ReVision Now Offering Zero-Down “Own Your Power” Loan Option for Solar
Solar Power | June 9, 2014 | Posted by Fred Greenhalgh
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Sound familiar? Well, now ReVision Energy has the solution for you: our new Own Your Power zero-down, 12-yr loan available for solar energy systems and other efficiency improvements.
Effective immediately, ReVision Energy can offer financing up to $55,000 for qualified homeowners, structured as a 1-yr ‘same as cash’ loan that covers initial capital outlay until government incentives kick in, combined with a 12-yr, 2.99% fixed rate loan on the remaining balance. The program allows you to swap a monthly bill payment to the power company for a monthly installment on a solar array, which you then own free and clear at the end of the loan.
Previously, solar arrays were either paid up-front in cash or a homeowner was forced to find their own financing through a local bank or state agency. Down either path, a project could get sideswiped on the way to financing – a local bank might not understand solar well enough to want to finance it, or a state agency might require so much red tape up-front that the homeowner would give up rather than try to finish it all.
The OYP process allows a customer to be qualified for financing within about five minutes using a mobile app or via the web. Further, the funds the homeowner qualifies for can be used on any number of efficiency projects, including solar but also heat pumps and efficient water heaters.
The OYP program comes after years of ReVision trialing financing vendors, loan offers, rate structures, etc. and having dozens of financiers and loan products not live up to our high expectations. We have run numerous financial models comparing this loan to other ways of financing solar – home equity loans, unsecured loans, PACE – and determined that this program will allow households to go solar who would otherwise not have the financial means, while preserving the same peace of mind and long-term reduction in costs that come from full ownership of a solar energy system.
Why “Own Your Power?”
While the practice of solar leasing is extremely popular in much of the country, we feel that it is rarely in the solar customer’s best interest (www.solarleasedisadvantages.com).
After running the numbers ourselves, we know that any customer who conducts a full financial analysis of leasing vs. financing will conclude that a cash purchase or finance to own is in their best long-term financial interest.
Leasing gives up all the benefits you qualify for – state rebates, federal credits, SRECs, etc. – and funnels them over to the leasing company. Lease terms often include an automatic ‘escalator’ in the amount of your lease payment over time, and at the term of 20-years you end up owning nothing. Meanwhile, if you own your own solar electric array, in year 20 you would have benefited from available incentives, owned your power for the entire period, and be in a position to enjoy decades of free solar electricity from your solar array.
To learn more about the “Own Your Power” program (including specific rates, terms, etc.) please contact ReVision Energy.