Can I Finance My Solar Roofing System Installation?
Updated: Oct 27, 2021
The question of affordability affects many NJ homeowners when it comes to solar roofing installation. It may not be possible for you to afford the entire price upfront even when you factor in federal and state tax credits and other incentives. Financing for solar panels is an option to explore to benefit from the long-term savings and environmental friendliness of solar energy.
The benefits of solar panels include both practical, money-related perks and emotional ones:
First, you can save a large percentage off every month's utility bill.
Second, your overall property value will increase for higher resale profits in the future.
Third, you get the satisfaction of knowing that you are doing your part to promote alternative energy sources and reduce your family's carbon footprint overall.
What Is the Best Way to Finance Solar?
Two main methods of financing solar energy installation exist: solar loans or general home improvement loans. You can also lease solar panels to avoid all product and installation costs and still experience a reduction in your energy bills. These power purchase agreements (PPAs) are simply a way for the power company to use your home to make more electricity for the grid.
The Federal Housing Administration also offers a Power Saver program that provides loans directly to homeowners who want to upgrade to environmentally friendly options. These include a second mortgage program and an energy rehab loan program, which offer different possibilities depending on your specific home owning situation. In general, they both offer much longer repayment terms than most typical personal or equity loans.
Solar loans offer special financing for panel purchase and installation. You can enjoy a simple process that allows you to upgrade your home or other type of property without immediate expenses. They function very much the same as personal loans or home equity loans do. As you save money on your electrical bill every month, you will automatically have money on hand to pay back at least part of the premium. As a residential solar financing option, this is really the best bet if you cannot or do not want to pay for the whole system upfront.
Commercial Solar Financing Is Available, Too
The same types of financial opportunities exist for the purchase and installation of solar roofing on commercial and industrial buildings. The cost savings for utility bills for large buildings or multi-building campuses is considerably higher than for a single home. This makes solar energy additions an excellent choice for reducing overhead and increasing the chance at long-term profits.
Expect the initial price tag for such a large-scale installation to be greater. Different types of lending situations, PPAs, and lease-to-own opportunities are all potential options for affordability.
When it comes to finding all possible financing options after you decide to have these eco-friendly energy panels put on your roof, start by looking for savings first. Find the best solar installation company in your area–Steve Whitman Roofing and Solar. Look into both federal and state incentives, which may include discounts and tax incentives for going solar, and then explore different ways to minimize your out-of-pocket costs at the start. Getting a loan makes sense when you can reduce your electricity bills and improve property value so much.
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