I'm considering installing a Tesla solar power system, including solar panels and two Powerwall lithium ion batteries. The system will power my entire home.
The total cost of the system including installation comes to about $34,300, not counting Federal or state tax incentives. Tesla works with two preferred lenders: Sunlight Financial and Mosaic. However, they said I'm welcome to borrow the funds from another lender if I wish. Sadly, for various reasons I'm not in a position to pay for this via a home equity loan or HELOC.
Has anyone had experience with either of these lenders? Or have you financed your solar installation another way that I should consider? My sense is that this type of home improvement is a special kind of lending that might not appeal to every lender. The terms Sunlight and Mosaic are offering: $0 down, 10 years, 3.99%-4.29% APR; or $0 down, 20 years, 4.99%-5.24% APR.
Curiously, a note regarding financing says, "All terms assume a 26% balloon payment before month 18. Anyone know what this means or why such a balloon payment would be required after the first year rather than up front as a downpayment?
@Anonymous wrote:@ridgebackpilot @Anonymous Thanks so much for this thread. We'll be buying a
home next year and installing a solar power system as well. This is very helpful.
Don't forget PACE funding if you live in a state that has enacted PACE legislation and made such funding available for residential customers. It's a terrific way to borrow against the value of your home with no credit check necessary.
@Anonymous wrote:I just started looking into solar but hadn't considered Tesla. Why did you decide to go with them vs another company?
I haven't decided yet. Currently I'm collecting bids from several solar companies that service my area, including Tesla. Interestingly, their proposal is quite competitive. But I'd really rather give my business to our local solar installer, who's bound to be more responsive if we have problems post-installation.
The good news is that this industry is quite competitive, which means you can solicit competing bids and negotiate the price for your installation.