There are two ways to go solar, either buy or lease your verengo residential solar panels. The Sustainable Energy Advantage says that while buying and leasing are two distinct methods to go solar, both offer a means to end. Both methods save homeowners thousands in high electric bills, and both reduce CO2 emissions, and each offers advantages. To understand which method is best for you the two are compared in this article.
Solar panel leasing has become a very popular way to go solar. Companies offering solar panel leasing pay for the solar panels and the installation and many leases are available with little and many even offer zero down payment options. In addition, the leasing company takes care of all the maintenance for the life of the lease, usually 15 to 20 years. In return, the homeowner agrees to pay a small monthly fee that is less than the home’s electric bill. The big advantage to leasing solar panels is the traditional large down payment is waived, and is instead paid over the course of the lease.
Solar panel leasing is also a great way to go solar if you are strapped for cash. However, if you have the cash to buy a system there are definite advantages to buying a solar panel power system. First, there is a global glut of solar panels which has reduced the cost of buying solar panels, meaning going solar has never been as low as right now. Years ago, it could take 20 years to be in profit from solar. Today, most homes can expect to recoup their initial investment in 6 or 7 years.
Buying residential solar panels is an investment and should be thought of as such. Certainly, no investment is a sure thing, but buying solar panels is as close as you can get. It is possible to double your investment over the life of the system, typically 30 years. Purchasing solar panels also protects your home against high electric rates, because most homes can lock into a low grid rate with the local power plant.
Another big advantage of buying a solar panel system is the generous 30 percent tax credit offered by the federal government, and many states have additional tax credits available. Moreover, if you reside in California or New Jersey you are offered property tax relief. When you buy and install solar panels you immediately add significant worth to your home, yet do not incur additional property tax liability. When you lease a system it is the leasing company that receives the tax credits, in exchange for a low monthly electric bill.
There is no doubt that leasing is the way to go if you cannot afford to buy a solar system. However, if you are able to take out a home equity loan or a second mortgage you could finance a bought system in this manner. Once the loan is paid you are in profit and you own the system. Most leases also allow the home to buy the system at a fair market price once the lease has expired, or it can be renewed.
If you intend to stay in your home buying offers the most profit potential. If you decide to sell your home down the road you could garner a higher selling price. Leasing can also be a bright selling point. Considering the high cost of grid produced power most homes would jump at the chance to go solar. Both buying and leasing solar panels have advantages, and both methods save significant money in electric bills.