Re buying solar panels/not leasing

[Ian S]

I can come up with the money,4 years is not long to wait to replace the money banks a paying near 0% ,so its not a big lose (intress not going up that much in the next 4 years)after 4 years saving about $1800.00 a year times ( 10 year savings $ 18,000.00) 20 years $ 36,000.00 plus? Sales rep claims co. Will maintain for 20 years? To me it sounds to good to be true?

The reason leasing can compete at all with purchase is that the lessor gets an additional benefit of accelerated depreciation that is not available to the homeowner. And yes, the lessor maintains the system for 20 years although to be honest, these systems are generally very reliable with the only near certain expense being a string inverter sometime in the second decade.

If you have the purchase money available and it's getting little or no return, then purchase is your best option. The various parts have good warranties but as the owner, you'll be responsible for getting any warranty work done. BTW, sometimes you can arrange a "prepaid" lease that will be cheaper than outright purchase, include the maintenance but have no monthly payments and you don't own the system at the end of the 20 year period - although it's possible that the system would be abandoned by the lessor at that point. Lots to consider.

[J.P.M.]

I am thinking of getting solar panels installed on my home in Staten Island New York, is it better to buy or lease? Small 1200sq ft house EST. for lease 73.00 a month + utility tax + con-ed to read meter, or up front cost of 13,300,00 and no lease chg, if you go this way state rebate $5000.00 property tax rebait $2800.00 over 4 years (so I was told ?) I am paying con-ed about $ 1800.00 a year 4 years $7200.00, should be paid off in less then 4 years? Does anyone experience something like this? (This is the info. given to me by sales rep)

There are sincere, strong opinions on this forum relating to all sides of the buy vs. lease issue. I'd suggest reading threads here, doing your own research and forming your own opinions. We don't all agree and you'll see a lot of thought that went into most opinions found here - most all of it from folks with no financial interest in what they say and perhaps a good example that there are usually at least 2 sides to a story. I'd add that both leasing and buying can have some long term commitments that may be unknown or not considered by the prospective owner and perhaps not brought up by the seller. Also a solar commitment either way may not be entirely about money. Study, read, learn, think long term, ask questions and keep asking until you understand the answers. Be deliberate. Don't be rushed. Also, as Russ suggested, nothing is as cost effective as conservation before solar. Do that first. It's not as sexy as solar and lacks the "me too" factor, but solar can almost never compare to conservation for cost effectiveness . Buy or lease ? Either way, it can very well be a long term commitment worthy of some careful, objective thought about what your goals are and where you want to be in 5/10/15/20 yrs.

Caveat Emptor.

By the way: Doing nothing is also an option.

[TJBOB]

Re buying solar panels/not leasing

I can come up with the money,4 years is not long to wait to replace the money banks a paying near 0% ,so its not a big lose (intress not going up that much in the next 4 years)after 4 years saving about $1800.00 a year times ( 10 year savings $ 18,000.00) 20 years $ 36,000.00 plus? Sales rep claims co. Will maintain for 20 years? To me it sounds to good to be true?

[russ]

There is a lot of discussion on this forum about leasing vs. purchase. Which is right for you depends on your individual financial situation and how you view the tradeoffs in each approach.

Ian gave you an excellent analysis of the situation - much depends on your financial situation and outlook. Some of us prefer only to but while others prefer the lease route.

Here in Turkey where we have no incentives and duty added none make economic sense unfortunately.

Keep in mind - the very best cheap power available is through conservation. Sealing the home and other steps can save many kW much cheaper than any panel on the roof.

[Ian S]

I am thinking of getting solar panels installed on my home in Staten Island New York, is it better to buy or lease? Small 1200sq ft house EST. for lease 73.00 a month + utility tax + con-ed to read meter, or up front cost of 13,300,00 and no lease chg, if you go this way state rebate $5000.00 property tax rebait $2800.00 over 4 years (so I was told ?) I am paying con-ed about $ 1800.00 a year 4 years $7200.00, should be paid off in less then 4 years? Does anyone experience something like this? (This is the info. given to me by sales rep)

You should talk to this guy who's in your neck of the woods. With the incentives available to you, either leasing or purchase can work out financially. Do you have the cash to front the purchase and wait for the incentives? If so, is what is that money earning currently for you? Over the long term, you will likely save more money by purchasing and will end up owning the system for certain after 20 years but leasing has the advantage of not requiring the upfront payment - you're ahead of the game from the get-go - and any repairs and maintenance are the lessor's responsibility not yours.

There is a lot of discussion on this forum about leasing vs. purchase. Which is right for you depends on your individual financial situation and how you view the tradeoffs in each approach.

[TJBOB]

I am thinking of getting solar panels installed on my home in Staten Island New York, is it better to buy or lease? Small 1200sq ft house EST. for lease 73.00 a month + utility tax + con-ed to read meter, or up front cost of 13,300,00 and no lease chg, if you go this way state rebate $5000.00 property tax rebait $2800.00 over 4 years (so I was told ?) I am paying con-ed about $ 1800.00 a year 4 years $7200.00, should be paid off in less then 4 years? Does anyone experience something like this? (This is the info. given to me by sales rep)