As the movement toward alternative energy sources continues, residential solar energy incentives are gaining a growing audience. In Asheville, homeowners can take advantage of many rebates and incentives at the state and federal levels, meaning that both up-front and long-term costs can be reduced. Following, a few financial benefits to installing solar systems in your home:
Federal Tax Credits
The installation of both solar water heaters and solar panels can qualify for a tax credit. As of 2018, that means a credit of 30% of the cost, including installation costs, with no upper limit. (The credit decreases to 26% in 2020). The systems must be installed in a home you own and use as a primary residence, between Jan. 1, 2006, and Dec. 31, 2021. For solar water heaters, at least half of the energy generated must come from the sun, and the system must be certified by the Solar Rating and Certification Corp. For solar panels, the photovoltaic systems must provide electricity for the residence.
Duke Energy provides its N.C. customers with rebates if they install solar panel systems. Homeowners can receive a $0.60/watt rebate for systems up to 10 kilowatts. That means an average 6-kilowatt system would be eligible for a rebate of $3,600.
Revolving loan options are another perk for North Carolina residents. Legislation enacted in the state allows for cities and counties to offer low-interest loans for solar panels. The legislation limits loan terms to 20 years, with an interest rate cap of 8 percent.
Property Tax Exemption
Solar systems are lauded for increasing the value of your home, but that can also mean higher property taxes. However, in North Carolina, for homeowners who are using their systems for residential purposes (and not for business or profit), an N.C. property tax exemption means that the value their system adds to the property isn’t included in property tax assessments.
Another incentive for N.C. residents who install solar panels is net metering. The state’s net metering policy credits homeowners for the extra power the solar panels produce, and allows them to apply that credit during times when the system doesn’t generate enough electricity.
At the local level, installing solar panels will net a bonus incentive. If you live in the city of Asheville, you can receive a rebate on your building permit when installing a solar system on either residential or commercial construction.
If you’re in the market for a home in Asheville that is equipped with a solar system, or one that can accommodate such a system, please contact Mike Figura at Mike@MyMosaicRealty.com or call him anytime at (828) 337-8190.