Quote from SunRun (Rec Solar) for a purchased 12.48kW system

[solarinsnj]

So I was at Costco the other day and SunRun had a rep there. I live in S. Jersey and electricity from PSE&G is about 0.18kwh.

I had a rep come out to our house and he sized a system up for me

12.48 kW system for a yearly production of 12,371kWh and said it should cover about 95% of my usage after looking at my utility bills

They will place 48 panels on the roof (South facing with some shading) The panels are REC Solar REC260PE and the 2 inversters are Power-One PVI-5000-OUTD-US-A (240V)

The total system cost is $42,500 cash before the federal 30% (They have a financing option but it's not worth it)

With the costco saving and tax credit the final price is $28,770

After we start to produce I would then get 12 SREC's a year and at a value of about $130 each would net $1560 yearly so with a yearly avg of about $2000 for electricity it would take about 8 years to pay off.

Two questions

Is $42,500 a fair price for this system.

If I was to sell in 4 years I'd be out $15,000 would my house be worth more because of the panels? I've read through some threads and articles but would like some advice.

Thanks

[zhyue2003]

So I was at Costco the other day and SunRun had a rep there. I live in S. Jersey and electricity from PSE&G is about 0.18kwh.

I had a rep come out to our house and he sized a system up for me

12.48 kW system for a yearly production of 12,371kWh and said it should cover about 95% of my usage after looking at my utility bills

They will place 48 panels on the roof (South facing with some shading) The panels are REC Solar REC260PE and the 2 inversters are Power-One PVI-5000-OUTD-US-A (240V)

The total system cost is $42,500 cash before the federal 30% (They have a financing option but it's not worth it)

With the costco saving and tax credit the final price is $28,770

After we start to produce I would then get 12 SREC's a year and at a value of about $130 each would net $1560 yearly so with a yearly avg of about $2000 for electricity it would take about 8 years to pay off.

Two questions

Is $42,500 a fair price for this system.

If I was to sell in 4 years I'd be out $15,000 would my house be worth more because of the panels? I've read through some threads and articles but would like some advice.

Thanks

cost per watt is about $3.4 before tax credit, which sounds pretty good to me, but I am not familiar with the brand for the panel and inverter though. How much of a costco savings it offers?

[thejq]

I believe REC solar panels are made from polysilicon while most other residential panel makers use monosilicon. Not a big deal if you have lots space, since Poly is cheaper and less efficient. At $3.4/W, you can get SolarWorld + SMA or Enphase inverters. I think you can get the price down a little more since Sunrun is part of REC solar. I also got quotes from Sunrun but it was significantly higher than my quotes (with SolarWorld panels). Since you pay through Costco's system, you get 1% on your Amex and 1% on executive membership plus 1 yr of free membership. Lots of people think because they sell through Costco, Costco will back their quality and warranty, but in fact, they're completely separate. Costco will not help if you have problem with Sunrun or REC solar panels.

[silversaver]

They pay Costco on monthly basis to get your business as Costco member. I would only buy products from Costco, not Service done by third party.

[russ]

They pay Costco on monthly basis to get your business as Costco member. I would only buy products from Costco, not Service done by third party.

100% agreed - plus 1% isn't worth bothering with

[Tyler]

I have found the best way to know if you're getting a good deal it to get several quotes. Since you're looking to purchase it will save you time as you won't have to go through the lease presentations. There are a lot of variables, but get more quotes and it will become easier for you to know if the deal you were offered is a good one.

When it comes to value added to your home it depends on your area and what the market is doing at the time you want to sell your house. I live in AZ and when I ran a comparables before deciding I determined it did not add value. Others have different opinions though. The way I thought about it was when someone goes to a realtor and she ask what they want in a house, number of bedrooms, pool, single story,... there is never the question of do you want solar. I made my decision on what is best for myself and gave me the best return now. Just my two cents on the appreciation factor.

[J.P.M.]

I have found the best way to know if you're getting a good deal it to get several quotes. Since you're looking to purchase it will save you time as you won't have to go through the lease presentations. There are a lot of variables, but get more quotes and it will become easier for you to know if the deal you were offered is a good one.

When it comes to value added to your home it depends on your area and what the market is doing at the time you want to sell your house. I live in AZ and when I ran a comparables before deciding I determined it did not add value. Others have different opinions though. The way I thought about it was when someone goes to a realtor and she ask what they want in a house, number of bedrooms, pool, single story,... there is never the question of do you want solar. I made my decision on what is best for myself and gave me the best return now. Just my two cents on the appreciation factor.

Sounds like a voice of reason.

On value added: Something is only worth what someone is willing to pay. No more, no less.