Common Solar Lies, Mistakes & Misinformation
The Tax Credit
So one of the main lies I see is how the tax credit works. They make it sound like you’re just going to miraculously get this tax credit in the mail in one lump sum. But it’s not a rebate. It’s a tax credit and you have to apply for it when you do your taxes. The amount you get back will depend on your taxable income. The more taxable income you have, the more money you’ll get back.
You have 18 months to apply it to the loan otherwise your payment will go up a little bit. So it’s important to know the initial low price and also the price if you do not apply the tax credit. I show you both of those. You also have five years to apply for the tax credit if you don’t receive the full amount the first year. The incentive rolls over to the next year so that you can keep applying until you hopefully get the entire amount back. However you only have 18 months to apply it to the loan to lock in your payment at the lowest price. You can also keep the money to use as you please, but know that the payment will go up a little.
Undersizing - The Homeowner Nightmare
The next thing is under-sizing. A lot of customers are purposely given a small system, because it’s cheaper, easier and it entices the customer to sign on the dotted line. They are telling the customers that they will eliminate their electric bill. However if you don’t have enough energy production from your panels, you will not be able to offset your energy usage entirely. Which means you will still have an energy bill. I met one lady with a $379 bill and they were only giving her 20 panels. And they told her that she would have a zero Duke bill. Not true at all. That lady would have been in for a rude awakening. (By the way, you'll always have an electric bill because you will be connected to the grid. But if you're sized correctly, you should just be paying the small connection fee, not electric usage.)
Not Optimizing Your Home for Energy Efficiency First
Another thing is not optimizing the house for energy efficiency before sizing the system. We are a Tesla and Generac certified installer. So we have access to energy saving features other companies might not have. And we have the integrity to implement them. So I usually include a hybrid water heater which decreases the energy consumption in the home. Also if you have a pool, a variable speed pool pump. These will decrease your energy usage about 20%, which means I can give you less panels, giving you a lower payment, but still covering all your energy usage. I also recommend changing all your bulbs to LEDs and checking to make sure your AC is functioning properly. Old AC units are a known culprit for wasting too much energy.
The Loan & Interest
Another thing is the loan. Many companies are giving a regular loan with a higher interest rate. We use Sunnova whenever possible because this is a special solar loan that doesn’t go against your debt to income ratio. So if you want to send your kid to college or buy another house, having this type of loan can help you get approved for those loans much more easily. We also have rates as low as .99% for solar only, and 0% for solar plus back up batteries for customers with top tier credit. These are the best rates currently available. And your Sunnova loan comes with a 25 year bumper-to-bumper warranty. We also have access to various other financing banks, but only use those as a secondary option if a customer doesn’t get qualified for Sunnova.
Battery Back-Up
And the last thing is about battery back up. Some people think that just because they have the panels that they’re going to have power even during a power outage. Unless you have a back-up battery, you will not have power if the grid goes down. We offer battery back up from Tesla or Generac. It usually costs about $60-$70 more than your solar only payment, but not more than you’re already paying on your electric bill. For maximum savings, get solar only. To be sure you always have power (if that’s important to you), then make sure you add battery back-up.
I hope this helped clarify some of the lies and misleading information that's going around. Feel free to contact me if you have any questions or click here if you are ready to move forward with a solar proposal. Thanks for visiting!
- Lisa, The Solar Girl
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