Before you sign your name to a solar panel lease on your house in Oceanside CA 92058 you need to understand what you are really getting into. If you’re in business of selling solar leases possibly you must try Googling this, “benefits of solar lease” Read all the page one results and see exactly what your client’s are checking out if they do even a percentage of homework. You also may attempt Googling, “selling home with solar lease” and “solar lease vs. purchase”. Read exactly what your customer’s will read when they do 30 minutes of research online prior to committing to a 20 year contract. Perhaps you’ll now comprehend why you get so many cancellations and why if you don’t seal the deal on the first visit you’ve got nearly no possibility of closing it later on. Why not alter your technique do what’s right for the client and get on board with a business that provides market leading value (cost + quality + service).
The Solar Lease in Oceanside CA 92058 or PPA Sales Pitch generally consists of 6 bottom lines. We talked about each below.
1. Go Solar and Pay Nothing! Or no cash out of pocket.
Signing a 20 year contract in which you assure to pay X hundred dollars per month is hardly paying nothing. If you add up all those regular monthly payments during the term of the contract you’ll be paying 2 to 3 times what you would have paid buying the solar system even if you factor in the interest paid on the solar loan. Lots of absolutely no money down solar loans are readily available. If you have the credit report to qualify for the lease you can use the bank’s cash to finance your solar system with no money down.
[ssvideo keyword=”Solar Companies” title=”Solar Companies in Oceanside”]
2. No fears. The leasing/PPA business in Oceanside CA 92058 is accountable for all maintenance and repairs on the system.
The renting company will not clean your photovoltaic panels which has to do with just maintenance used on a solar system. Solar systems are incredibly low upkeep with no moving parts and have incredibly long producer’s warranties and efficiency warranties. 25 years with a microinverter based system, that’s longer than the leasing business’ warranty. Most tier 1 solar equipment producers are larger and more financially stable than the solar leasing company by many multiples. Those long guarantees are backed up by a 20 year bumper to bumper service warranty from Solar Symphony.
3. Insurance– go solar with a lease and the renting company insures the system.
Purchase a system and the solar system is covered under your house owner’s policy for a simply a couple dollars per month.
4. Tracking– the renting business monitors your system for the life of the lease/PPA.
When you buy a system you also get keeping track of for the life of the system, utilizing the very same tracking equipment made use of by the leasing company.
5. Simply sign an agreement and the renting company does everything else.
When purchasing a system you likewise simply sign an agreement and the solar service providers does everything else. Difference is the leasing business agreement is 17 pages (small print) and the solar professional’s contract is 2 pages.
6. A lease does not strike your personal credit. Does not impact your financial obligation to earnings ratio.
This might be the only real benefit of the lease but it comes at an awefully high rate. If this is among your main concerns there are financing alternatives for a purchase (PACE and HERO) that likewise don’t hit your personal credit or affect your financial obligation to income ratio. And those programs permit nearly any property owner to go solar despite their credit rating.
Now for the six main drawbacks to a solar lease in Oceanside CA 92058 or PPA.
1. A lease is a 20 year liability. It is not a possession or a financial investment in solar. The solar leasing companies are investing in solar on your roofing system! You’re simply providing them an ensured 20 year capital!
2. Now you have 2 energy expenses not just one! In essence the leasing business becomes a second utility. So, sign a solar lease and now you have two utility companies you have to pay each month.
3. A lot of leases or PPAs bring an annual cost escalator, typically 2.9 %. So while you might be saving cash today in a several years you won’t be.
4. You will not be able to claim the 30 % federal tax credit and any suitable cash rebates. You likewise won’t be able to declare any tax deductible interest on solar loan payments (HELOC or PACE).
5. You never get to totally free power with a lease or PPA. On the other hand, if you acquire a solar system once the solar loan is paid off you can enjoy free electrical energy from the sun for 10– 15 years depending on the length of the solar loan.
[google-map location=”Oceanside CA”]
6. Offering your home with a solar lease or PPA can be problematic. Solar leases use the brand-new owner to presume the lease and terms. If you check out any of the above you can most likely see why an informed customer would not be interested in presuming the obligations of your lease. This is specifically real if the lease is 7 or more years of ages and the yearly expense escalator in the lease has now raised the expense of electricity to equal or more than the expense of electricity from the utility.