...consumers need to be cautious of installers that promise too-good-to-be-true offers, says Stephen A. Cox, President and CEO of the council of Better Business Bureaus in a recent Scam Alert.
There is No Such Thing As A Free Lunch Or Free Solar!
- Solar leasing companies can make upwards of $75,000 from every NJ homeowner that signs up for one of their 'free solar' programs. Check out this news article.
- The leasing company makes money on the installation; takes your 30% federal tax credit; all of your SREC profits; depreciates your equipment at an accelerated rate; and they will charge you a monthly fee for your solar energy --- that can increase by up to 2.9% a year!
- Since the leasing company will own the equipment on your roof, FannieMae will not allow you to include the leased solar panels in the value of your home.
- In many cases 'free solar' equates to inferior equipment installed on your roof with little effort put into design or aesthetics.
- PLUS, for many potential home buyers, "a solar lease is a liability rather than an asset, and may drive some people away", said Adomatis, who wrote the Residential Green Valuation Tool, a guide offered by the Appraisal Institute trade group.
The End Result:
The average homeowner really only saves around between $35 a month*
The leasing company typically makes about $3,780 a year.
* assuming 1000 kWh a month of solar production at a lease rate of $0.11/kWh. Simply subtract the utility rate (e.g. JCPL @ $0.145) from the leasre rate of $0.11 to get a savings of $0.035/kWh. Next, $0.035 multiply by 1000 to get $35.
Save About TWO TIMES More Than Leasing!
Did you know that you can save around two times more than leasing when you finance your solar panel system for just $99 out-of-pocket?
With Green Sun at your side, switching to clean and inexpensive solar power has never been easier. We’ll work with you to determine the best Solar Program for you and your family.
Locally owned and operated, we implement fully managed solar programs (not just solar panel installations) that deliver immediate and long-term savings.
Our local experts, superior equipment, aesthetically pleasing designs, money-back guarantee, and commitment to long-term customer relationships separates us from the competition.