Solar panels can be a great addition to your home, but there are a couple of things to keep in mind if you’re considering purchasing them.
For today’s video, I’ve invited Jeanette Coffey of Sunrun to join me to discuss the benefits of installing solar panels on your home and what your purchasing options for them are.
First, from a real estate perspective, you need to keep in mind that solar panels only add value to your home if you own the solar panels. Many solar companies, for example, will try to convince you to use HERO or PACE loan programs to buy solar energy, and these loans come with hidden costs. While they don’t require any money upfront, they do end up getting added to your tax bill. Also, interest rates are extremely high for these loans, so when the time comes to sell your property, you’ll have paid a lot more than what you expected.
One of the main benefits of using solar panels is they provide you with clean, affordable, long-lasting energy. Again, as long as you own the solar panels, that makes them a great investment option if you’re looking to add value to your home. That’s why if you’re considering buying a home that has solar panels, you need to know whether you would own the panels after purchasing or you’d only be leasing them.
As we’ve already stated, you can either purchase or lease your solar panels. If you use financing to purchase, instead of paying a monthly utility bill, you’d make a monthly loan payment. That way, every time you make a payment, you’re investing in your home instead of paying a utility company. In this case, you’d pay zero money down and own the solar panels.
You can also lease your solar panels with zero-down financing. In this case, you pay the solar company for the power, and the energy output is customized and controlled so you know exactly what you’ll pay on a monthly basis.
According to Jeanette, the best time to buy solar energy is as soon as possible. Whether you’re better off purchasing or leasing that energy depends on your situation, but if your electric bill is $80 to $100 per month on average, you should consider buying solar panels.
If you have any more questions for Jeanette about solar panels or you’re interested in purchasing them for your home, you can call her at (562) 221-1802 or visit her Facebook page “Solar Jeanette.”
As always, if you have any real estate questions for me, feel free to call or email me. I’d love to help you.