How Do I Decide About Buying vs Leasing?
0 00:00:00.120 --> 00:00:04.180 Hi folks, this is Vincent Batt, the founder, CEO of Renova Energy Corporation. 1 00:00:04.440 --> 00:00:08.780 And today we're gonna talk real quick about the number one question that I get. 2 00:00:08.780 --> 00:00:13.260 Should I buy my system and own it or should I finance it or lease it? 3 00:00:13.440 --> 00:00:16.580 So really it comes down to just two questions You have to ask yourself, 4 00:00:16.720 --> 00:00:21.660 are you gonna stay in your home long enough to be able to enjoy that 5 00:00:21.810 --> 00:00:25.260 free solar system once the system is entirely paid for? 6 00:00:25.440 --> 00:00:30.300 Or the second question actually would be, do you have what we call, uh, 7 00:00:30.370 --> 00:00:32.580 payable to the irs? In other words, 8 00:00:32.690 --> 00:00:36.380 will you owe money to the IRS so that when you purchase the system, 9 00:00:36.380 --> 00:00:41.180 you'll be able to take advantage of the only incentive that's out there when it 10 00:00:41.180 --> 00:00:43.740 comes to adding a solar system into your life, 11 00:00:43.740 --> 00:00:47.220 which is the federal tax incentive, what we call the tc, 12 00:00:47.280 --> 00:00:51.260 the investment tax credit, which is 30% of the cost of your system. 13 00:00:51.400 --> 00:00:54.220 So if you purchase your system outright with cash, 14 00:00:54.360 --> 00:00:58.220 you get through a home equity line of credit, for example, or savings, 15 00:00:58.760 --> 00:01:02.340 you take that, you put that money down on a solar system, on average, 16 00:01:02.340 --> 00:01:06.980 you'll be spending between maybe 30 to $40,000. You'll get between, uh, 17 00:01:07.180 --> 00:01:10.820 a seven to $9,000, maybe a $10,000 tax credit. 18 00:01:10.850 --> 00:01:15.660 It's that 30% will you be able to use that to at the end of the year? 19 00:01:16.120 --> 00:01:19.140 Uh, and in subsequent years, if you don't take it all in one year, 20 00:01:19.140 --> 00:01:23.100 will you be able to use it, uh, as a tax credit to benefit yourself? 21 00:01:23.100 --> 00:01:26.660 It's a dollar for dollar credit. It is not a refund from the irs. 22 00:01:26.840 --> 00:01:30.380 So if you have a payable to the IRS of about the 9,000, 23 00:01:31.050 --> 00:01:35.300 that tax credit, because you built a renewable energy, pardon me, 24 00:01:35.300 --> 00:01:39.500 system on your roof, that will wash tax payable to the irf. 25 00:01:39.680 --> 00:01:44.380 So if you have that appetite and if you're gonna be in your home for more than, 26 00:01:44.440 --> 00:01:45.820 say, four and a half to five years, 27 00:01:46.050 --> 00:01:50.380 then you're gonna be able to enjoy the benefit of having that system paid down 28 00:01:50.450 --> 00:01:53.980 because you're, you're basically paying up front for all the energy for, 29 00:01:54.040 --> 00:01:57.540 for that system to produce for you. And within five years, 30 00:01:57.830 --> 00:02:02.380 which is the average time for a system to, to essentially pay for itself, 31 00:02:02.380 --> 00:02:04.100 that what we call the return on the investment, 32 00:02:04.410 --> 00:02:07.020 then going cash is your way for Renovo. 33 00:02:07.020 --> 00:02:11.900 About 70% of our customers will either lease or finance 34 00:02:12.200 --> 00:02:16.100 the system. Financing simply means that at the very end, you own the system. 35 00:02:16.580 --> 00:02:21.180 Leasing means at the very end you'll pay a residual value and then you will own 36 00:02:21.180 --> 00:02:24.500 that system. So it really is up to you buying, 37 00:02:24.940 --> 00:02:26.500 leasing or financing, 38 00:02:27.240 --> 00:02:30.860 but this is not a question that you'll need to solve on your own. 39 00:02:30.960 --> 00:02:35.060 We have wonderful consultants here at Renova that will be able to go through 40 00:02:35.440 --> 00:02:39.460 all, not only the engineering side of your customized solar system, 41 00:02:39.720 --> 00:02:43.500 but also the financing that is also to be customized for you. 42 00:02:43.830 --> 00:02:45.500 Every individual is different. 43 00:02:45.600 --> 00:02:49.860 That's how we treat you at Renova Energy Corporation. So Gold Solar, 44 00:02:50.200 --> 00:02:52.900 and thank you very, very much for listening in today.