How to Save (Even More) with a Solar Loan

Thinking of going solar but unsure of the best financing options? You might want to consider a solar loan that allows for reammortization. This powerful tool can dramatically reduce your monthly payments and maximize your solar savings, putting more money back in your pocket.

What is Reammortization?

Reammortizing allows you (the borrower) to put a lump payment towards the principal (i.e. the cost of the system) to lower your monthly payments. By making a principal-only payment, you effectively reduce the outstanding loan amount, resulting in lower monthly payments and less interest paid over the life of the loan. It’s an ideal way to leverage the 30% Federal Tax Credit and other financial incentives for ultimate solar savings.

Let's Dive Deeper:

Picture a $50,000 solar system with a 7.99% loan, costing you $438 per month. Now, remember the 30% Federal Tax Credit? That’s a cool $15,000 (30% x $50,000) coming your way after your solar installation. Remember, always check with your accountant about the Tax Credit!

Use the $15,000 to pay down your loan principal. Your new monthly payment shrinks to $307, $131 less than before! This saves you over $1,500 a year! Any amount you can also put down will also help lower that monthly payment. Consider applying additional rebates, like your Clean Energy Rebate, and even your energy credits earned through solar production. Each lump sum payment towards the principal translates to even lower monthly payments and further interest savings.

Choosing the Right Partner:

Reammortization options vary by lender. Some loans automatically apply the tax credit, while others require manual action. Some offer multiple reammortizations, while others have limitations. It’s crucial to choose a lender that aligns with your financial goals and offers flexible reammortization options.

Unlock the Full Potential:

Our Energy Advisors are here to guide you. We’ll help you compare loan options, understand reammortization strategies, and choose the perfect fit for your unique needs. Don’t wait to maximize your solar savings! Contact us today and turn your sunshine into financial benefits.