Should You Get Solar Power Now, or Wait

Buy Now or Wait and See

It’s the eternal question: Buy now or wait? Assuming you want to install solar panels on your roof, should you go for it or hold off for better technology or lower prices? Some consumers are concerned that solar pricing and higher efficiencies are just around the corner. Why then, would consumer's want solar now?

The first reason is pricing has dropped from over $4.00 per DC watt to under $2.00 per DC watt in just the last two years. This is due to mass production and the ability of asian labor markets to help make solar more affordable. Most people in the industry are not expecting lower prices. We have been put on notice that there will be shortages later on this year and to anticipate higher prices until certain orders are fulfilled.

The second reason is the rebates. The California Solar Initiative started at $2.50 per watt rebate. This rebate has decreased in time and is now only $.65 per watt. By waiting, there may not even be a rebate available!

The third reason is the added appreciation to your home"s value. This may not sound exciting today, but if circumstances dictated a move in this market, the solar would be a great selling point and an option to help you realize a higher sales price. Keep in mind that the total system is only costing you $.60 on the dollar once you account for both the tax credits and rebate.

The fourth reason is inflation. With record spending and printing of money, it is not out of the realm of reason to see higher inflation. Inflation raises the cost of every thing we purchase. This not only includes solar but electricity costs as well. It is always best if you can purchase a big ticket item today and lock in your costs for tomorrow. Similar to purchasing a home. With high utility rates, most consumers see a pay back on their investment of between five and seven years. This is in the 30% internal rate of return on your money! It is hard to get that elsewhere. It also insures your current lifestyle down the road regardless of what energy costs.

Why wait to start saving money and securing your future lifestyle?

Financing is getting better in the current market and if you can lease to own, you may find that it is easier replacing a utility electric payment with a lower lease payment. Especially if the lease allows you to inexpensively buy the system after a few short years.