Why Solar Financing Makes More Sense Than Leasing
by Cody McGowan, on Jun 29, 2020 5:26:21 PM
Interested in Solar Panels for Your Chicago Home? Find the Right Way to Invest!
When installing solar panels, you typically have three options to acquire them. The first choice is to pay upfront. Your second option is to pay for your panels over time with a monthly payment, eventually owning the system in full. Your third route is to lease solar panels for no money down.
However, for the most monetary benefits, solar financing is much more rewarding than leasing. Why? We’ll share the pros and cons to help you find what’s right for your Chicago, IL, home.
Why Purchasing Solar Pays Off
When you own a solar energy system, you’ll qualify for the federal solar tax credit and Illinois’ SREC initiative. The Investment Tax Credit (ITC) currently returns 26% of your solar panels’ cost to you when you file your taxes next year. This credit is only available to those who own their system and don’t lease.
Furthermore, Illinois offers Solar Renewable Energy Certificates (SREC) for every 1000 kilowatt-hour produced by your panels. You can sell these credits back to the government and use that money to further reduce panel costs.
Plus, with net metering, any excess energy your system creates will be put back on the grid, countering your energy bill and any reliance you may have on the grid (for cloudy days, for instance). You’ll end up owing little to nothing for utilities and earn money back just for owning your system.
Financing vs. Leasing
Perhaps you don’t feel comfortable investing in panels upfront. That is perfectly fine. By financing with monthly payments, you’ll still qualify for the ITC and SREC. If you lease, however, you won’t receive those monetary credits. You’ll end up spending monthly for years without any ownership in the end.
We only advise Chicago households to lease if they don’t have the tax appetite to benefit from solar credits. Otherwise, make sure your panels are yours so you can claim what you deserve.
High-End Solar Panels by Summit Solar
Our solar panels aren’t like many you may have seen on rooftops around town. We install monocrystalline black-on-black panels flush flat against the roof. Rather than leave bright silver piping on your house, we hide conduit under the roof for a sleek, clean aesthetic.
Made in the U.S.A., our panels are about the size of an American flag and will fit discreetly against your roof. We’ll perform a comprehensive shading analysis to ensure that installing solar panels will save you money. If you can't save money with solar, we won't pressure you into buying a system from us.
Are you ready for solar panels on your Chicago, IL house? Contact Summit Solar here to get started.