Podcast - 095: Are solar panels worth it?

In this episode, realtor Anthony Luevanos and lender Angel Luevanos touch on solar panels. They interview Solar Specialist Gandhi from Echelon Solar. Echelon Solar helps about 1,000 homeowners a year save money with solar panels.

What are solar panels, and how do they work? 

Solar panels attract sunlight and convert that into electricity. Typically leads to day one savings of about 50% depending on the solar system size.

Why should someone get solar panels? 

In the last six years, utility companies have increased their cost anywhere between 8-15% per year.

If your home qualifies for solar, you can generate about 50% savings without paying out-of-pocket to set up your solar system. You are essentially price-protecting yourself from high utility rate increases.

Is my home right for solar panels? 

First, you should schedule a solar consultation to see if the savings make sense to get solar.

90% of the time, it will make sense. Then an engineer will be sent to your property to inspect the roof and electrical and see if the home is suitable for solar. 

How much does solar cost? 

Every home is going to be different. It all depends on the size of the system and the sun hours they generate. A typical solar system in California costs between $25,000 to $35,000.

Many people are going solar with zero out-of-pocket dollars, and their monthly payments will be about 50% lower than their current bill.

So if your current electricity bill is $200 monthly, expect to pay $100 monthly with solar.

What is the best way to pay for solar panels? 

For most people, a Power Purchase Agreement or Bill-swap program makes sense.

So rather than owning and financing the solar system for 25 years, many people elect the bill-swap program and pay monthly for the solar system output on their roof.

There tend to be more savings this way than going the ownership route.

What are the two recommended ways to get solar? 

Ownership: Typically, if a client owns a system, they will pay off the system before selling and increase the cost of the home. 

Power Purchase Agreement or bill-swap: Has a 100% transferability rate when you sell the property, and there is no lien.

How long do solar panels last? 

Solar panels will last well over three decades. In 20 years, expect about 86% to 92% of year-one output, depending on how you build the solar system.

Do solar panels come with a warranty? 

Yes, many solar panels do come with a 25-year warranty. At Echelon Solar they will service, maintain, monitor, and warrant the system over the next 25 years.