How to plan an eco-friendly remodel without overspending

When Cliff and Karen Tyllick set out to install solar panels on their Austin, Texas , home in 2012, their goal was to reduce their carbon footprint. The fact that they also saved thousands of dollars upfront and lowered their bills was a nice bonus.

Solar panel installation can cost $15,000 to $25,000 or more . For the Tyllicks, federal and local incentives significantly cut their costs — they now frequently don’t pay for electricity, and when they do, it costs between $30 and $50 per month.

Whether you’re incorporating...