DON'T GET RIPPED-OFF by that Solar Electric Contractor!
Reports are surfacing that Solar Electric Contractors are Ripping-Off Homeowners through Bad, Misleading and to a point out right Lies when it comes to selling the Consumer a Solar Electric (PV) System. DON'T BE A VICTIM! This website will pull the curtain back and demystify the Solar Energy smoke. We will explain some of the Red Flags that consumer need to be aware of. Let's be Very Clear about one thing upfront,SOLAR WORKS! Be it Solar Electric, Solar Swimming Pool Heating or Hot Water for Inside the Home (DHW-Domestic Hot Water).
There are many different types of Solar Energy. We are just going to focus on the most popular 3 forms of Solar. Those applications are the mentioned Solar Electric, Solar Swimming Pool and DHW systems.
HOW MANY SOLAR (PV) PANELS (Modules) DO I NEED? That is the Most Asked Question when it comes to Solar Electric (PV) Installations. Let's walk through the Simple 5 step formula that will answer that question. Now the amount of PV Modules may NOT work for your Budget or the amount of modules may not even fit on your roof. So this number can to adjusted and customized to make it easy for you to sleep at night. CLICK HERE.
SOLAR ELECTRIC Modules
Canadian Solar * Sharp * Yingli * American Solar * Phono Solar * Solvation Solar
SMA Sunnyboy * Enphase Micro-Inverters * Fronius Many other Brands and also Mounting Hardware * Roof Trac * Pro Solar CLICK HERE
SOLAR LEASE PROGRAMS
So What's going on with these SOLAR LEASE PROGRAMS? Did You know that You Could LOSE Your HOME.
If you stop paying on that Solar Lease because the Solar PV Electric System has malfuctioned or stopped working and the Installation Company will not come out and Repair it, or if you have experience a Financial Crisis or Hardship you will be in DEFAULT of the Solar Lease and with all that FINE PRINT you just might get FORECLOSED ON and LOSE Your HOME. When you SELL your Home You WILL BE RESPONSIBLE to PAY-OFF the Lease if the New Owners/Buyers do not want to ASSUME the Lease or do not Qualify for the Terms of the Lease. When You Sign that Solar Lease Contract You are LOCKED-IN with Little or NO OPTIONS.
These Solar Lease Programs are structured to return a Huge Profit to the Corporations that have Funded the Solar Installation Companies. These programs are designed to to make YOU PAY TWICE what the Solar PV System is actually Worth.
I know that when you hear that these Solar Companies will install a Complete Solar Electric Photovoltaic System for FREE, well it Sounds TOO GOOD TO BE TRUE and Folks, Yes it is To good To Be True. Think about it, How can a company install a $20,000 Solar Electric System for FREE? You my friend will PAY dearly in the end. ALSO You DO NOT Qualify for ANY TAX CREDIT or CASH REBATES that the Federal , State or City offers. BEST SOLUTION is to try and get a 2nd mortgage at a low interest rate or Re-Finance and "Roll" the cost of the Solar System into that loan. You can also BUY NEW equipment and just pay an Installation Company to install. If you buy USED Equipment it might Not Qualify for the Tax and Cash incentives so Double Check Before you buy that used equipment.
Our SOLAR INSTALLATION PRICE GUIDE-LINE will Help You understand what the cost Should Be.
Another way to look at it is, Well have You ever Leased a Car? If you answer that question with a HELL NO, then Why Not?
When you Lease a Car and make the Return most of know that there are going to be Hidden or Extra Charges or Fees that we will have to pay. If you drove that car an extra few thousand miles more than the contract allowed you might end up paying a few thousand dollars extra for the excessive mileage charge. And if you received a couple of dings on the bumper or the interior wasn't kept perfect, well you get the picture.
SOLAR LEASE PROGRAMS are structured like this.
In an article dated June 14, 2011. GOOGLE announced that it was Lending (Investing) $280 MILLION DOLLARS to SOLARCITY.
This money will then be used by SOLARCITY to offer NO MONEY DOWN Solar Electric PV installations to Homeowners. The Homeowners would in exchange agree to Pay a set price to SOLARCITY for the system installed.
So Let's FOLLOW the MONEY. GOOGLE makes a Return by charging SolarCity interest on the $280 Million. Google also receives the FEDERAL TAX CREDIT of 30% and can WRITE-OFF the TOTAL VALUE of the system in the year that it was installed. This accounting benefit is called ACCELERATED DEPRECIATION. Google will also receive the REBATES from both the Local State and any City Governments. The $280 Million will finance appoximately 10,000 residential homes. Google's Return on the $280 Million could total as much as 20%. Google is not alone in this type of investment other Banks and Corporations have also established Green Energy Funds to finance Solar and other Renewable Energy endeavors.
