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Solar: Should I Buy or lease?

If you’ve done any research on solar energy, you’ve probably seen an article or two that discussed the pros and cons of leasing vs. buying solar for your home. You’re also probably wondering which option would be best for you. To put it bluntly, it’s all going to boil down to your long-term and short-term goals.
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Does Sun Solar offer a leasing option?
No. Sun Solar does not offer a leasing option at this time; however, we hope to have a leasing option available in the future. We believe purchasing and owning a system prevails against leasing for our current and potential customers. We have multiple financing options available that have made owning a home solar array a possibility for over 1,000 customers. Leasing is unfortunately not available everywhere and mainly exists in areas where solar has been around longer (California for example) and where subsidies are plentiful. Therefore, your geographical location can also make a difference in whether or not you may be able to lease vs. buy.

 

What happens when you lease solar?
When someone leases a solar system the long-term benefits could start to fade away. The biggest benefits that you lose when you lease are financial incentives. Rebates, tax credits, and other incentives no longer apply to you, but rather the Lessor. Additionally, lease payments can increase at a gradual rate and the “fixed energy cost” idea starts to look less concrete. The typical term of a lease is 20 years, which is comparable and sometimes longer than the terms for financing a system that you will own once the loan is paid in full-making you cash flow positive from the start.

Why IS buying a better option?
For our customers, buying and owning your solar array provides multiple benefits that are not available if you choose to go the leasing route. For one, you are making an investment in a valuable asset…your home. You are not only eliminating your electric bill for a lifetime, but you are choosing to add this feature to your home permanently. When you pass it down to a loved one or if you decide to sell the home, the solar array will be an added feature that also increases the value of the home. You will also have the peace-of-mind of having a fixed monthly cost for the system and your payment will not fluctuate the way it could with the leasing option. Return on investment is also greater when you purchase, and you will be able to take advantage of rebates and tax credits that will automatically reduce the total cost of your system.

Is solar affordable for you?
Yes! Even if you choose to finance your new system, the monthly loan payment should be about the same as your average monthly electric bill. The best way to find out what your home solar system would cost is to get a quote. Our quotes are free and there’s no-obligation. All of our systems are customized to fit your needs. During the consultation, we’ll discuss any incentives or rebates available to you and we will also explain financing options. This will enable you to take the time you need to go over all the figures and consider both long-term and short-term goals before making a decision. Something to keep in mind is that rebates and tax credits can end at any time. If you are currently considering solar, it would be beneficial to get your quote now while rebates and incentives are still available!

 

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