WE KNOW ITS A BIG DECISION....
While we certainly understand going Solar is a great decision and investment; our goal is to help make the transition (and decision) as easy as possible. Here is WHY it makes financial sense:
Breaking news: Solar can save you a bunch of money! Bad joke, we know. But for a myriad of reasons transitioning your house or business to Solar energy will undoubtedly save you thousands of dollars. For starters, Utility companies offer great rebates for people who buy solar systems with cash or a loan. We’re talking thousands off the cost. Combined with the national 30% tax credit, a solar panel system comes in at only about half the sticker price after just 1 year. That kind of discount makes solar worth absolutely worth the investment, and it can save you nearly $12,000 in electricity costs over the life of the panels. Click here for more information on incentives.
THE SOLAR PURCHASE - LEASES AND LOANS
"There are essentially three options when looking at financing your new solar system: Purchase, Home Equity, or Lease.” The most important thing to understand about each option is that when you lease your solar panels, the leasing company owns your system and is therefore able to collect any available tax incentives. When you purchase solar panels, you get to keep the tax incentives for yourself. To help you get started we've outlined a few of the most popular options below. You can also contact us directly for a free, fully customized quote for your home. No commitment required.
Cash or Loan
Today it is possible to finance part or all of a solar system purchase. There are a variety of secured and unsecured options available with terms of 12 to 20 years. NOVOS recommends financing only the necessary portion of the net cost after incentives in order to get the best payback. In addition to a loan, a buyer can also acquire short term financing of the credits and incentives to keep initial out of pocket expense low without long term financing. And keep in mind, we will explore each of these options with you!
An added benefit to purchasing or financing you solar electric system is the net increase in your home’s real property value. Estimates according to a study published in 2011 by the National Bureau of Economic Research found that solar panels added a $20,194 premium to the sales price of a home (houses in the study were in the mid-$500,000 range.) A similar study
conducted in 2013 found that 21 out of 30 homes (median price $317,075) sold for more money because they had a solar PV system. By a general rule of thumb, for every $1,000 in annual energy savings, your home value would increase and estimated $20,000. Of course, cash is always an option. With cash purchase, we collect $1,000 down (you can put this on a credit card if you like,) 80% when the system is installed, and the balance at the time of system commissioning (turn on) by your utility. Average return on an all-cash solar investment is around 4 – 9 years, depending on system size.
We generally recommend for those homeowners that can afford to pay for a system in cash, or have access to a well-structured loan, to avoid third-party ownership (lease or PPA). And a Home Equity loan may be a pretty good option. Financing your new solar system through a home equity loan, energy efficient mortgage or PACE programs will undoubtedly yield a better financial return in the long run.
Home equity loans are essentially equity loans with your property as collateral. Going this route, you create a lien against the home while reducing its equity. Depending on the structure of the loan, homeowners save more in electricity bills compared to their loan payments already from the start.
KEEP IN MIND: NOVOS IS YOUR PARTNER!
As you are likely seeing, the solar market in Texas is getting competitive, considering the rebates and tax credits that are available to leasing companies. Here are NOVOS we are going to fight for your business, earn your trust, and communicate throughout each step of the process.
Additional Information about solar in Dallas/Fort Worth.
Even if you don’t buy your power from Oncor Energy as used in many of our examples, you can still get a rebate from them. The way the Texas energy marketplace works is you buy from one of the suppliers, and the energy gets delivered by your local utility. In the case of most of the North Texas area, that’s Oncor Energy (CoServ, TXU, Republic, etc…).
Property Tax Exemptions for Solar in Texas
The state of Texas exempts solar installations from property tax. That’s wonderful news for you, since the value of your home will go up by several thousand dollars when you add solar panels. Basically, for each $1,000/year reduction in energy bills, you can estimate that you’ve increased the value of your home by $20,000.
And thanks to the bright and beautiful Texas legislature, all of that new value won’t be taxed. Boom! .