FAQs
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Unlike other consultants you may have spoken with, I am not a high pressure salesperson. I am here to answer your questions and simplify the process of helping you to determine if solar is a good option for your home.
As an independent consultant, I have a list of trustworthy and experienced installers I use on a regular basis. I enter your electric usage data into the various companies to determine where I can secure the best products and wholesale pricing for your project.
Every home is a little different from the next one. Having multiple installers at my disposal allows me to present you with the best prices for top-notch equipment.
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It might surprise most people to know that solar is actually the least expensive option to get energy in many parts of the United States. Now one of the most common concerns about going solar used to be “How will I find the money to pay for the system?” because it meant finding the cash for the whole system upfront. These days, it is often easy for most homeowners to get $0 down financing and begin saving money as soon as we flip the switch to their new solar energy system.
In addition to lower monthly costs, a federal Solar Investment Tax Credit (ITC) gives homeowners a sizable rebate on their federal tax return in the amount of 30% of the value of the solar energy system. The ITC is a big part of the value proposition of going solar. A simplified way to look at it is: If you purchase your system for $30,000, you are eligible to get a $9,000 tax credit when you file your income tax return for that year. So, not only do you get to lock in your electric price going forward, you also get a huge tax credit from the IRS. Seriously, does it get much better than that?
For more articles about this tax credit (click here).
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This is really what is comes down to, right? Will I pay less for solar than I pay for my electricity? Going solar normally gives our customers a lower monthly payment than their previous utility bill. Each year the utility company increases their rates approximate 4-6% but your savings will continue to grow exponentially because you’ve locked in your lower bill for the life of your system. Even better, when the system is paid for, your generation of electricity becomes FREE. No utility company is ever going to offer you free electricity!
$0 down loans from our finance partners give you the option to purchase the system. For customers that prefer not to take out a loan, a Power Purchase Agreement (PPA) is an excellent alternative. Once the solar system is installed, you will pay a lesser amount than what you were paying your utility company. Note: In this instance, because you are not purchasing the system, you cannot claim the federal tax credit; however, you can still benefit significantly from lower monthly utility costs.
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Obviously not every home will benefit financially by making the switch; however, there are a surprising number of homes that do benefit substantially. These are the three main factors that we analyze to determine if you’re one of the homeowners that will benefit:
• First, we look at your home’s sun exposure. Will your solar panels get enough access to the sun? For this we use satellite images and specialized software to make sure you’ve got proper solar exposure. If the percentage is high enough, you’re good to go!
• Next, we look at orientation to determine what direction your panels should be facing. For the most sun exposure, we like to have the panels facing South or West.
• Finally, we look for any structural issues with your house or roof that would make mounting the panels problematic. We verify all the specifications and requirements prior to installation to be certain your system will pass inspection
It’s important to work with solar professionals that have your best interest in mind – not people just trying to make a quick sale. We take great pride in always providing complete, honest, and accurate information so you can feel comfortable making a well-informed decision about your options – not pressured to make a hasty decision.
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Net metering is the policy that really enables your solar to work for you. In most states, there is a policy that says for every kilowatt hour that you put into the grid, you will receive a credit for that kilowatt hour. So, if your solar system produces 10-kilowatt hours of energy, and it puts those 10-kilowatt hours into the grid, that’s 10-kilowatt hours you get back. This is really important because your solar system produces energy during the daytime, but you use energy during the nighttime as well. How it works is that during the daytime, you put a lot of energy into the grid, and it goes “on account” to be used later when you are not producing electricity. So, you’re banking all those credits. Then at night (or on a cloudy day), you pull that energy off the grid, and you use all the credits you accumulated at no extra cost.
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My customers are sometimes surprised to learn that adding solar to your home will typically increase its value by at least 4%. The reason for this is that solar is a home investment that actually produces income. Your solar energy system generates electricity and there is value for each kilowatt of electricity it produces because you no longer need to purchase those kilowatts from an electric company. The next homeowner will benefit from the value of those savings in the future as well. Going solar today not only provides you with economic benefits today, but also increases the resale value of your home tomorrow.
For articles supporting the increase in home value (click here).
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• Take back control of your electricity from the utility company
• Spend less for solar energy and the energy you need for your home than it currently costs you to get that from your utility
• Lock in the cost you pay for your electricity so you can permanently eliminate the typical 3-5% annual increase each year
• Significantly increase the value of your home
• Do the right thing for our environment
We have your best interests in mind. We want to save you money. We want to help you feel proud of how you power your home. And we want to get you all the best equipment and best technology to set you up for the future. We make it incredibly simple for you by handling the entire project from start to finish. Let us help you save money and accelerate a sustainable energy future for mankind.
