Here Comes The Sun | CA, OR, WA, UT Sun | Solar Vlog
Solar 101: How Solar Works
Net Metering Explained:
So how can you go solar, and What Are Your Solar Options?
Own Your own Power:
Taking advantage of the 26% Federal tax credit, state rebate(if available), and Utility rebates (where available) makes owning your own power plant a reality. Understating how it all works for you and your home is key. No two homes or home owners are a like. Financial numbers can change significantly based on your roof orientation, shading, tax status, and overall financial status. That's why there are so many questions when it comes to solar, because there is not one generic answer for everyone. If you are looking into solar, It is best to sit down or discuss your options with a Trained Professional who can take a look at your energy bill and go over all of YOUR options and what will work best in your situation. Just because your friends or neighbors did it one way, does not mean that their way will work best for you and your home.
Cash is great, but most home owners finance their systems when purchasing. There are a multitude of different finance options out there, this is where the numbers can really make sense or flounder. If you can use money you are already spending, and redirect that to pay for your Solar PV System, Its kind of a "no brainier". Let's show you and example of a common situtaion....
Taking advantage of the 26% Federal tax credit, state rebate(if available), and Utility rebates (where available) makes owning your own power plant a reality. Understating how it all works for you and your home is key. No two homes or home owners are a like. Financial numbers can change significantly based on your roof orientation, shading, tax status, and overall financial status. That's why there are so many questions when it comes to solar, because there is not one generic answer for everyone. If you are looking into solar, It is best to sit down or discuss your options with a Trained Professional who can take a look at your energy bill and go over all of YOUR options and what will work best in your situation. Just because your friends or neighbors did it one way, does not mean that their way will work best for you and your home.
Cash is great, but most home owners finance their systems when purchasing. There are a multitude of different finance options out there, this is where the numbers can really make sense or flounder. If you can use money you are already spending, and redirect that to pay for your Solar PV System, Its kind of a "no brainier". Let's show you and example of a common situtaion....
Example: If you are paying $150/month to your utility company.... This is a never ending bill, you've paid it your whole adult life, and will continue to pay it until the day you leave this green earth! After that, your kids will pay it! Even worse, it will continue to go up pretty much every year. The National average for utility rate increase is about 4.5% a year (It is much more in higher populated states like CA and NY) To give you an idea, that is approximately $56,469 you will pay to your electric company over the next 20 years in this scenario .
If your Solar Rep/Company can find a way to make your financing around $150/mo or at least somewhere in that ball park, going solar becomes a genuine "no brainier", because you are spending the money anyways! You are just re-purposing where that money is going. And your ROI can be ridiculous! It's almost hard to believe. Most Solar Customers will see ROI's of tens of thousands of dollars, and in some cases even over 100k in a 30 year time span. Granted, Solar systems can actually last well over the 30 years shown in most proposals, which can take your ROI into a completely different category of ridiculousness!
If your Solar Rep/Company can find a way to make your financing around $150/mo or at least somewhere in that ball park, going solar becomes a genuine "no brainier", because you are spending the money anyways! You are just re-purposing where that money is going. And your ROI can be ridiculous! It's almost hard to believe. Most Solar Customers will see ROI's of tens of thousands of dollars, and in some cases even over 100k in a 30 year time span. Granted, Solar systems can actually last well over the 30 years shown in most proposals, which can take your ROI into a completely different category of ridiculousness!
Leasing:
This is a great option for someone who may not qualify for the Federal Tax Credits, or someone who just does not desire to own their own solar equipment. This is a great Option in more populated states like California, but not so much in other less populated states where energy from the utility is much less. Lease agreements are a set monthly price and agreements are generally 20-25 years. There is typically no buy out option on a Solar Lease. You can opt to renew after the contract term, or have the system removed at the end of the agreement.
This is a great option for someone who may not qualify for the Federal Tax Credits, or someone who just does not desire to own their own solar equipment. This is a great Option in more populated states like California, but not so much in other less populated states where energy from the utility is much less. Lease agreements are a set monthly price and agreements are generally 20-25 years. There is typically no buy out option on a Solar Lease. You can opt to renew after the contract term, or have the system removed at the end of the agreement.
Power Purchase Agreement: (not available in most states, Popular in CA,NV,NY,NJ,HI)
Similar to leasing, however, you will typically have a buy out option at some point in time during the agreement. With A PPA, your are just buying the power your solar system generates, just as you would buy power from the utility, usually at a much lower rate(States where energy is REALLY expensive). You are buying power, not the system itself. PPA's typically have a 20-25 year term with some type of buy out period during the agreement. If the home owner changes their mind and would rather buy the system from the solar company at a later date, there is usually 1 or more times during the agreement this can happen. PPA's are another great option if a home owner does not qualify for rebates or tax credits.
Similar to leasing, however, you will typically have a buy out option at some point in time during the agreement. With A PPA, your are just buying the power your solar system generates, just as you would buy power from the utility, usually at a much lower rate(States where energy is REALLY expensive). You are buying power, not the system itself. PPA's typically have a 20-25 year term with some type of buy out period during the agreement. If the home owner changes their mind and would rather buy the system from the solar company at a later date, there is usually 1 or more times during the agreement this can happen. PPA's are another great option if a home owner does not qualify for rebates or tax credits.