Most of today’s solar installations are paid for with solar financing. Selecting a solar financing program is not easy. Many different solar financing programs are available to fund a solar installation.

Some Solar Financing Programs include:

  • Unsecured Solar Loan Program
    • No collateral pledged if homeowner defaults on the loan
    • Typically has a higher interest rate than a secured loan
  • Solar Advantage Loan Program
    • California Only Loan Program
    • Signed solar contract required for approval
    • Funding goes to solar contractor
  • Home Equity Line of Credit
    • Uses equity of the home to secure the loan
    • Offers a lower interest rate than an unsecured solar loan
    • Interest is deductible on personal income taxes
  • Fixed Second Mortgage
    • Refinance home mortgage
    • Interest is deductible on personal income taxes
    • Offers a low interest rate
    • Depending on market conditions and when the home was purchased, this can be the lowest interest rate
  • Personal Line of Credit
    • Unsecured loan
    • Interest rate depends on FICO score
  • Stock and CD Secured Loan
    • Use stock or money in a CD to secure a loan
    • Offers a lower rate than unsecured
  • PACE Program
    • Program is funded with municipal bonds
    • After approval by the city, the city pays the installer
    • No upfront cost to the property owner
    • The property owner pays for the solar system through property taxes over 20 years
    • When the home is sold, the solar system payment is transferred to the new homeowner through the property tax
  • Home Improvement Loan
    • Used to pay for a solar system and other energy efficiency upgrades
    • User for other home improvements (such as a new roof)
  • Solar Equipment Loan Program (SBA 7a and SBA 504)
    • Commercial Solar Loans
    • Allows a loan to  be paid back over a long period of time
    • Typically low interest
  • Power Purchase Agreements
    • Contract between an electricity provider and power purchaser
    • Typically, the contract is with an independent power producer
    • Electricity provider secures the loan for the solar system, maintain the system, and sell the electricity to the host
    • Allows property owners to take advantage of renewable energy without the upfront capital
  • USDA Solar Financing
  • Small Business Green Energy Loans

With so many great (and this is only a fraction of the list of solar programs available) solar finance program, it is a time-consuming challenge to determine which programs property owners quality.

Discover which programs property owners quality for with Rich Hessler Solar.

Once a property owner obtains solar financing and installs a solar system, the property owner will receive federal, state, and local rebates. By inputting all current loans (home, car, student, credit card, home improvement, etc.), Rich Hessler Solar will recommend which loan to use the solar rebate against.

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