For the record we are happy that homeowners are opting for solar power instead of dirty grid energy, but without sounding hypocritical, we aren’t buying into the hype over solar leasing. While we admit that “zero down and monthly energy savings” are attractive offers, we see this for what it is, a financing scheme designed to take advantage of a customer’s best environmental intentions.
The truth is, if you paid cash or financed via a home equity line, property tax assessed loan, or one of our preferred lenders, you would save more money each month as well as be able to take advantage of the federal 30% tax deduction, and in the end save 10’s if not 100,000 of dollars more than if you leased…
For us, we think the best ways to get solar are based on a careful review of the energy consumed, problem solving any waste, and then sizing a system to produce the best return on investment. Namely:
1: Purchase with Cash. Best rebates, best return on investment.
2: Finance via a home equity loan, Property Tax Assessment Financing known as PACE (Property Assessed Clean Energy), or through one of our preferred lenders.
3: Lease, but only as our last resort.
We understand that not everyone has the cash for option 1, but if you are able to qualify for a lease, then you should also be able to qualify for proper financing. This will give you full ownership of your system for the 25+ years of its production, full incentives and rebates, as well as the ability to sell the system with your home and to produce your own clean power at the lowest fixed rate per kilowatt.
To repeat, we want you to use clean power, but we also want you to take advantage of the power your system is producing, not merely save a few bucks a month while being tied to a lease agreement that will cost you more in the long run.
We are here to help you determine the best way to cut your energy bills and to produce clean power. In some cases, a lease may be the best option, but we hope not.
Parting question: What other home system do you rent? Why?
Research Solar Financing at: http://www.residentialsolar101.org/solar-finance-overview
