Home and office solar power systems
There are a couple different types of solar energy systems that you can choose from. These include the photovoltaic (PV) systems that consist of a number of modules (or solar panels that are connected together. These are usually connected ed into the utility grid so that extra energy that is generated can be sold to the electric company, or else connected to batteries that will store the extra energy for your future use. There are also systems to use with solar powered water heaters, which just heat the water of the home and don’t generate energy for the rest of the home.
Those installing PV solar energy systems will want to look into how much power they use, and how much energy they could expect to generate in their location with any given number of modules. This can help them to determine how many modules or panels they will need to install to meet their goals for energy production. Many people start off with a smaller number of panels and then add more in the future if they are needed. There are a number of solar power professionals who can help you to figure out how many panels you would be likely to need.
Another thing to keep in mind is the cost. Solar energy systems can be quite expensive to install. There are a number of local, state, and federal tax incentives and rebates that can help to cover the cost, but it will still be a bit initial investment. Over time you should recoup the cost, but this will take a number of years to achieve. Before installing your system you will want to look into the different incentives that are available, as each will have its own requirements.
Most people would love to install solar panels on their home and truly “go green”, but they stop short because of money. Many people think the only option to pay for solar power is to put cold-hard cash on the table at the time of installation. While this may be the “best” option in terms of overall cost (by the way… so is paying cash for a home, but most people didn’t do this!), most of us don’t have the extra 50k to 250k sitting around burning a hole in our pocket. For the lucky few who can afford this, great! However, for the rest of us normal folks, we would still like to go green and have some other options. Well, there is good news. There are some creative ways of financing your desire to go green.
Let’s first talk about the traditional ways of financing solar and then we can get to the new and upcoming ways that are starting to come about with the recent increase in interest in alternative energies. Let’s make this quick and simple.
1) Pay cash – This is great for saving money in the long run but is limited to the more affluent.
2) Home Equity Loan – Also a good option, but limited to those that have a good amount of equity in their home. Be careful because if the loan kicks you over 80 or 90% Loan-To-Value, you may be paying a more interest than necessary.
3) Refinancing – There are several options as far as wrapping the cost of your solar installation into the mortgage of the home. This is perhaps the cheapest on a monthly basis because you can amortize the loan over 15 or 30 years and thereby drop the monthly payments. In doing it this way, you should have a net savings over your old mortgage plus your old utility bill. McOtieno has programs that will finance up to 10% above your base loan as long as the total loan is below 240k .
4) Build your own solar panels – Okay, perhaps this isn’t a method of financing, but ultimately it could enable the more tech savvy to be able to afford solar energy for their home. Hey, you can save 50 to 75% off the cost of going solar by doing it yourself. Besides, there are many great.
5) Lease – Another great candidate for creative financing is leasing your panels from an outside company. There are companies that will take care of everything as far as costs and installation and you simply lease the panels from them by paying a monthly lease payment that is equivalent to paying your utility bill, but cheaper. There are a couple of really nice features with this option: there is less money required down than the PPA option (typically 0 to 2% of installed cost), system maintenance is handled by the leasing company, and the homeowner gets 100% of excess production.
To summarize, the financial market is starting to view solar energy as a good investment and therefore many new programs are being developed to help the homeowner convert to green energy. Solar companies are also figuring out ways to alleviate the costs to the homeowner by PPA’s and lease agreements. In addition, more traditional sources of financing like banks are starting to figure out that financing solar can be a lucrative endeavor. Couple all of this with government incentives and the push towards a “green energy economy” and you have yourself a great opportunity to finally fulfill on your dream of going solar.