If someone asked you what the cheapest electricity is, what would you say? You might mention coal, hydroelectric, or nuclear. But you might be surprised to know that the answer is actually solar.
Not only is solar very cheap, but it is abundant. All you have to do is slap some solar panels onto your roof and call it a day. The question is, should you install solar panels on your rental property, too?
Installing solar energy is about more than just reducing utility bills. There are solar benefits for the landlord as much as for the tenants.
Keep reading for reasons why you might want to install solar panels on your rental property.
Install Solar Panels for a Tax Credit
If you've been keeping up with the news, you may be aware that the government offers tax credits and subsidies for green energy. The federal government can reimburse you for a portion of the installation via tax credits. And the best part is the government continues to expand these benefits.
At the moment of writing, you can get a 30% tax credit if you install solar panels in the next nine years. There's a good chance that the rate will increase in the coming years as green energy is in higher demand.
Reduced Utility Bills for Your Tenants
Every landlord's dream is to keep good tenants for as long as possible. These are the tenants that care for the home, obey the rules, and make their rent payments on time. But the housing industry is competitive, so you may lose great tenants to other properties if yours is not enticing enough.
Installing solar energy reduces the burden on your tenants for their electrical needs. Depending on their usage and the amount of sun, they can sometimes virtually erase their utility bills for the month. Most tenants would fight tooth and nail for a rental like that.
Sell Excess Energy Back to the Grid
In some cases, your tenants may be out of town or may not use much electricity. It may seem like a waste that your solar panels are generating electricity that no one uses. That's where you can sell back to the grid.
Depending on the provider, you may be able to send excess electricity back up the pipe. Utility providers will then purchase that electricity from you. You can put that into your next utility bill or pocket the money for yourself.
This means you can make money off of your rental, even if it is empty, while you search for a new tenant!
Get Property Management with Renters Warehouse
You should install solar panels on your rental property today, and not just because it is a green choice! You can receive tax credits for the installation and potentially even sell back excess electricity to the grid. It makes your property more enticing for tenants, especially when it comes to cutting their electrical bills.
At renters warehouse, we specialize in property management. Visit our website to find out how much you could be charging for your rental.