Solar panels are becoming increasingly more popular and are good options for most homeowners. However they aren’t good options for everyone’s bank outs. But there are some options if the homeowner can’t afford solar panels.

Community Solar & Leasing

In states all over this great nation, the price of solar is becoming more affordable than ever before. The opportunity for taking part in collective solar farms is in many locations the future of wide-use scale solar for our entire country. 

If community solar is unavailable, solar leasing is another option. Let’s review your possible choices.

Community Solar Examined

Community solar is a different game for the solar industry. This type of installation and set-up makes it possible for all people to gain benefit from having a clean energy source, for a low-cost. Instead of sitting panels on rooftops, homeowners and corporations contribute money toward an off-site solar farm, built by a private company that's not the local utility.

This excellent, ever-expanding type of panel connection service is excellent for many people from all walks of life. Community solar is of remarkable value to people who cannot install panels at their homes or businesses, because they're tenants and their property has lots of shade, or because they can't afford to pay for them.

Most people pay for their connection to these solar farms by an upfront stake in a solar farm, usually around the 10,000 dollar range. The other method is for users to sign up for a regular surcharge on their utility bill. New Jersey officials stress that rules for the state are still worked out by state and local authorities. This second method can be a great incentive for all people regardless of their socio-economic status to jump into the panel usage market. The more people that get on board, the more solar that will be built and installed; whereby driving the overall cost of solar down for the nation.

Solar works best when the sun is shining strong, and the days are long. Not all states across the United States have constant sun. Through the summer, farms will produce their peak energy output because of the long, sun-drenched days. Depending on your financial stake in the scheme, the production from the solar farm may cover your whole energy bill. It may also offer you credits toward prices in months when you owe something. When the farm generates less power, your statements may be higher than they would have been if you were not using community solar, since you're still paying the fixed costs of owning and producing large-scale solar.

Leasing Panels Explained

Often the clean energy company's salesperson will encourage a system that demonstrates a no-cost or low-cost payment to save hundreds of dollars per year on average. They often base this premise of savings around the concept that one saves due to the union of your lease payment and one's electric bill is less than what you currently pay for your energy consumption costs. Try to avoid the impassioned leaning as you imagine your immediate financial burdens. Leasing can also seem enticingly simple contrasted with buying. The single shop approach can push things along at a rate that can be confusing. There’s no obligation to shop independently for an installer and a separate financing house. Just sign on the dotted line. This process is so easy, and it's no surprise that 72 percent of the people who installed residential systems in past years did so through leasing or another type of third-party arrangement. However, simple doesn't mean you will get the best deal on a panel system.

Leasing is an excellent option for people without cash to put outright purchase a panel system. Just be careful as some leases come with some hurdles. Some contracts include increasing rate increases, sometimes as 3 percent annually. These often start 12 cents per kilowatt-hour in year one, with a 3 percent increase, they end up paying 18.2 cents in the 15th year. So, if the cost of renewable energy doesn’t rise as quickly as the contracted lease payments increase, you can watch your savings disappear. Get informed and save yourself money when working on a leasing deal for you next panel system.

Other Payment Options For Your New Solar Panel System

We need access sometimes.  Let's say you heard about that new hip club in town, and you want to be seen being there on the opening night.  To get on that list, it's going to take knowing someone.  You explore your mental Rolodex.  You realize Snoop Dog is related to the manager, and luckily for you, you and Snoop are close; after all, you taught him how to bbq his favorite salmon steaks.  So, just as you have found a way into that new hot club, you can find your way into a solar panel deal.  It only takes a little bit of planning, and of course a financial plan.   For some people, their access comes in the form of a solar panel leasing deal.  The main positive to a lease deal for solar panels is that you will have solar panels.  Your monthly electricity bill will be lower, and in some cases, you may even get a credit from the local utility servicer.  However, there are some pitfalls to examine before you jump into a solar panel leasing agreement.  

What If Something Breaks?

When you get solar panels,  you are going to want the assurance that if something malfunctions, you can get it repaired quickly and cheaply.  A leasing deal doesn't always cover everything.  Often the solar system equipment is not included by the maintenance plan, but are treated by the warranty.   The leasing firm might not cover the loss of damage if a tornado damages your panels.  You may have to register for your homeowner's insurance to meet those costs alternately. Make sure when buying or leasing, you notify your insurer when placing a solar system on your property.  Being straightforward when communicating with solar companies can be favorable toward getting what you need out of the agreement. 

Savings Aren't Quite As Sweet For Leasing Solar Panels

Most of us don't have tons of cash laying around.  In the long-run, have an excellent solar panel system installed in our home can help.  People who rent solar will save less than cash purchasers. Agreements can have rate increases, often 3 percent per year. Those starting out with a 12 cents per kilowatt-hour in year one, with a 3 percent escalator, they end up paying 18.2 cents in the 15th year. So, if the cost of energy doesn’t rise as quickly as the contracted lease payments increase, you can watch your energy savings disappear.  No one appreciates losing money; this is why it is essential to know all you can about solar leasing.