Home Solar System Financing
Buy, Lease or Power Purchase Agreement for Solar Power
Which is the right choice for you?
There is no exact answer to this question, every person is different with different financial objectives and reasons for switching to solar power. For some people the environmental advantages of photovoltaic home solar compared to conventional electrical production is enough to make the change regardless of how much money they save. It’s also not simply the end goal of the homeowner when it comes to making the choice that best fits their particular needs. Federal, state, local and even utility company rebates, incentives and policies also figure into the solar financing decision.
Our Solar Advisors are able to analyze your energy consumption, energy costs, orientation and size of your roof, as well as all rebates and incentives available in your area to help guide you in making your final solar financing decision
Top Reasons to choose $0 Down Solar Leases or PPA’s | Top Reasons to Choose,Cash Up Front or Solar Loans |
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No upfront cash investment,of,an outright purchase of a solar system | To take full advantage of all financial,benefits provided by switching to,home solar power |
No worries about the maintenance,or repairs over the life of your solar panels | You have the cash or can,secure a loan to pay upfront,for a solar system |
You are not able to benefit from the,federal investment,tax credit | Increasing your property value,Solar increases property value |
Solar Lease and PPA costs | Solar System Purchase costs |
With a solar lease or PPA many Homeowners are able have a photovoltaic solar system installed on their home at no charge | Complete solar systems range in price from $10,000 to $30,000 before rebates and incentives |
Rebates and incentives often reduce the cost of a solar system by as much as 50% | |
Federal Tax credits further reduce the amount you owe on your income taxes | |
Lease and PPA Maintenance | Purchased System Maintenance |
Solar service provider owns and maintains all equipment and monitoring costs | System owner is responsible for maintenance and repair of solar system. Most photovoltaic systems carry 25 years warranties and very little maintenance is ever required |
All performance monitoring costs are the responsibility of the owner. | |
Lease and PPA Terms | Loans and Purchase |
Solar leases and PPA contracts average 20-25 years | Solar Loan terms range from 5 to 20 years with interest rates from 4 – 8% |
Lease and PPA ROI | Purchase ROI |
Solar Leases and PPA’s will generally save 10-50% in electricity costs over the life of the contract depending on your location | A home solar system owner can expect a 10-30% annual return on investment with an approximate 10 year pay-off |
For more detailed information regarding solar leasing, power purchase agreements and outright system purchases please see our articles on this site or simply contact one of our solar experts
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