Are you a homeowner who is considering a solar panel installation? If so, you may have wondered whether you should buy or lease your solar panels. The following information should aid you in understanding potential obstacles that lessees may face.
If you have completed a little research on solar panel installations, you likely know that there are some tax credits you might be able to take advantage of. There are tax credits from the federal government, but you may also qualify for some incentives if you live in certain states too. By investing in your own solar panels, you can retain all of the tax advantages because you will be the owner. If you lease the solar panels, the company you lease from will likely get the tax credits because they technically own the panels.
Selling and Transferring
Perhaps you have plans to sell your home. Sometimes people end up needing to put their homes on the market unexpectedly. For example, a future job loss or divorce could result in you needing to sell your home. Although having solar energy is a plus and can raise a home’s value, potential buyers may only be interested in properties with solar panels that they will acquire ownership of if they buy the home. Not everyone will be attracted to saving money on energy only. Some people see the value in owning the panels attached to properties they own. Depending on the terms of the lease agreement, you may be bound to keep the panels installed, and interested home buyers may be forced to look at other properties. If you are able to get out of the lease agreement, you may end up having to pay money. It is also possible that removing the panels will not garner any interest, and you may not be in a position to purchase panels to appease potential buyers. These are messy situations you can avoid by opting to own your own solar panels from day one. Even if you have to finance them, you will still be considered in control of them.
Some solar panel leasing companies offer outstanding deals that can help people save on their energy bills. Many people who own solar panels end up with excess energy, which can be resold in some cases. By leasing, you will forfeit the opportunity to sell any excess energy production to others. The leasing company could elect to sell the leftover energy each month, and there is likely nothing that you could do to change their decision. This means that they can earn profits from the panels you are leasing, and you may even have to pay a fee to lease the panels.
If you are interested in buying solar panels or discovering more reasons why ownership is ideal, a solar panel installation company is a good resource to use. They can also help you to determine how many panels you need to power your home.