Solar Financing
While there are still some great State and Federal tax credits as well as rebates available to help you pay for your solar electrical system, there are also multiple financing options to help you go solar. The up front costs for solar power can be a huge barrier for many consumers. Not all families and business owners can afford to pay the costs involved with installing a solar PV system which can typically run from $20,000 to $45,000 or more depending on many variables including system size and equipment options.
Thankfully, today there are numerous options available in terms of financing a residential or even a commercial system -- options for any budget. From home equity loans, power purchase agreements, low-cost leases, $O down financing and more, it's easier and more affordable than ever to take the leap into a brighter future with solar power. You can start saving and cut your energy bill from day one with very little or even no money at all out of pocket with the financing options available to you now.
Solar Power Financing Options
$0 Down Solar Leases:
Scudder Solar has partnered with the Sunpower Corporation to offer a $0 down Sunpower residential solar lease to our local California customers. Sunpower, a San Jose based company, manufactures the most energy-efficient of all solar panels on the market today. The panels outperform other solar manufacturers by 30% to 50%. These high quality panels are beautiful to look at and with the new Sunpower 20 year lease from Scudder Solar, you can reduce or even eliminate your energy bills with no money out of pocket and enjoy the same financial benefits of installing solar and owning your own system.
If a traditional cash purchase or financing isn't the right choice for you, a solar lease may be just the right option. For less than what you pay every month to PG&E, consumers can go solar now rather than later. You can read more about our special 20 year Sunpower lease program here.
Same as Cash (SAC):
SAC financing for residential solar systems includes zero interest and zero payments for the specified period of time, typically 12-18 months. When the SAC period is completed, you can pay the full principal with no interest incurred or you can begin to make payments while interest accrues. Same as cash financing (a type of unsecured loan) is generally predicated upon your good credit.
Unsecured Loans:
Better known as personal loans, these loans are available from banks and other financial institutions. There are a number of unsecured loans available to finance a solar PV system and these loans are typically based upon your good credit, fico score and ability to repay the loan.
Mortgage and Home Equity Loans:
These secured loans (a loan where the borrower pledges an asset as collateral against the loan) were generally the most popular way to finance solar in years past. And with record low interest rates, they are still a great choice for some consumers today. Secured loans like these often offer the best terms and the lowest interest rates for your solar system purchase.
PPA's
There are various forms of Power Purchase Agreements but generally, PPA's are reserved for commercial projects that are 100kw or more. Similar to a lease, a PPA agreement is signed between two parties (the customer and the master tenant) and terms can run from 15-20 years. In a PPA, the solar installer purchases, installs and maintains your solar system and guarantees your system's production while You (the customer) pay a low monthly rate for the energy the installed system is producing. Like the Sunpower lease, you lock in your electricity rate for the term of the PPA and you can start saving from day one.
