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Why Are Floridians Slow To Go Solar?

Why Are Floridians Slow To Go Solar, Florida Solar Report,

Why Are Floridians Slow To Go Solar? The answer to the question is the way solar is being marketed. There are no dominant industry leaders; just a bunch threw together ragtag get-it sold companies. The approach that these companies use across the board is based on the car dealership model. The solar industry is predatory, looking to sign anybody up that has a pulse. So I know predatory sounds harsh, but I witnessed predatory behavior. I consider taking advantage of people’s lack of knowledge as predatory behavior, but many salespeople did not. I saw some people making money as they’ve never had before in their lifetime, but many lied to accomplish that. The home solar industry is transitioning to the actual installation contractors owning solar companies that offer contractor pricing. The key with solar companies is the quality of work the installers do, because some are better than others.

Customer Experience

The following is an example of how the solar industry presents solar to potential customers. The solar salesperson follows up on a lead provided by the solar company. The salesperson then sets an appointment for about an hour, but it easily can lead to two to three hours.

So a homeowner has a sit down with a sales rep for a couple of hours to be subject to a high-pressure close. The bottom line is it’s not a very pleasurable experience for the customer, lots of pressure.

Then there are the shoppers who sit down with 2 or 3 different companies, but it doesn’t matter because they have the same experience with all three companies. Potential buyers do have great instincts, and because of that, the majority don’t go any further. They can sense there’s something not quite right but not really sure what it is? They want solar, but they can’t justify a twenty-year finance plan. But now, there’s a better way to go solar and pay wholesale for everything.

Companies are Closing and Re-Opening Under Different Names

Then there’s the additional fact that two-year-old companies are claiming a twenty-five-year warranty. For a fact, many of these companies have opened and closed, then re-opened under a different name. Just another reason Why Floridians are Slow to Go Solar?

Less Than 2% of Homes In Florida are Solar Powered.

As it stands in the first three years of home solar in Florida, less than 2% of homes are solar-powered. I believe the reason for such low participation in Florida is because of the business model the solar companies use. The solar industry business model creates far too many additional costs for the consumer.

Something has to give for more homeowners to go solar in Florida. Interestingly enough, I observed politics does not play a role in whether people choose to go solar or not. Regardless of customer’s politics, they all love the idea of solar and seem to believe in it. Floridians want solar they want a return on investment, not a wash.

Same Equipment

Now there’s a way to go solar and have the same equipment and installation and save $6000 to $10,000 by hiring a solar advocate. “Your Solar Advocate” is a solar consulting firm that walks you through every step of the entire process. Hiring a solar advocate is a better way to go solar.

The business model that solar companies use is a deterrent for people going solar; it increases costs dramatically. This is the primary reason Why Floridians are Slow to Go Solar. I do believe the Idea of solar advocacy in 2020 could be a game-changer for the solar industry.

Complete System Wholesale Cost Breakdown for Florida

The smallest system that I or any installer would recommend is a 7K system. That’s 30 Panels, give or take, depending on the wattage. Figure the panels cost $240 each, that’s $8,000 adding in shipping. Then add in the cost of an inverter which is about $1,200. That’s a total of $9,200: permits, Installation, and miscellaneous costs at $3,100. Your total cost is $12,300, and I sold this system for $24,500 to $26,500. This is using the same quality panels and inverter all the solar companies use.

Now deduct your ITC (Solar Tax Credit) of (26%) $3,200 from $12,200, and your total out-of-pocket cost is $9,000, but the cost is a minimum of $24,000 if you hire a company to do it. Then deduct your tax credit of $6,200 from 24,000, and your net cost is $17,800. So that is a factual savings of $8,800 on a 7K system.

This comparison is based on a top-quality system with the best-manufactured state-of-the-art solar panels and String inverter.

A Typical Solar Company's Proposal

Add-Ons To Every Solar Proposal Cost of Add-Ons
The Cost of Salesperson $3000
Sales Manager $1500
Proposal Builders and Permitting Department $1000
Overhead: Rent, Auto Insurance, Vehicles, and Utilities $1000
Cost of Leads and Marketing $1000
Points for Low Interest 20 Year Loan Terms
(Frequently Hidden Cost)
Solar Panels, Inverter, Installation $17,000
Solar Company Profit $5000
Total $32,000
Solar Companies Overhead Costs,
Add-Ons To Every Solar ProposalCost of Add-Ons
The Cost of a Salesperson$3000
Sales Manager$1500
Proposal Builders and Permitting Department$1000
Overhead: Rent, Auto Insurance, Vehicles, and Utilities$1000
Cost of Leads and Marketing$1000
Points for Low Interest 20 Year Loan Terms (Frequently Hidden Cost)$2500
Solar Panels, Inverter, Installation$17,000
Solar Company Profit$5000
Your Solar Advocate Target Price $2.75 a Watt Totals for 7K$19,250
Tax Credit – $5,005
The net Cost Is $14,245

Many Consumers Need Questions Answered Before Meeting With A Solar Company

How do I know what to buy or where to go to buy the materials? How do I find a solar installer? Does the installer pull permits? How do I know what size system to buy? Should I buy a bigger system than I need or a smaller system than I need? Your Solar Advocate can answer these questions and more.

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