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The Truth About Solar In The Home

By on May 19, 2015

1Trending With Debi

Recently, I sold a home in the Rocklin area that had solar panels on the home. The solar was not owned or leased, but a solar alternative that was new to me. I called the company, SolarCity to learn what I could about their product and service, and then asked Todd Hall from SolarCity to share this interesting alternative with you.
SOLAR, SOLAR, SOLAR… Let’s talk about some of the ways solar has changed lately.The solar industry has gone through some interesting transformations lately that may change your mind as to whether it is right for you. Solar has been historically a large financial investment that requires the home owner to spend $20,000-$40,000 and wait 10-12 years to get a true return on their investment. That makes it a challenge for a green friendly homeowner to take the solar plunge. Solar was then introduced in the form of leasing the equipment. Homeowners could realize savings and go green, but the liens on the home for a 20 year lease created resale challenges.2

Recently, with a huge push from state and federal mandates to convert more homes to alternate energy sources, solar has created a new way for you to go green. Power Purchase Agreements, also known as PPA’s have been introduced to overcome many of the barriers of going green. A PPA is a solar solution where you DO NOT BUY the equipment.

The ownership of the equipment is maintained by the solar company. The solar company monitors, maintains and warranties the production of energy for the home. The company makes their money by selling you the green energy.

Let me say again, YOU DON’T BUY THE EQUIPMENT!

3You are probably asking….so how does the solar company make money? There must be a catch?

Regardless of who you currently get your electricity from, that company has invested huge amounts of capital to get your home hooked to the grid. The larger stronger solar companies are now doing the same. They are investing the $20,000-$40,000 in your home. The solar company will require you to buy your power from their company, but you would be buying it anyway, right? Again, how do they make money?

The solar company sells you the energy NOT the equipment, and they can do it for less than you are now paying for
electricity. A lot of small solar companies will try to discourage you from a PPA. Why? They just don’t have the financial backing to offer PPAs.

The largest solar company SolarCity, has the financial backing of billions of dollars from investors, including 5Goldman-Saks, Bank of America and Google. A little research done by the consumer, will find that only a handful of
companies can offer PPAs, but they represent the bulk of the volume currently being installed.

If you have wanted to go solar, but thought the cost was just too much, or maybe you plan on moving in a few years
or think you are at an age where it just does not make sense, you really should think again. With no out of pocket cost and instant savings, this trend is really catching on.

Want more information?
Contact Todd Hall, SolarCity, (916) 813-0052 or thall1@solarcity.com

4FOR MORE INFORMATION REGARDING THIS PROPERTY:
Christopher Hayhoe
Coldwell Banker • (916) 397-7733

subscript to Lavish Living Magazine

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