Switching to solar is a big decision, and there are several factors to consider. There’s calculating your electricity requirements and whether solar panels would be able to match. You also need to calculate current expenditures along with the initial investment for going solar. This includes the number of solar panels, their location, placement, and orientation are also pressing concerns. Apart from all these, a major question is: should you rent or buy a solar system? That’s what we are here to answer. In this article, we hope you get all the answers you desire.
Residential solar system: lease, rent, or buy
Let’s start with leasing. In this setup, you sign a lease with the agency for them to install a solar system on your roof. Instead of owning the hardware, you rent it. While this prevents you from making a huge investment or taking on a loan, you can still enjoy the benefits of going solar. However, the money that you were spending on electricity bills now goes to the agency.
The next option is to rent. You sign a Power Purchase Agreement (PPA) with the solar installation agency. Here, instead of renting the hardware, the agency mounts it on your roof. You then buy the electricity generated by the panels. Even if you don’t own a solar system, the monthly or quarterly payment is cheaper in comparison to your usual electricity bills, so you can save tons through this method.
In the above-mentioned options, you have the opportunity to preserve the environment. Both are short-term solutions and do not give you relief from monthly expenditures since you will never own the solar system.
That said, let’s discuss the third choice. Purchasing a solar system allows you to use the entire amount of electricity generated. Later on, you can even sell it off to the local grid and earn money. In short, you turn monthly electricity bills into instalments toward owning the entire equipment. After a while, you become the sole owner of the solar system and enjoy the benefits.
As you consider going solar, consider the options discussed in this article. The most important part of this journey, however, is partnering with the right agency. We, at SouthWest Sun Solar, want you to take the best decision that suits your needs and requirements by assisting you from start to finish. Get a free estimate and let our in-house experts help you make the smart choice.
