federal tax credit, as well as state-sponsored property tax exclusion. Various electric providers, such as Green Mountain Power, also have net metering offerings. However, some providers, such as CenterPoint Energy and TNMP, do not offer incentives or rebates for homeowners who wish to switch to solar energy.

Federal Tax Credit

All US homeowners, including those living in Houston, are eligible for the federal renewable energy tax credit when switching to solar energy. This credit is given to the owner of the solar system. This means if you lease the installation, the credit will be given to the installer. Unlike a typical tax deduction, this credit will decrease your total amount owing to the IRS.

This could add up to as much as a 30% discount on the installation of your solar energy system. However, if you own the installation, you will be required to apply for the tax credit yourself. This should be done on the income tax return that you file after installing the system.

Property Tax Exemption

As mentioned previously in this article, adding solar panels to your home can significantly increase your home’s value. So, you really need to take a look at your property taxes. In Texas, there is a property tax exemption for homeowners who want to switch to solar, wind, or other types of renewable energy.

TX Tax Code 11.27, passed in 1981, states that when homeowners install solar systems on the roofs of their homes, the value it adds to the property is not taxed. This code was passed after we saw the energy crisis in the 1970s.

So, let’s say you own a home that is valued at $120,000. If you were to buy and install a solar system valued at around $20,000, your property would still be taxed at the rate of the home’s original value. But the actual value is $20,000 higher than what you will be taxed on.

What if I Belong to a Homeowners Association?

Some homeowners associations may not want homeowners in their neighborhoods to have solar power because the panels are not attractive. Some associations even claim that solar panels will reduce the value of a property and that they could pose a danger.

Most homeowners associations have committees that look at all changes to properties, including any changes that would be made to the outside of the homes, such as solar panels on the roofs. Often, the panels are thought to be eyesores, and that they can take away from the attractiveness of a property and the surrounding neighborhood.

This has been a problem in the past for some Houston homeowners, so legislation was passed in Texas and many other states that guarantees all homeowners in the state the right to have solar energy. So, if you are a homeowners association member, their power to block your new solar installation is very limited.

As long as you follow specific regulations, no homeowners association can keep you from installing solar panels on your home. Let’s take a look at the rules you will have to follow.

Panel Location

Your homeowners’ association has the right to dictate the location of the solar panels on a homeowner’s roof. But there is an exception to this rule. If you can prove that the placement they want will negatively affect energy production, you can move the panels to another area. But, you will have to prove that by doing this, your panels will be able to create a minimum of 10 percent more energy.

Public Health and Safety

You must have a legal solar installation, and it cannot violate any public health and safety codes. These codes will be determined by the court.

Location

All panels must be flush to the roof and not go over the roofline, as this can be a safety concern. Panels can be raised off the roof, but they must all be the same distance from the roof.

Color

All wiring, frames, etc., must be black, silver, or bronze. No other colors can be used. This will help to keep things uniform throughout the neighborhood.

Your Future Looks Bright with Solar Energy

While there aren’t a lot of rebates and incentives for going solar in Houston, the benefits are numerous. There are federal rebates and property tax exemptions for switching to solar energy. If you are considering making the switch to solar energy, look into the various providers and installers. Find the best deals and rates, get the installation approved by your homeowners’ association (if applicable), and start enjoying huge savings on your energy bills, not to mention the benefits to the environment.

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