Can I lease a solar system for my home?
The installation of solar energy systems is an expanding practice in New Jersey and across the United States. While they constantly become more affordable, many homeowners do not have the full purchase price in their home upgrade budget. It may also make more sense to spread payments out over time through a leasing program. This is a way to control solar panel costs in NJ and also avoid the maintenance responsibilities of owning the solar system yourself. There are many considerations to make before deciding if leasing is the best option for you.
A solar lease can be a great choice for those who do not want or are unable to make a long-term investment in their system. You have the option to return your system at any time, which makes things more appealing to people who are trying out a solar system for the first time. Also, if the company that provides the equipment and does the installation retains ownership, it is much like getting free solar panels in NJ for your home.
In the past few years, solar energy has been a popular topic for many homeowners. Solar power has become a cost-effective and environmentally friendly alternative to utility power. However, with so many different solar power companies out there, it can be difficult to find the best option for your home. One of the first questions that property owners ask is, "How much do solar panels cost in NJ?" For many, the answer to this question is prohibitive. This is especially true if the roof needs to be replaced or repaired before the solar panels are installed. Leasing provides a more affordable option.
If you are new to the idea of going solar or have been on the fence about hiring experts like Steve Whitman Solar to install NJ solar panels in the past, this article will help answer some common questions about leasing a solar energy system for your home. Before anything else, it is important to understand how a solar lease works. In some ways, it is quite the same as leasing a car or any other item. However, since these things are attached to your home and provide ongoing benefits to you and your family, the terms, ongoing costs, and potential benefits need a closer look.
How Does a Solar Lease Work?
A lease with a New Jersey solar installation company gives you a way to enjoy cost savings and eco-friendly energy without a large initial outlay of cash. The contracts include regular monthly payments that suits your budget. Some are fixed over the lifetime of the lease, but most escalate based on cost-of-living, interest rate changes, and other factors. Terms usually cover ten, fifteen, or even twenty-five years. It makes sense that monthly bills increase over those long periods of time. After all, a solar system on the roof is built to last many years. The initial down payment is much more affordable than the full purchase price.
It is important to research companies before signing any paperwork in order to avoid the risk of solar panel scams in NJ. When you choose the right one to help, they handle installation, repairs, and regularly needed maintenance for the lifetime of the lease contract. With the rise in solar panel leasing, more people are considering this alternative to purchasing panels. The growing popularity leads to a wide variety of lease options that may suit your specific circumstances and financial status better.
Another thing to consider when deciding on a solar lease is whether you intend to move from your existing home anytime soon. While solar panels can increase resale value and create more interest in the property, you must follow all the rules about disclosing leased solar panels. This means that your real estate listing will clearly show that there are leased solar panels installed on the roof. The new buyer must be comfortable with taking on the lease, purchasing the panels, or having them removed since they are owned by the solar panel company in NJ.
Is Solar System Leasing Cost Effective?
Solar leases are an appealing option because they provide instant savings on your electric bill. With a lease, you do not have to pay for your solar panels with cash up front. Instead, you have convenient monthly installments that are offset by the energy savings they provide. Whether the amount of solar power you generate compensates for the total lease price depends on a wide variety of factors. That is the goal so that you are not negatively affected when it comes to personal finance or budgetary concerns.
Other Financing and Purchase Options for a Solar System
Besides purchasing solar system outright, taking out a loan to finance the installation and ongoing maintenance, or signing a lease agreement with a solar panel installer in NJ or a green energy contract company, another option is available in the state. This involves a Power Purchase Agreement or PPA. Instead of the homeowner paying for the solar panels in NJ or taking on maintenance costs themselves, they instead pay for the energy generated by the system.
The solar company themselves owns the panels and other equipment. They install it on the roof, do all necessary maintenance, and track the power generated from it. Then, the homeowner can buy those energy units from the company at a reduced rate. This usually saves them money as it costs less than electricity from the public grid. However, this is not guaranteed depending on a variety of different factors. It is still one thing to consider to reduce solar panel costs NJ.
Even though the cost of solar panels has decreased dramatically over the years, making them more affordable for homeowners, some property owners do not have the budget or interest in paying for installation upfront. Solar panel leasing offers a viable alternative because it allows you to enjoy some of the benefits of owning your own panels while being able to have less upfront costs. You can let the solar system provider company handle installation and maintenance for the length of your lease and simply reap the benefits of greener, cleaner energy at home.
To learn more, contact Steve Whitman Solar here.