So what About the Homeowner? How do they make out in this deal and is it a DEAL or a SCAM?
If you have an electric bill of around $250 per month the Solar Leasing Company will say this, We will install this Solar Electric System for FREE and all you have to do is Pay Us $200 a month for the next 5, 10, 15 or even 20 Years. At $200 a month you will save $50 a month on your electric bill or about $600 per year. AND this system will protect you against raising Electrical Energy Cost because we all know that the cost of energy is NOT going to come down and it will only GO UP in the future. I think that we can all agree that this statement is TRUE.
This is What YOU need to focus on.
1.) What is the COST of the Solar PV System?
2.) Is this a FAIR MARKET PRICE?
3.) Once you determine the Fair Market Price and you do this by getting at least 2 or 3 Estimates BEFORE You Sign that Contract, then you need to look at the COSTof MONEY.
4.) If you finance the system through a Bank or Credit Union with a Low Interest Loan and NO Pre-Payment Penalty, what is your "PAY-BACK" Period? In other words if the system is going to Save you $200 a month BUT cost you $200 a month in a monthly loan payment and you need to borrow $16,000 your "Pay-Back" period is about 7 Years. And then That's It, All Paid for.NO MONEY DOWN, just a loan from your Bank or Credit Union. Now your Saving that $200 per month or $2400 perYear for as long as you live the home and your protected against raising Energy Cost.
5.) The LEASE PROGRAM "might" charge you No Money Down but lock you into a 10, 15 or even 20 Year Contract and then to top it off you might have a BALLOONPAYMENT at the end of the contract.
6.) IF you sell your home you may have to Pay the Balance in FULL. 7.) How long do you plan to stay in your home?
8.) The Solar Electric installation Will Increase the Value of your home however don't install for that reason alone. There are still some people that do not like the Solar Aesthetics.
The BOTTOM LINE
These LEASE PROGRAMS are Designed to create a very nice Return on Investment to huge Banks and Corporations. The Homeowner is the Working Slave paying the Rich to get Richer. READ the FINE PRINT and PAY-OFF TERMS and also remember that you have 3 Days AFTER You Sign to CANCEL the Installation Contract.
Use Low Interest (Cheap Money) loan if possible to pay for the installation. Solar DOES WORK and SAVE You a ton of Money in the long term so Get Solar Educated and Get Installed.
So let's be clear on WHAT Solar Does.
SOLAR ELECTRIC (PV-Photovoltaic): Provides FREE Electricity to power up your Home or Business. Solar PV Modules are mounted on your roof or Ground Rack and wires are run from the Solar Panel "Array", which is producing DC Power to an Inverter that converts the DC (Direct Current) to AC (Alternating Current). AC Power is what powers up all our appliances in our home. Your "Plugs" are AC current. This Inverter then ties into your Electrical Breaker Box and "Feeds" electricity to the "Electrical Grid" which in turns provides you with FREE Electricity. At NIGHT the Solar Is NOT producing electricity however you are using the "Credit" of electricity that your system produced during the day.
SOLAR SWIMMING POOL HEATING (Thermal): Provides FREE Thermal-Water Heating for your Swimming Pool. This Solar will Extend your swim season and by providing warm water increase you and your family's enjoyment of your swimming pool. Swimming pool Solar is normally powered by you swimming pool pump and a solar valve system that diverts water to the Solar Collectors. There are both Automated and Manual Valve Solar applications. Today many people have fully automated control systems on their entire swimming pool equipment operations.
DOMESTIC HOT WATER (DHW-Thermal): Provides FREE Hot water for INSIDE your home. These system are either PASSIVE or ACTIVE. They can tie into an existing Hot water Tank or stand alone as a single tank system. The PASSIVE Solar will usually have a "Tank" on top of your roof or ground mount rack. Common systems are SOLAHART. The ACTIVE System requires the use of a Control with Sensors and a small pump that circulates water through the Solar Collectors on the roof or ground rack mount.
All of these SOLAR ENERGY Systems WORK and provide FREE Heating and Electricial Energy to the customers that have these systems installed. Many of these SOLAR ENERGY Systems will last 20YEARS Plus with very little maintence or cost.
So when you here one of our Elected "Public Service" Politicians say "WHY are we spending money on a Energy technology that doesn't work?". Remember that Politician is PAID by the Oil Companies to keep YOU paying them. That Politician also has a Credit Card that has NO Limit and the balance ispaid by Us TAXPAYERS.