Besides all levels of incentives from different levels, federal, state, utilities, home owners or coporate owners may still need financing help
There are three types of financing options:
1. Loans from banks, equity loan is the cheapest ( 3.5% approx.), PACE ( or HERO, 5% approx.), Home Improvement loan ( 7% - 10%),
2. operational lease. Home owners lease and own the solar system, get federal tax incentive, make monthly payment to lease company
Home owners with high income tax bracket should take these 2 method to write off the income tax.
3. PPA or lease of solar system. 0% down, Investor owns the system and receive federal tax incentive. Home owner doesn't pay the initial cost. make monthly payment to Leasing company. Like leasing a car. PPA means to pay certain percentage of kwh produced to leasing company. can be 70% payback, saving 30% of electrical cost.
Home owners or coporate owners with low income tax use this method since they doesn't have much income tax to deduct.