Guide to Financing
If you are considering, "Going solar" you should know it has never been easier. According to a recent study in 2015, by the Lawrence Berkeley National Laboratory and the US Department Energy, installing solar panels on your home has actually gone down in cost by 8%. Including a variety of financing options, loans, leases, power purchase agreements, government rebates, tax incentives, and even a variety of discounts, "Going solar" is no longer about how, but when.
The page that follows serves as a guideline and educational tool so that you can finance your new solar system in the fashion that best suits your needs.
Each of us at Wing Solar & Wood Energy, Inc. are committed to ensuring your solar journey is as hassle-free as possible. We offer a variety of financing options through the Hero Program, Western Heritage Financial, and California First Efficiency Financing. We invite you to tour the financing page of this website for further details.
As a California resident, you have three different ways to finance solar system: purchase agreement, solar lease or a power purchase agreement (PPA), or solar loan. Below you will find what you can expect from each.
1. Solar Purchase Agreement
With a purchase agreement, you can typically expect an upfront cost of between $15,000 and $30,000. (This number does not reflect any tax incentives rebates discounts or savings that would be applied.) With a purchase agreement, you are responsible for maintaining the system through the years.
2. Solar Lease or PPA
As a California resident you can take it advantage of either a solar lease or a PPA. With this option you are simply leasing the equipment, and using the energy that is produced by the system. In addition, with a solar lease or PPA there is no commitment to the equipment. For example, should the equipment be updated then you would have the option to update yours as well.
3. A Solar Loan
As previously stated, Wing Solar & Wood Energy, Inc. is proud to be affiliated with a variety of financing options to meet your needs. Of course, with a solar loan, credit is granted upon approval. Other benefits of a solar loan include very little to no upfront cost. You will also be able to take it advantage of all associated rebates and incentives available.
What is the payback for solar financing:
Investing in a solar system will typically save the homeowner at least 50% on their utility costs. However, depending on a financing option this return could vary.
Below you will find a diagram easy to understand the financing option you are considering. If you have questions or we can assist you in any way, please feel free to contact our office at 1-800-492-4061.
*Chart used courtesy of letsgosolar.com
The advantages of purchasing a solar system are obvious. For example, according to a recent study in 2015, by the Lawrence Berkeley Laboratory, in California each kilowatt that is produced by residential solar system increase that home's resale value by $5900.
Solar Rebates & Tax Incentives
One of the bonuses of installing solar panels is the many rebates and tax incentives that are now available for Californians. In fact, Californians can typically reduce their upfront cost by nearly 50% once all incentives and rebates have been applied. For more information about rebates and tax incentives please tour the links below.
At Wing Solar & Wood Energy, Inc. we realize financing a solar system is a tremendous investment. Below we have included six valuable tips to help make your decision just a little easier. If we can help you in any way, please do not hesitate to contact our office at 1-800-492-4061.
Tips From the Experts:
1. Consider energy usage now and in the future.
Even though you may be spending over $100 per month on your utility bills today, your situation may change over the years. For example, if you have children, they may be going off to college soon. In addition, your investment in energy efficient appliances such as a furnace or even investing in a new air-conditioning system in the future can also change the price of your utility expenses.
2. Keep in mind that terms of contracts subject to change.
Both leasing, PPA's and even buying outright all have pros and cons. For example, if you are leasing your equipment is never outdated and can always be changed at the end of the lease. You should have a lawyer review all of the costs associated to ensure that you are not paying more than the revenue has generated, especially on an after-tax basis.
3. Do you know that rate that you are paying?
Each utility company offers set rates. However, often those rates have "tiers" depending on your usage. For example, if you have a high energy use, your rates will be higher.
4. Talk to your CPA.
As a California homeowner, you may be able to take advantage of a variety of tax credits available to you.
5. Make sure you have received all your credits.
Once you have spoken with your CPA, make sure you receive all do credits. For example, depending on your income bracket, you may get less than the maximum rebates available.
Each of us At Wing Solar & Wood Energy, Inc. realize that you probably have many questions and concerns. Going solar is a big step. However, once complete, you will soon see the reward. We invite you to continue your tour of our website, especially our solar resources page to learn all you can about "Going Solar." If you have further questions or would like to schedule a consultation with our client care specialist, please contact Wing Solar & Wood Energy, Inc. toll-free at 1-800-492-4061. For your convenience, you may also request more information from this site.
Thank you for your interest in Wing Solar & Wood Energy, Inc. We look forward to serving you in the near future.
*convenience fees apply.