We’re not solar providers at Paper Plane Co. but I do have a limited bit of knowledge in regards to solar and solar installations. As far as cons, the solar company providing you the solar service will work out any issues ahead of time to make sure that any possible cons are eliminated. In today’s solar market it is typically a big win for the home owner and of course the environment. There are properties in which a solar installation would not be beneficial (for example: not enough sun exposure or roof limitations) and the solar provider would be up-front with you about that. All in all, if you have the right provider you can’t go wrong with solar… Best of luck! Jay
Just don’t lease it. Buy it!
If you decided to lease a PV system and then decided to sell your house 3 years into the lease and the new buyers don’t want the system you’re out of luck.
If this happens then you’d be required to pay off the lease and have the system removed which could be costly.
You see when a company leases you the system they’re entitled to the 30% tax credit you’d otherwise get since they bought the system before they leased it to you.
On a $30,000 system you’re already out $9,000. Do the math. Get multiple quotes and do business with a company that’s going to give you the facts and not try to steer you into financing options that may not be optimal.
As always our consultations are always free so please feel free to give south Pacific Solar Group a call at 866-303-7050.
Get at least three quotes before making a decision on what contractor to use. Don’t fall for high pressure sales tactics. Make sure you are informed on what type of system you are getting and if the contract includes a monitoring system you can check from your computer or smart phone, you will want this once the system is up and running.
When you lease a solar system the con is the lease itself. lol. Seriously though, when you lease a solar system, if you choose to sell your home the new buyer must assume the lease. When you own a system, you can sell the system with your new home as an non-taxable home improvement.
If your considering solar panels, there are no cons. Its the smartest, most important investment you will make for your home. Your contractor should cover every aspect of the solar project life-cycle: including product education, design development, construction management, electrical upgrades, solar roof replacement, financial disability and all contingencies.
Want to know what to expect? Watch this cool short A thru EZ walkthru of our solar installation with roof replacement!
There are plenty of cons when it comes to solar! Don’t get me wrong, producing your own power, especially with the rates we pay in California, can seem like a no-brainer. Let me share a few bits of advice to help clear things up.
Things to consider:
*How long do you plan on staying in your home? Despite what everyone says about tax credits, expect to pay the full cost of the system plus any finance charges & interest. I’m no tax expert, and this is not tax advice, but you need to have a tax liability to take advantage of a credit. It does not act as a tax refund, so there’s no guarantee you’ll get 30% “off” the system as everyone claims.
*If you choose to take out a personal loan to pay for the system, you’ll need to pay it off before you can sell the house or keep making the monthly payments after the title is transferred to the new owners. If you choose to use a PACE loan, you will have a tax lien placed on your home and it will make selling the home more difficult (not impossible, just more difficult).
*ROI is all determined by the amount you pay for electricity now, what your finance payment will be, and again, how long you will actually be utilizing the solar.
*NEM or Net Metering is no longer as favorable as it once was. You are switched to a Time Of Use rate, which charges you for any usage during the day that the solar can’t provide, and all of the electricity you use overnight. Almost everyone has been switched to Time Of Use rates in SDG&E territory, but the solar TOU rates are different than the average customer without solar. I’m not familiar with rates in New Jersey, but if you can get a 1:1 credit, meaning every kWh of power you sent to the grid, you would get back as a full kWh when the system isn’t producing, then it’s great. That is no longer how it works in the San Diego Gas & Electric utility territory. You get reduced credit for overproduction, which means you will always have a utility bill (unless you turn off all power to your house overnight). Battery storage is the only way to avoid this now. Check with your local utility about your Net Metering rates.
*What’s the condition of your roof? The system should produce power for a minimum of 30-40 years. Can your roof last that long before needing to be replaced? Also, you’ll need to take down the entire system and put it back up when you replace your roof. If the company tells you your roof is fine, but then leaks start popping up all around the 20-50+ penetrations they make in your roof, who’s paying for that?
*The resale value of a home with solar is not anywhere close to the claimed figures. Here is an example from a prominent solar website, “Example: a 5 kilowatt (kW) solar system (the national average) will offer 5,000 watts of power. LBL says that each watt of solar adds about $4 to a home’s value in California and about $3 per watt elsewhere. Thus, a home with solar should sell for about ($4 x 5,000W =) $20,000 more in CA or still ($3 x 5,000W =) $15,000 more outside of CA.” Who would pay $4/watt extra for a home with solar, when they can buy a home without solar and have it installed for $3/watt and also benefit from the tax credit (remember my comments above about the tax credit).
*Many times, you can reduce your electric bill through more important home improvements, which will also add resale value. If you’ve done everything you possibly can to reduce your consumption, and you’re still paying too much for electricity, then you should definitely look into solar. Otherwise, look at air sealing and insulation, windows and doors, HVAC, pool pumps, lighting, and plug load. A professional Energy Audit will help you see exactly where your home can improve.
*Solar doesn’t make the home look better like windows and doors. It won’t make you more comfortable in your home like air sealing and insulation will, and it does absolutely nothing for indoor air quality.
I guess you just need to ask yourself what is more important- A reduced electric bill without any other improvement to your home or benefit to your health? Or, a reduced electric bill with improvements in comfort, aesthetics and indoor air quality? Hope this helped!
Always happy to help answer any other energy-related questions!
-Steve
We don’t work with solar panels per say, but from our experience they need to be managed and kept well. This can be expensive if it is.not.done properly. In addition to this, there can be different regulations depending on your state. Many people try to use solar as an alternative source of power and be off the grid, but in certain states the power companies have the ability to just cut you off completely rather than partially. I this solar is wonderful and the technology is improving everyday, but this can be an expensive option so local revaluation should be checked.
The only Con is initial cost. So be careful when purchasing if it sounds too good to be true it most likely is.