Category Archives: energy retrofitting

Want Solar but Can’t Afford-Leasing May be a Good Option

Posted on July 17, 2013 | Leave a comment

I’d like to buy a solar electric system but am not sure I can afford to purchase one. Is leasing a system a better option?

I hear this question a lot. Solar electric systems have never been more affordable than they are right now, thanks to record-low module costs, generous federal tax incentives and financial incentives offered by many local utilities. Even so, out-of-pocket costs for a system that would meet the needs of a family of four for at least 30 years could run as much as $15,000 to $25,000 — or even more, depending on available incentives and the household’s annual energy consumption. Not surprisingly, a price tag like that creates sticker shock in a lot of potential customers.

Will a leased system affect the value of my home? Contact the appraisers at www.scappraisals.com for your home value questions. What happens if you want to sell your home?

Don’t despair! For those who can’t afford the upfront cost of a solar electric system, one option is to secure a loan so that you can make monthly payments. In some cases, this option can result in payments lower than your current monthly electric bill. And, as you suggested, solar leases can be another good option.

You could potentially lease a solar electric system from any third party, but it would typically be from a company that specializes in solar leases. Two such companies are SunRun and SolarCity, but you’ll want to search online to find what’s available in your area.

In general, two types of solar leases are available. The most common is an operating lease. In this case, the third party (the lessor) installs the system at its expense and is therefore considered the owner of the system. It receives all the tax benefits, such as the current 30 percent federal investment tax credit, and local utility rebates, if any. The terms of lease agreements vary considerably and are often tailored to the finances of the homeowner or business owner (the lessee). Some operating leases require no upfront payment, while others require a small down payment. The cost of maintenance and component replacement may fall on the shoulders of either the lessor or the lessee.

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Making Energy Efficiency Attractive for Owners of Older Seattle Buildings

Posted on July 4, 2013 | Leave a comment

For commercial building owners, energy-efficiency improvements have had modest appeal

Switching to less power-hungry light bulbs is relatively easy, and the payoff relatively swift. But replacing furnaces or boilers or reconfiguring the building’s shell involves sinking millions of dollars into an asset that the owner may want to get rid of long before the investment has paid off.

Will energy efficiency add value to your home? Contact the appraisers at www.scappraisals.com for your value questions; they specialize in energy efficient and residential green properties.

In a new twist, some investors, a technology company, a municipal utility and an environmentally oriented foundation have joined forces to show that major energy-efficiency improvements in commercial buildings may provide alluring new revenue to all involved.

A program at the Bullitt Foundation’s new building in Seattle is aimed at attracting the notice of commercial building owners around the country who may be reluctant to make heavy investments in such technologies. Under this plan, if they, or investors, put in the capital for major efficiency retrofits, new revenue, based on precise measurements of energy savings, will keep coming in for decades.

Currently, building owners, utilities and utility regulators who underwrite some efficiency measures remain somewhat skeptical of what are called “deep retrofits,” like swapping out furnaces, boilers or the building shell itself. This has been particularly true for older, smaller commercial buildings, which, according to a new report, account for 47 percent of all commercial real estate outside the world of malls.

Everyone Wants a Break On the Utility Bill

Posted on June 25, 2013 | Leave a comment

There are two common reactions to the sticker shock of staggering utility bills:

Some people want to reduce the kilowatt hours and gallons of oil to help the environment.

Many want to reduce consumption to help the family budget. But where does it make sense to cut back or invest in energy-saving improvements? The way to find out is an energy audit.

Will an energy audit affect the value of your home? Contact the appraisers at www.scappraisals.com for your value questions.

Live in San Diego/California? The CCSE will give rebates to qualifying homeowners for a HERS rating. Learn more at: http://energycenter.org/index.php/incentive-programs/energy-upgrade-california/hers-ii-rebates

It pinpoints areas where energy is wasted and where improvements will generate the greatest return — maybe upgrading insulation or installing a new furnace. If your old furnace is only 60 percent efficient, for example, spending thousands for a new one that runs at 90 percent will pay off quickly, and then save money for years after. Make the same investment to go from 80 to 90 percent and it might take 30 years to recoup. But most choices are not that clear-cut.

The complicated decisions are clarified after an energy audit that looks at the entire home — appliances, windows, insulation, the works. It can be conducted by a specialized contractor or by most local utility companies. Some utilities offer them free or at a nominal cost.

Contractors typically charge $300 to $500.

Pros use sophisticated equipment to check efficiencies — smoke pencils to trace air leaks, blower doors to calculate pressures in the house and duct system, infrared cameras to find gaps in insulation. But there is another option: Do it yourself. At energystar.gov, a page on home energy audits has links to resources, including available tax credits, appliance rebates, and an interactive program zeroed in on your ZIP code that helps sort through fuel use and other issues. You may not need their help for obvious clunkers like an ancient water heater. And if you’re not up for crunching energy-saving numbers, stick to the basics and the two main areas to evaluate: air leakage and insulation value.

Air leaks: Inside, look for them at gaps along baseboards, around windows and doors, fireplace dampers, access hatches to the attic and electrical cover plates — all openings that pierce the barrier between inside and outside. On windows, for instance, see if there is enough play in the sash for you to rattle them. If there’s room for that, there’s room for air leaks. For a more conclusive test, close all exterior doors, windows and fireplace flues. Turn off all combustion appliances. Then turn on all exhaust fans, or run a large window fan to suck air out of the room. This pulls outside air inside, increasing the rate of air leaks so they are easier to detect. You can feel them by wetting your finger so that draft feels cool, or use smoke. Amazon has smoke-pencil kits for $35, but you can use a makeshift version with a piece of smoldering paper, or even a candle. That makes it easier to trace the airflow and see exactly where the leak is — maybe where a line of caulking will solve the problem.