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Updated almost 2 years ago,
In Southern California is it worth it to agree to a solar power purchase agreement?
My electric company, Southern California Edison, is changing its net metering rules to become very unfavorable to new solar customers. If I get solar before April 14th, I'm grandfathered into the current rules (NEM 2.0) for 20 years, and it is much more favorable to me.
I'm looking at a 6.4 kW/10,000+ annual kWh system under a power purchase agreement (PPA) for $155 per month with no escalator. It is cheaper than ownership because I do not qualify for the 30% federal tax credit.
My question is, if I want to sell my house (I live in Victorville, CA), will the PPA contract grandfathered in at NEM 2.0 be a problem to pass on to the buyer, or will I lose a lot of money paying off the PPA?
I realize we might be entering some difficult times in Real Estate, and that some home improvements don't pay for themselves when you sell. I've read that PPAs are a hard pill to swallow, but this PPA has no escalator and will be grandfathered into more favorable net metering rules.