Are you wanting to install solar in your home but just don’t quite have the cash to get it up and running?
Well, that’s an issue that a lot of homeowners are facing. But the good news is that there are options to borrow the money for solar. Loans for solar panels can be a worthwhile investment. Not only do they help you lower your environmental impact and cheapen your energy bills but they can also help you save money in the long term in other ways. For example, solar panels will increase the value of your home and also qualify you for great government rebates. So, let’s look at the top things you need to know about solar panel financing.
1. You Still Qualify for Tax Credit With a Solar Loan
The federal government has a tax credit system in place if you have solar installed in your home. According to the Energy Policy Act of 2005, you can claim back 26% of the installation costs for solar. Bear in mind that this is the figure for 2020 and that number will go down to 22% next year. So, get in quick!
2. A Larger Deposit Will Save You More
If you are looking at solar panel finance, you should remember that a larger upfront payment is going to be much better for you in the long run. With a larger deposit paid upfront, the amount of interest you pay will be lower. This is because the amount against which your interest is calculated will be smaller. Also, many companies will give you a better interest rate if you have a large deposit.
3. Start Earning on the Solar Rebate Immediately
One of the great advantages of installing solar is that you will earn money for the power you generate and add back into your power grid. You should check out the rebate scheme in place in your state.
Best of all, you can start earning this money immediately, even if your system was paid with solar loans.
4. There Are Multiple Solar Financing Sources
When looking for loans for solar panels, you should remember that a bank is not the only lender in the market. You can find solar loan specialists, like the company Loanpal. One of the benefits of going away from banks is that with a solar loan specialist, your loan can be tailored so you make the most from rebates and tax credits.
5. Loans for Solar Panels Can Make You Money
The last thing you need to remember is that a solar loan is not like a normal loan because it can start earning you money as soon as you take it out. First of all, you will save money by immediately lowering your energy costs (down to almost zero depending on the size of your system). Also, you will get back your tax credit and start earning with solar rebates. So, you can look at a solar loan as a way to make money!
Get in Early for Maximum Benefit
Now you should have a good idea about the value of loans for solar panels. But the last thing to remember is that the solar industry is booming and the sooner you get in the better. Not only will you benefit from a larger tax credit, but you will also start saving and earning sooner. In the long run, this will be worth a lot! If you’ve found this article useful, check out some of our other great articles on technology topics today.