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The owner of the solar system will receive an SREC for every megawatt-hour of energy produced by your home. The Solar Renewable Energy Certificate or SREC will consist of a dollar value that can be sold at the market for SREC. A simple explanation would be is if your solar system makes 10,000 kwhs annually, this means you would receive 10 SRECs a year which is 1 SREC for every 1,000 kwhs you produce. In Maryland you can currently get up to $55 an SREC, and in PA and VA rates are generally around $30-$40 per SREC. Of course DC is the number 1 SREC spot in the nation which currently is around $400 per SREC!
In SREC state markets, the Renewable Portfolio Standard (RPS) requires electricity suppliers to secure a portion of their electricity from solar generators. The SREC program provides a means for Solar Renewable Energy Certificates (SRECs) to be created for every megawatt-hour of solar electricity created.
The SREC is sold separately from the electricity and represents the "solar" aspect of the electricity that was produced. The value of an SREC is determined by the market subject to supply and demand constraints. SRECs can be sold to electricity suppliers needing to meet their solar RPS requirement. The market is typically capped by a fine or solar alternative compliance payment (SACP) paid by any electricity suppliers for every SREC they fall short of the requirement.
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With the Federal Investment Tax Credit (ITC), homeowners can reduce the cost of their system by as much as 30% as long as they: purchase or finance the system, and meet the Federal tax requirements.
An example would be a homeowner that makes $100,000 and they pay $15,000 in Federal taxes for the year. Solar system costs $30,000, multiply this by 30% which is the Federal ITC, refund back on taxes for going solar will be $9,000 just for the solar portion (not including any other refund you may be receiving). Since you paid $15,000 in Federal taxes and the ITC amount is $9,000, this means you should receive the full 30% of the solar costs. However the credit can be rolled forward to subsequent tax years if necessary.
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Because there are no moving parts, solar panels don’t require routine maintenance. In the rare case that a panel becomes defective, all of our manufacturers will replace the panel under their warranty
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You want to be prepared for any potential issues, right? Most companies provide some type of warranty for their solar energy systems but some are lacking in areas where we offer greater protection. Let me break it down for you and explain the three different types of solar warranties:
• The first warranty is on the panels. When you buy a solar energy system, the panels are typically warrantied for 25 years. What that means is the manufacturer guarantees the panels to work for 25 years and continue to produce power. Now, depending on the panel you buy, that production guarantee ranges between 84% and 92%. In most cases, the more premium the panel, the more efficiency there will be as the panel ages.
• The second type of warranty is on the inverter. This is the component of your system that transforms the direct current (DC) energy from the panels into usable alternating current (AC) that is used to power your home. Most of our inverters are warrantied anywhere from 12 to 25 years.
• The third part of the warranty covers the roof. The roof warranty varies with each installation partner. Ask for more details based on who your installation company will be.
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We will inspect your roof before installation. Once you agree to sign up for solar, the next step is we send out a survey team to get up on your roof to do a full inspection to check for any existing soft spots and wear and tear of shingles. If a new roof is needed first, we will let you know. At this point, if you are unable to pay for a new roof, then we will simply cancel the agreement.
If you decide to have the new roof installed, then great, we’ll continue with the project and obtain the permit approvals while you work with your roofer to get the new roof installed. We can also connect you with a roofer and simply add the cost into the loan if you prefer. This helps prevent a large out of pocket expense you would have with or without the solar.
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Most roofing companies are familiar with solar and will work with your installer to schedule the removal of your panels so roof work can begin. Once the new roof is installed, the solar company will agin be called out to re-install your solar panels for a minimal fee.
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There is no definite answer for this because every home’s energy needs are different. Consider the following situations to help you decide if you think a battery backup system would benefit you:
• Providing backup power: Installing a battery will allow you to have electricity in your home even when your utility company can’t provide it. This is most often helpful in times of natural disasters - hurricanes, tornados, snow/ice storms, fires, or even power grid overload.
• Avoiding peak rates: If you live in a region where the utility company charges a higher rate for power during certain parts of the day, you can often save money by installing a battery. You would benefit from using stored power from the battery during more expensive times of the day. In many regions, net metering policy allows you to save money without the need for the battery, unless you want the peace of mind that comes from knowing that your home can provide electricity even when your utility company can’t. We can provide a detailed proposal of exactly how much a system will cost with a battery if you’re interested in one.
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If you would like to sell your home before your solar loan is paid off, your lender could help you transfer the balance of the agreement to the new homeowner. However, a more common option is to add the value of the balance of your solar agreement (or more) to the asking price of your home and use the proceeds of the transaction to pay the system off.