COLORADO SPRINGS, Colo. (KRDO) – 300 days of sunshine in Colorado. This is the calling card for investing in photo voltaic panels on your house. With the inflow of out-of-state photo voltaic corporations flocking to sunny Colorado to get your corporation, how are you aware if it is a worthy funding for you?
You’ve most likely heard the gross sales pitch: photo voltaic panels can prevent a whole lot of {dollars} a month in your electrical invoice, and in the event you go photo voltaic, you may haven’t any electrical invoice.
KRDO13 Investigates discovered that each of those claims could be a method to get your corporation with out telling you the entire story.
One key to having solar energy is to position it in your house in an space that will get most solar publicity all through the day.
“If you have got a superb south-facing roof and also you’re in an space with excessive electrical energy charges. It has a really fast payback interval,” stated the Co-owner of Steel City Solar in Pueblo. West, James Brown stated.
Homeowners who select photo voltaic will nonetheless have a month-to-month utility invoice. However, consultants say will probably be a lot much less as soon as the panels are up and working, banking energy each day throughout days with cloudy skies.
“Down to $10 in an ideal world. But you then’re paying typically greater than what your invoice is initially for the primary 10, 15, 20 years,” stated Devin Moeller, Senior Renewable Energy Manager for Black Hills Energy.
Although decreasing your month-to-month utility invoice is a worthwhile endeavor in the long run, Moeller says shoppers ought to contemplate the whole price ticket of buying a photo voltaic system and evaluate that to their month-to-month utility invoice each month.
The common photo voltaic system prices wherever from $16,000 to $30,000, based on Steel City Solar. Most individuals take out this mortgage, much like financing a automotive buy. It has some enticing tax advantages, resembling a federal tax credit score.
“I’d say that perhaps 5 to 10% of individuals perceive the tax credit score and what it may be used for. It’s a legal responsibility offset and never a credit score in your buy worth,” stated Moeller.
The key there’s tax legal responsibility. You should owe not less than 30% of the worth tag of your photo voltaic system in federal taxes to obtain the credit score.
“Assuming you have got the suitable tax legal responsibility, that tax credit score can offset that. You can profit then and use the credit,” stated Moeller.
This useful tax credit score just isn’t accessible to individuals who select to lease photo voltaic, as an alternative of shopping for it outright, by paying it ahead with money or by borrowing it. If you select to lease photo voltaic, by means of a so-called energy buy settlement, the photo voltaic firm is definitely the one reaping the tax credit score advantages. This is commonly the rationale why photo voltaic consultants advocate towards the leasing possibility.
“It’s often a legal responsibility,” Colorado Springs realtor Shelly Roehrs stated.
The Roehrs have a special opinion on the worth of investing in photo voltaic panels. He admits photo voltaic is not an asset till it is absolutely paid off, and if it isn’t paid off once you promote your house, it might price you.
“Some photo voltaic panel loans, the loans are non-transferable, which implies you both should pay it off at closing or your purchaser has to determine tips on how to pay that off at closing,” Roehrs stated.
Common floor for realtors and photo voltaic corporations agrees that solely people who find themselves of their endlessly houses ought to contemplate it.
“If you are going to be in your house for 3 to five years, it isn’t a good suggestion. Not a good suggestion,” Roehrs stated.
With the event of the photo voltaic business, it has by no means been extra essential to discover a dependable and reliable firm to put in the panels.
“I’d say now we have 80 installers lively inside our service territory and doubtless 90% of these are from exterior the realm, from the state of Colorado,” Moeller stated.
The Better Business Bureau of Southern Colorado stated KRDO13 Investigates There are solely six photo voltaic corporations which can be each licensed and educated to put in photo voltaic panels.
These corporations are:
- Absolute Comfort, Inc.
- Adams Electric, Inc.
- Alternative Power Solutions
- Garman Energy Consultants
- Proudly American Electrical & Solar
- Steel City Solar LLC
This is why consultants advocate getting a number of bids, studying on-line opinions, and double-checking the licenses of the businesses you are contemplating. More importantly, they are saying it should by no means pay for a complete photo voltaic undertaking up entrance.
“Choosing a superb native contractor with a service base, like your plumbers, your native electricians, they will repair your lights as a result of they put your lights in,” he stated. Tyler Surat, co-owner of Steel City Solar stated.
Surat, Brown, and Moeller all advocate going native on your solar wants. They say this enables for simpler set up, same-day repairs, and a decrease likelihood of getting caught when a contract is signed.
“Treat it such as you’re shopping for a automotive otherwise you’re looking for a home,” Moeller says.
