There are both advantages and disadvantages of leasing solar panels; a person who is considering leasing should weight these and make a well informed decision. Solar power is gaining in popularity and its use is becoming more common. More and more people are turning to solar power as the source of energy for their homes and even places of business. This is good, as it is environmentally friendly and using it can in fact save a person a lot of money every year.
Since many people cannot afford the upfront costs of solar paneling, many companies offer to lease the panels out. Those who lease solar panels have found that their electricity bill has gone down by as much as 15%. Those who are concerned about the environment will also gain the knowledge that they are doing their part to help save the planet. While buying solar panels is expensive, it does not cost much to lease. The company will not only install them, but also handle all the repair work and maintenance work.
On the other hand, there are disadvantages and pitfalls to leasing solar paneling. First of all, it is very hard to sell a house that has a solar panel lease. Most lease agreements last at least a decade; this means that the buyer would need to assume the lease for the remainder of the lease agreement. As most buyers do not want to take on such an agreement, a homeowner would either have to break the agreement and pay a hefty price for doing so or lower the selling price of the house in order to attract a buyer.
If you buy the solar panels outright, you stand to gain some benefits that would not be available to you if you leased. If you own them, you may qualify for a significant rebate from your state utility company. If you buy them, you can also get a generous tax rebate from the government. Furthermore, one can earn renewable energy credits (also known as RECs) which can then be sold. However, you will not get any of these benefits if you lease. If you lease instead of buy, then the company that owns the panels gains all of the above mentioned benefits, not you.
While solar panels have been available for sale for many years now, the concept of leasing instead of buying is relatively new. It is an attractive prospect, as many homeowners would like to have solar panels but cannot afford to purchase the panels, install them and keep them properly maintained. There are both advantages and disadvantages of leasing and it is important to be aware of the pitfalls of leasing them from a company. Anyone who is considering selling his or her home in the future will want to avoid leasing. For many people, however, the benefits to the environment are worth the cost and leasing can be a way to make it more affordable. Just be sure you know what you are getting into before you make the leap.