While Drews Solar does not offer in-house financing, we do have some recommendations to consider for financing your solar array, based on our customers’ experience and area opportunities:
Home Equity Line of Credit
For most homeowners, the most cost-effective way to finance their solar array is through a Home Equity Line of Credit. In addition to considering a HELOC through the institution that financed your mortgage, Summit Credit Union is also happy to offer area homeowners HELOC loans to go solar.
Refinance with a Green Mortgage
A “Green Mortgage” allows you to refinance your home and include the cost of an upcoming solar installation in the refinancing. Both Associated Bank and Summit Credit Union offer green mortgages. You can also ask your own bank or credit union if they offer green mortgages. This is a great option for homeowners who are already looking to refinance or who can take advantage of lowing their mortgage rate. Green mortgages also allow solar financing to benefit from the mortgage interest tax deduction.
Leg Up Solar Loan
WCCU Credit Union offers the Local Energy Generation Program (LEG Up) solar loan program to homeowners in Dane county and some surrounding counties. For the first year of this loan, you have 3% interest and no payments required. This allows homeowners recoup their federal tax credit and state rebate before making payments on their solar loan. After the first 12 months, the loan switches to a fixed rate loan with rates between 5% and 8%, depending on credit score and term of the loan, for a term of 3-6 years. If you are interested in exploring this option, please reach out to Drews Solar for a referral.
It may take a bit of time, but by obtaining a solar loan from your own bank or credit union, or one of the options above, you may save a lot of money over the lifetime of your loan, making going solar an even better investment.