Should I Invest in Solar Panels for My Home?

Have you ever considered installing solar panels in your home? A lot of homeowners who want to reduce or stabilize their energy costs have asked me whether or not this is a good investment. The truth is that you need to seriously consider if this is a good option for you, and you can start by determining if you hope to be in your home for over a decade. If not, installing solar panels might not be the best idea.

In today’s market, solar panels are rented or purchased. Just know that both can cause potential problems if you sell your home. Recently, one of my clients was in a transaction where the seller rented solar panels, and the buyer didn’t want to take over the lease contract. The seller was told by the salesperson that they could easily have the panels removed, but unfortunately, that was not the case.

Life happens, and sometimes you need to unexpectedly change your living situation. Therefore, know that solar panels can significantly hinder your ability to sell and take all of your equity. Yes, solar panels have value, but how much depends on the appraiser.

"Don’t have solar panels installed unless you can pay cash for them."

Overall, just make sure you don’t count on a buyer wanting to take over the payments on the solar panels. Also, be leery of salespeople. They will tell you anything you want to hear so they can sell their product, and you don’t want to get tricked into eventually having a lean on your home.

Solar panels can also hinder your ability to refinance. Many times, secondary loans have to be subordinated for a new lender to be first lien position. In this case, if rates drop and you can't get the lean subordinated, you won’t be able to refinance, which could cost you thousands of dollars in savings. Therefore, I wouldn’t recommend having solar panels installed unless you can pay cash for them. A better option might be to consider replacing your windows.

In addition, I recommend you check out this website. The government is issuing a lot of grants and assistance, which would be great if you want to upgrade some of the aspects of your home. They will give you a free inspection to check things out and see if you can save money. Therefore, visit that link to find out how the state of Florida is offering money with no strings attached.

As always, call or email me if you have any questions. I'm always happy to clear things up and make sure you have factual information to put you in a great position to succeed.