The era of solar energy is shining brighter than ever in American households, a sentiment supported by Forbes Home’s latest survey. As traditional energy sources continue to grapple with sustainability issues, 89.6% of homeowners with solar panels report being satisfied with their choice. But what’s driving this widespread approval? Is it simply the promise of lower energy bills or something more nuanced such as energy independence?
Our survey digs deep into solar panel owners’ motivations, experiences and expectations, revealing insights that could redefine the future of residential solar energy.
Key Takeaways
- The primary reasons for installing solar panels center on energy independence (73%), cost savings (67%) and environmental concerns (50%).
- At least 67% of current owners are considering expanding or upgrading their solar systems.
- Over 82% of owners would recommend solar panel installation based on their experience.
89.6% of Residents Are Satisfied With Their Solar Panels
A remarkable 89.6% of homeowners who participated in the survey reported satisfaction with their residential solar panel installations. This number is encouraging and indicative of a broader trend towards renewable energy adoption among homeowners.
According to the Solar Energy Industries Association (SEIA), there were approximately 3.3 million households in the United States with solar panels installed as of 2022.
But what could be driving this high level of satisfaction? One potential factor could be the cost savings associated with solar panel installations. While the initial costs of purchasing and installing the best solar panels can range between $10,000 to $18,000 depending on the size and complexity of the system, many homeowners find that the long-term financial benefits outweigh the initial investment.
Moreover, the decreasing costs of solar panels have made them increasingly affordable. Data from the National Renewable Energy Laboratory shows that the cost of solar panel installation has dropped by more than 70% over the last decade. This decrease in cost has undoubtedly contributed to the rising homeowner satisfaction rate.
This near-90% satisfaction rate among solar panel owners provides a compelling narrative for those contemplating switching to renewable energy.
82.6% of Respondents Would Recommend Solar Installation to Others Based on Their Experience
When it comes to putting their trust in solar power, homeowners seem to be singing its praises, at least according to our survey results. An impressive 82.6% of those surveyed said they would likely recommend installing solar panels to others.
These results reinforce the idea that solar panels are not just an eco-friendly option, but also one that provides a satisfactory experience to most homeowners.
With just 3.9% nesting within the "unlikely" categories, the data overwhelmingly suggests that solar panel installation isn’t just a passing trend but a substantial, reliable investment that most people are happy to endorse.
While this data is encouraging, it's essential to remember that a good experience with solar installation can be influenced by various factors such as location, quality of service and upfront investment. Regardless, the overarching sentiment from this survey is clear: The majority of those who chose solar energy for their homes are not just content but also willing to encourage others to take the same step.
Solar Panel Costs and Savings
As the momentum for renewable energy continues to build, nearly half of Americans plan to install solar panels in their homes. But upfront costs remain a sticking point for many.
Installing a residential solar system will cost, on average, between $10,000 and $18,000. However, it's crucial to consider the 30% federal solar tax credit available in every state, which effectively reduces the cost by nearly a third.
Adding to the financial incentives, the average household can expect to save between $1,000 and $2,500 per year on electricity bills after installing a solar system. These savings can be even more significant in states with higher electricity costs.
Additionally, it's worth noting that a substantial 67.10% of current solar panel owners are contemplating expanding their existing systems, while 65% are considering upgrades to newer or more efficient models (noting that these figures suggest some overlap between those who want to expand and those who want upgrades or newer models).
This paints an optimistic picture for the future of residential solar energy, balancing initial costs with long-term savings and sustainable living.
73% Report Installing Solar Panels for Energy Independence
The desire for energy independence was by far the most motivating factor for installing solar panels. Following closely are cost savings (66.3%), government incentives (56.3%) and environmental concerns (50.2%).
The concept of energy independence is gaining considerable traction among Americans. The Solar Energy Industries Association (SEIA) shared that in 2020, solar power experienced a 37% growth in the U.S. and projected that between 2021 and 2025, 42% more solar power would be installed across the country than the solar market installed during 2015 to 2020.
In essence, it means generating your own electricity through solar panels and, in doing so, reducing reliance on the traditional energy grid. The appeal here is multi-faceted: Not only do homeowners gain a sense of autonomy and control over their energy production, but they also sidestep potential electricity price hikes and grid failures.
Overall, the numbers suggest that homeowners see solar panel installation as more than a home improvement project: It's a multi-dimensional decision influenced by financial, environmental and personal factors, with energy independence increasingly at the forefront.
Homeowners With Solar Find Energy Independence, Environmental Impact and Government Incentives the Most Beneficial
Interestingly, the actual benefits experienced by homeowners post-solar panel installation reveal a subtle but insightful shift in priorities. While energy independence remained a significant advantage, reported by 54.8% of respondents, the environmental benefits jumped significantly to 42.2% post-installation.
