Pros and cons of solar panels: They're usually worth it

You open your electric bill and instead of the usual three-digit charge, you see a fraction of that—or better yet, a credit. That's the reality for millions of homeowners who've made the switch to solar. But like any major home investment, solar panels come with trade-offs worth understanding before you commit.

For most homeowners, going solar delivers meaningful financial returns and environmental benefits. You'll slash your electric bills, reduce your carbon footprint, and often boost your home value. Pair your panels with a battery system and you'll gain backup power during outages. Finance with a zero-down solar loan or sign a lease or power purchase agreement (PPA), and you can start saving from day one—without tying up capital that could work harder elsewhere.

But rooftop solar isn't the right fit for every home. Your roof's orientation, shading, and material all matter. And if your electricity costs are unusually low, your savings potential shrinks accordingly.

There's much to consider when deciding whether to go solar. Before you take the plunge, we'll help you determine if solar is worth it for your home.

Going solar is a great choice whether you want to combat rising electricity costs, reduce your carbon footprint, or raise your home value. A solar panel system provides energy independence and often pays for itself in electric bill savings over time. 

On the other hand, solar energy doesn't work for every roof, it's not ideal if you're about to move, and the upfront cost can be significant depending on your financing approach.

Here are the primary pros and cons of solar energy you should weigh before deciding if it's right for you:

Top pros and cons of solar energy

You can reap many benefits by installing a solar panel system at your home or business:

1. Solar drastically reduces—or even eliminates—your electric bills

When you install solar panels at your home, you generate your own electricity—which means you become less reliant on your electric utility company and reduce your monthly electric bill. A solar panel system typically has a 25- to 30-year lifespan, so you can cut your electricity costs for decades by going solar.

Most homeowners will save between $37,000 to $148,000 over 25 years with solar, with average savings around $57,000, depending on their location and electricity usage.

2. Solar often increases your home value

A recent study from SolarInsure shows that adding solar panels to your home could increase its value by 5-10%. Even if you're not in your forever home, you could earn back your solar panel investment and then some when you sell your house. 

3. Solar reduces carbon emissions

When you go solar, you lessen your carbon footprint. Solar is a renewable energy source that helps reduce carbon dioxide and other greenhouse gas emissions. Unlike traditional fossil fuels like coal, oil, and natural gas, solar energy doesn't directly release pollutants into the atmosphere and water supply.

4. Solar protects against rising energy costs

A reduced reliance on your utility company shields you from those skyrocketing electricity rates. Once you recover the initial cost of your system in bill savings, you'll generate your own electricity for free—insulating yourself from future rate hikes. 

5. Solar panels typically require very little maintenance

As long as you choose a quality solar company to properly install your solar panels, they should require very little maintenance compared to other forms of energy production. With no moving parts, your panels might only need an occasional cleaning after snow or inclement weather.

Solar isn't perfect. You'll want to understand solar's disadvantages before deciding if it's right for you:

1. Solar panels don't work for every roof

If you have a south-facing roof sloped between 15 and 40 degrees, you're in great shape for solar. Even with an east- or west-facing roof, or one that's flat, solar is likely still worth it. But if you can only install solar panels on the north side of your roof, we don't recommend it.

Similarly, solar works well with asphalt shingles or metal roofs. However, certain roofing materials used in older or historical homes—such as slate or cedar tiles—can be challenging for solar installers to work with. Some homes have skylights or rooftop additions like roof decks, which can also make installing solar panels expensive or difficult.

If your home doesn't qualify for a rooftop solar installation, you still have options:

• Ground-mounted solar panels work great if you have enough open space.

• Subscribe to a local community solar farm if your state has open projects.

2. Solar isn't ideal if you're about to move

It takes time to break even on a solar panel system. The average solar panel payback period in the U.S. is around 10.5 years. Even though going solar will likely increase your home's value, it's probably not worth it if you plan to move in the next few years.

3. If your electricity costs are low, your solar savings will be too

The primary benefit of solar energy is that it saves you money every month. If you live in a state where the cost of electricity is significantly lower than the national average, it’ll take a long time to save with solar. On the other hand, installing a solar panel system in a state like California, Massachusetts, or Hawaii—where electricity costs can be more than double the national average—makes a lot of sense.

4. Upfront solar costs require planning

Your upfront cost of solar depends on available incentives and your financing approach. An average system costs around $29,649 before incentives, or about $2.53 per watt. If you don't qualify for a zero-down solar loan, you'll need either cash reserves or alternative financing options.

Several solar financing options can help make solar accessible:

• Cash purchase: Highest lifetime savings, but requires significant upfront capital

• Solar loans: Spread payments over time while maintaining ownership and eligibility for state incentives

• Leases and PPAs: No upfront cost and immediate savings, while preserving capital flexibility. These are the only projects that still qualify for tax credits, which competitive providers should pass on as lower monthly rates.

To understand what solar will cost you, get a quick estimate of the average cost of solar in your state or even a personalized estimate for your home.

5. Solar panels require proper disposal

Most modern solar panels are made up of silicon solar cells, a metal frame, and a glass sheet. However, depending on the brand and model, they can also contain heavy metals like lead, cadmium, and silver. While these metals are safely encapsulated during normal operation, and some solar panel manufacturers are starting to phase out these heavy metals, proper disposal is essential when panels reach the end of their 25-30 year lifespan.

If sustainable solar panels are important to you, make sure to let your installer know so they can include models without heavy metals in your quotes. These panels may cost a bit more, but are better for the environment. Additionally, recycling programs are expanding to handle end-of-life solar panels responsibly.

Going solar is worth it for most homeowners with eligible properties. It reduces greenhouse gas emissions and saves you considerable money on your electric bills.

As you consider investing in solar energy, weigh the pros and cons related to your home, geography and climate, and unique needs. For the right homeowner, solar represents one of the smartest investments you can make in your property. The value compounds over decades—every month you generate clean electricity is another month you're protected from rising utility rates.