The upfront cost of installing a solar system can turn some homeowners away. However, with a solar lease, you can install a solar system on your home and pay little to nothing out of pocket.
You typically need no money to install the system, and it can even allow you to benefit from the extra power produced through your system. So, what else do you need to know about solar leases in Arizona? Keep reading for a detailed breakdown of what this is all about.
What is a Solar Lease, and How Does It Work?
Solar leasing typically works like a car lease. Homeowners pay the solar leasing company a fixed amount each month to use the panels, although they don’t actually own the panels. However, they can use the energy the panels produce, which ultimately reduces their electricity bill.
Once you decide to secure a solar lease, you’ll swap your electricity bills from your utility company with a monthly payment to your solar leasing company — ideally at a lower price. Most of these solar leasing companies are independent of solar installers, but they work closely with solar installers since they’re responsible for designing and maintaining solar panels.
You must adhere to the solar leasing terms of your preferred company. Every solar leasing company has its terms for their agreement, with most leases lasting for 20 years or more. The lease terms may include regular maintenance schedules, requiring you to pay more for every year’s lease. That’s why you should take time to assess and understand these terms to abide by them throughout the lease timeline comfortably.
What are the Pros of Solar Lease?
A solar lease offers the best way to offset your electricity bill with solar panel systems at the most affordable price. You can get in with zero out-of-pocket costs and pay a lower monthly bill than your electricity bill. Other benefits of a solar lease include the following:
- The solar leasing company usually takes responsibility for maintaining the solar system
- The lease typically lasts as long as the solar panel’s lifespan
- You’ll be paying a predictable amount every month, contrary to electricity bills that fluctuate from time to time
What are the Cons of Solar Lease?
Although solar lease offers an affordable solar solution for most homes, it has a few cons. Some of these disadvantages include:
- You cannot enjoy solar tax incentives. These go to the solar leasing company since they own the solar panels.
- Lower long-term savings compared to buying a solar system
- Possibility of price escalation (although this varies from one company to another)
- Difficulty in selling your home
Partner with Solar Optimum for Your Solar Lease
Solar leasing is undoubtedly the most affordable way to get a residential solar system. It offers low-cost monthly payments compared to typical electricity bills and guarantees reliable, clean power for your home.
Partnering with Solar Optimum guarantees access to the best solar systems on the market and a seamless installation and maintenance process. We’ll also help you find a solar leasing agreement that suits your financial needs. Contact us today to learn more about our services.