Before installing solar panels, the primary driving factors often involve a mix of pragmatic and aspirational reasons: cost savings, government incentives and a desire for energy independence. However, once the system is up and running, the tangible, day-to-day rewards become a reality.
Homeowners seem to enjoy seeing their carbon footprint shrink in real time, instilling a continued appreciation for the ecological impacts of their decisions. This could explain why the environmental benefits went from being a motivator for 50.2% pre-installation to an experienced upside for 42.2% post-installation.
Government incentives, however, dipped to 18%, possibly because once the tax credits or rebates are received, they become a sunk benefit and no longer contribute to ongoing satisfaction in the same way that constant energy independence or reduced bills might.
Energy Bills and Solar
One of the most compelling aspects of installing solar panels is the potential for reducing energy bills. However, our survey data paints a more nuanced picture of this issue.
Contrary to the widespread expectation that solar panels will inevitably cut down electricity costs, a significant portion of respondents reported that their electricity bills had either increased considerably (23.4% of respondents) or increased a little (37.7% of respondents) since installing their solar systems.
This finding may seem counterintuitive given that cost savings are one of the main motivators for going solar, as reported by 66.3% of respondents in our survey. What might explain this apparent contradiction?
Several factors could contribute to increased energy bills post-solar installation:
- Initial adjustment period: Homeowners might still be adjusting to their new solar systems and have yet to optimize their energy usage for maximum cost-efficiency.
- Added electrical loads: Some homeowners may increase their electricity consumption, believing solar will offset the costs, thereby driving up their bills.
- Net metering policies: Depending on state regulations and utility company policies, homeowners may not get full retail credit for the excess energy they generate through net metering, impacting their potential savings.
- Seasonal variations: Climatic conditions often affect solar power generation and bills could rise during months with less sunshine.
- Maintenance and financing: The costs of care or financing the solar setup could impact overall costs, at least in the short term.
Despite these complexities, 24% of respondents did report that their bills had decreased either a little or a lot, pointing to the potential for long-term savings.
Most Homeowners Spend Between $100 and $500 Maintaining Their Solar Panels Per Year and the Vast Majority Find This Affordable
Maintenance is an often overlooked aspect of owning a solar panel system, yet it's essential to ensure optimum performance and longevity. Maintenance tasks usually include cleaning the solar panels to remove dust and debris, checking for electrical issues and ensuring the inverter and other equipment are working correctly.
Our survey reveals that most homeowners spend between $100 and $500 annually on solar panel maintenance. It's worth noting that a smaller but significant segment (3.07%) has yet to spend any money on maintenance and repairs, which could be either a testament to the system's durability or a risky oversight.
Still, according to our survey, the affordability perception aligns quite well with the actual costs. A sweeping majority find the upkeep costs to be either very affordable (38.2%) or somewhat affordable (44.66%). Only a minuscule percentage (0.74%) finds the maintenance to be very expensive.
Regular and affordable maintenance ensures that the solar panel system operates at peak performance, which may result in better energy output and long-term savings.
Understanding the actual costs and the perceived value of maintenance can help potential solar adopters make more informed decisions. It also offers existing owners a benchmark to compare their maintenance expenditure and assess if they are getting good value for their money.
Bottom Line
The overarching sentiment from our recent survey suggests a very optimistic landscape for residential solar panels in America. A robust 89.6% of homeowners express satisfaction with their solar panel systems, reinforcing the growing appeal of solar energy among American households.
In fact, an overwhelming 82.6% of respondents are willing to recommend solar installations to others based on their experience. This speaks volumes about the quality and reliability of solar power systems and their role in influencing new adopters.
Interestingly, financial considerations appear less of a hurdle than commonly perceived. The 30% solar federal tax credit and potential long-term energy savings make it a worthwhile investment for many homeowners.
What's also noteworthy is that many existing solar panel owners are considering expanding or upgrading their systems. This indicates a sustained, long-term commitment to solar energy, driven by cost savings, environmental benefits and a strong desire for energy independence.
These findings show a growing residential solar market where the benefits outweigh any perceived drawbacks for most homeowners.
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Our Methodology
To understand Americans' solar panel installations and sentiments, Forbes Advisor commissioned a survey of 1,000 Americans conducted by market research company OnePoll, in accordance with the Market Research Society’s code of conduct. The margin of error is +/- 3.1 points with 95% confidence. The OnePoll research team is a member of the MRS and has corporate membership with the American Association for Public Opinion Research (AAPOR).
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Sources
All proprietary data is from a Forbes Home survey.
Solar Energy Industries Association (SEIA)
National Renewable Energy Laboratory (NREL)
