Renting Solar Panels
It's hard to fathom how far the solar industry has come in the past few years. The preponderance of solar systems across the U.S. has been made possible, largely, thanks to falling prices of photovoltaic cells, and financing methods with which you can rent solar panels for zero down.
Renting solar panels makes a lot of economical sense for many people. Renting solar panels is essentially the same as leasing solar panels.
How renting solar panels works:
- The solar power company or lease provider purchases the system for you, which it then installs on your home's roof. The upfront cost will be minimal or zero.
- You then purchase power from the solar power company, at a rate that is below what you pay to your power utility. Consider this your rent for solar panels.
- The company is responsible for maintaining the system, and taking care of any repair work which might be needed.
- The lease can last for 10 to 25 years.
Should you rent or buy solar panels?
Renting solar panels may make sense if….
- You do not want to make a heavy upfront investment. You can rent solar panels for minimum upfront or zero down.
- Reliability of having fixed rental (lease) payments is important, providing stability for your budget. If your systems produces less, the solar company or lease provider will pay you the difference.
- You don't make enough income tax to benefit from the 30% Solar Tax Credit, or if you don't want to wait until the following year to see returns.
- Maintenance and repairs are preferred to be managed by solar company or lease provider, leaving you worry-free.
- You live in a state that allows renting solar panels -- such as California.
There are many advantages to choosing to rent solar panels. For starters, solar leases are all about affordability, and they are also pretty flexible. While you do not have to make any upfront payments, if you want to reduce your monthly instalments, you can make a small investment initially, and pay lesser later on.
As solar power systems are fairly technical, keeping them in good working order will require a certain degree of technical expertise. With a lease, this becomes the solar power company's problem, not yours.
Finally, when you rent solar panels, you know exactly how much you will be paying for the duration of the lease, something that's not possible when you are purchasing power from a utility.
Another option is to rent to own solar panels. At the end of your solar panel rental or lease you typically have the option to buy out and own the solar panels. This may be a good option if you are planning to sell your home. You can transfer the rent (lease) of the solar panels to the new owners or turn your rental into ownership ahead of selling your home and include the value of the solar panels in the cost of your home.
Renting solar panels is an attractive financial option for many homeowners, but there are quite a few things that need to be kept in perspective before making a decision. The simplest way you can find out if you should rent or own solar panels is by speaking with an expert solar advocate at Verengo® Solar and by getting a free solar quote in less than 5 minutes.
What Can You Save With Solar?
With no end in sight for soaring electricity rates, your switch to solar will secure affordable power for your home & family for years to come.