Mortgage lenders have a unique opportunity to help customers fund solar power systems on their properties. Both Fannie Mae and the FHA offer loan packages to help fund new systems and to pay for existing contracts. This makes it much easier on the buyer, reducing the headache that can happen with a pre-existing contract or allowing them to roll the cost of a new system into their mortgage. Fannie Mae’s HomeStyle Energy program allows borrowers to finance up to 15% of a home’s value for clean energy improvements, including solar power!
Financing solar energy along with a mortgage has many advantages for consumers. It allows them to buy the system upfront, bringing greater savings through tax breaks and allowing them to take full advantage of the cost-savings of solar energy because they are not paying a percentage to another company. It reduces the amount of interest they pay, and therefore overall cost, as solar companies generally cannot offer rates as low as mortgage interest rates. It also allows people to buy locally, since most smaller local solar companies can’t offer financing packages of their own. This often means the better customer service that comes when dealing with a local company as opposed to a large corporate one.
If you would like to know more about the advantages of solar, as well as the various financing programs available to your customers, contact us today for a FREE consultation!