Solar panels reduce or eliminate your electric bills, boost your property value, and reduce your carbon footprint. According to the National Renewable Energy Laboratory (NREL), a home's value increases by $20 for every $1 reduction in annual utility bills. This equates to an increase of $10,000 in home value for every $500 in energy savings per year.
Solar panels typically pay for themselves in energy savings in 6 to 10 years. Homeowners in states with above-average electricity costs will recognize the most value. Solar panels work best for homes in sunny areas with southern or southwestern exposure and don't provide as much value in areas that are regularly cloudy or rainy.