Is Solar A Ripoff?
The answer is no. Installing a Solar panel system for your home should be an easy decision to lower your electric bills and reduce your carbon footprint. Tax incentives and Net energy metering make it more affordable than ever for California homeowners to take advantage of the financial benefits of going green.
Unfortunately, some homeowners have been sold bad solar systems by inexperienced solar salespeople because they design systems incorrectly or use outright deceptive tactics. This has left those homeowners with high bills, making them wonder if solar power is just a ripoff.
How can you avoid inexperienced or deceptive practices that lead to a solar ripoff?
Leasing Vs. Owning Solar Panels For Homes
The main issue we are dealing with here is the ownership of your solar energy system. If you own your solar panels, you can reap the generous rewards from tax credits and other government-backed incentives. However, if you lease your home solar panels or sign a PPA, these financial incentives go to the company.
Solar Leases & PPAs take the value of the solar power system from the end customer and give it to the solar company. If you lease your solar panels, you merely replace one bill with another bill that increases about 3% per year — just like the utility companies, you’re trying to get away from.
When you own your solar panels, you own the benefits and replace your electric bills with a home investment that becomes an asset and adds value to your home. Go a step further and invest solar savings into a growth fund! Turning 100k spent on bills into your own growth fund to 500k over 25 years. Which sounds better — paying the utility company 100k or paying yourself 500k?
Most solar brokers and huge solar companies tend to favor solar leases. Their goal is to sell you on a lower payment, which makes leases easier to sell. Lease deals have a higher return on investment for finance companies because they allow these companies to secure the tax incentives that would normally go to the customer. With Option One Solar, even if you can’t take advantage of the tax credit, our cash and or finance program is still a better return on investment than a lease or PPA.
EPC Solar Companies rely on their reputation and customer service. Companies like us at Option One Solar have thrived by providing real value to each customer and getting referrals through word-of-mouth.
At Option One Solar, we collaborate with every customer to custom-design the best package with the highest return on investment. We believe in integrity, our words and actions are the bedrock of our business.
Read More:
Is Solar A Scam?
Don’t Sign A Solar PPA or Lease – Why They Are Bad
Net Zero & The Importance of Solar Panel System Size
What is a Solar Broker?
Solar brokers are simply middlemen, meaning they are not contractors, they can only sell solar to licensed contractors.
For the middleman to be paid, they add their share on top of normal installation costs. Many customers see unreasonable and sometimes pervasive commissions from most solar brokers.
Keep in mind — brokers have no legal responsibility for quality, warranty, aftercare, or performance. Once they get paid, they can walk away. Brokers have “no skin in the game”.
Go directly to the solar contractors. Contractors provide high-quality installations, honor their warranties, and save you money by cutting out the middleman.
As stated, solar brokers are simply middlemen that exist to increase your solar price for their own profit.
Once the deal is done, so is the solar broker. They are not the guys that you will allow into your home for the real work. Solar brokers only sell for the contractor doing the installation work. And, they are most definitely not the guys you will call for support if something goes wrong.
If you want the best return on investment,
you should avoid solar brokers.
What is an EPC Solar Company?
EPC stands for Engineering, Procurement, & Construction. They are both an experienced sales team as well as the contractors that install your system.
That means you’re dealing with the same company for the entire process of going green and living with solar power.
From sales to installation and support, each person comes from the same place and they all work together as a team to provide top-notch service to their customers.
EPC companies rarely work with solar brokers, because they have their own in-house sales team that doesn’t rely on commission for a living.
At Option One Solar, our sales team are employees of the company and highly trained experts that collaborate and guide our customers through the solar process. We want to help you decide if solar energy will work for you. If solar doesn’t make sense for our customers, we won’t sell it.
Is Solar A Good Investment?
Buying solar for your home is a great investment! Solar panels for homes can provide a number of benefits.
Solar power will increase your home’s value while providing renewable energy for a low and predictable price. You can avoid inflation and electricity rates that climb every year. As stated above, you can even invest the savings for greater returns.
Leasing solar or getting a PPA is NOT a good investment.
While it is still cheaper than electricity bills, there are no long-term benefits to a solar lease.
If you want to sell your home, a solar lease will make it harder and decrease your home’s value.
After the lease is over, you will have nothing for all that money you paid into the lease. It seems like PPAs and Solar Leases are the solar scams everyone talks about.
Have question? Give us a call and speak with one of our solar experts.
Option One, Take Your Solar To The MAX!
How To Avoid Solar Scams
There are so many solar companies out there pushing misleading ads, fake promises, and actual scams. Some companies go so far as changing their name to avoid dealing with the consequences of their lies and angry customers.
How do you avoid solar scammers? Research.
No company can escape its past. Spending a few minutes doing research on any company you want to work with can give you all the information you need. You can also ask the salespeople direct questions, such as:
- Do you have a license? / May I see your license?
- Who is going to install my solar panel system?
By law, the solar broker must disclose which contractor they’re representing during the sale!
- Can I take a look at the contract?
Make sure your contract discloses the contractor on record that will install your solar, otherwise it is illegal!
- Will I own my solar panels?
Make sure you own your panels!
- What kind of guarantees and/or warranties do you provide?
Make sure your solar contractor has been in business long enough to prove they can honor your warranties. Read their reviews.
Information and education is your best weapon when shopping for solar or any other financial investment. That’s why this website exists, we want to keep you informed, so you know that you’ve made a good decision when you go solar with us!
