Get A Solar Improvement Loan Now

Are you a homeowner?  Congratulations!  Would you like to improve your home with a low-cost solar array? In many cases, the average American homeowner won't have the cash needed to pay for a photovoltaic (PV) solar system upfront, nor participate in a solar lease program, where a third party owns the solar panels, and you lease them. Now, solar shoppers who don’t have thousands of dollars lying around can still get the solar system they want with the increasing popularity of the solar financing deal. Over the course of the last decade, the number of banks, credit unions, and even utilities that offer solar loans has grown remarkably.

Consumers, in the past, had some difficulty in getting enough financing to cover solar panels. However, in the current market, many different types of institutions offer them. Traditional banks and credit unions jumped into the market, and now even utilities are offering low-interest loans for solar panels. Some energy companies are offering no interest financing deals. 
 
The Connection Between Solar Financing And Home Equity Loans

Solar financing deals have the same form of terms and conditions as other home improvement loans. Credit scores, collateral, and proving the ability to pay back the loan are still paramount to securing the money, but most banks know that installing solar on homes will increase the value right away, so they are more willing to loan out the money for these types of home improvements.

Photovoltaic solar panel financing deals are similar to home improvement loans that homeowners have used for decades to build a deck or add a second bathroom. When a homeowner borrows money from a lender, they agree to pay it back, plus interest, in monthly installments over the loan term. Some banks have different lengths and interest rates available to homeowners, so it is a good idea to shop around for the right deal for your situation.

Home Equity Loans Explained

Most lending houses or banks have their versions of the home equity loan. It is a great way to use the home itself as collateral to procure a loan to install solar. Installing solar increases the value of their house, and every bank knows this. If you have right to excellent credit, and you don’t have a lot of credit card debt, most banks will give very favorable rates and terms for these loans and explore what your bank can do for you is an excellent opportunity.

Couple Your Solar Cost With Your Home Loan

Many of the famous lending houses or banks separate their home improvement loans and their mortgages, but one company has decided to combine the two. Guild Mortgage is a mortgage company out of San Diego, that now offers a home loan and solar loan combination, a first in the country. This loan allows potential solar candidates to buy a solar system when they purchase their very own dream house.

Homeowners in existing homes who want to add solar can use this Guild mortgage to refinance their loan so they can get solar. The great thing about this loan is it offers an immediate return by saving you money on your electricity bills right away, even as you repay the loans.

Utility Companies Offer Financing As Well 

As the world goes solar, utilities are jumping into the game because they know that they have no other alternative. Here in California Pacific Gas and Electric, one of the significant energy services in the state offers a zero percent loan on solar panel installations on the home, and many others are following suit. Check with your local energy supplier, and they may be able to help.

One Stark Difference Between Solar And Other Loans

Pay close attention to one singular and a very significant difference between solar panel loans and other home improvement loans. This difference is the solar panel loan allows you to own an appreciating asset that also generates its financial value. That means those solar panels decrease your utility bill to $0 or close to it while increasing the value of the home.  This piece of information is vital to your purchasing clarity. This scheme comes even before you factor in the 30 percent federal investment tax credit and other applicable rebates and incentives like solar renewable energy certificates (SRECs). While a bathroom or landscape job is an excellent addition to your home, they do not offer the same type of financial benefits as do solar panels.

If you want to move into the future and join the solar revolution, or if you want to find out what solar panels are right for you, go to HahaSmart.com and try our price checker tool. You can see how much a system will cost, and how much you can save over the next 20 years.

For more information relating to going solar, don't forget to visit our solar blog section for more handy guides and articles.