Solar City ($24, up $2.33) has unveiled a new solar loan program, available in 14 states , that will allow many customers to immediately pay less for solar each month than they previously paid for utility bills and pocket thousands in additional dollars from applicable tax credits. We would like to bring you some of the Press Release that company put out yesterday. Note that according to the company, SolarCity installed more residential solar in 2015 than the next 50 competitors combined.
"We can now offer a loan that makes it possible for many customers to pay less for solar from day one, and still receive thousands back in tax credits on top of that," said SolarCity CEO Lyndon Rive. "This program will allow thousands of additional customers across the U.S. to install solar this year and start saving money immediately, and we expect to work with multiple lenders that will allow us to expand to several new states by the end of the month with the same great terms for our customers."
SolarCity's new loans have new options that include fixed payments and shorter terms. The new loans offer a range of features:
10-year loan with annual percentage rate as low as 3%.
20-year loan with annual percentage rate as low as 5%.
SolarCity's loans include the industry's best service package, including a 20-year warranty, production guarantee, and continuous monitoring.
SolarCity provides the industry's best mounting system and installation aesthetics, and backs up its agreements with the largest in-house service footprint in the industry, with 90 local operations centers.
SolarCity will provide and install a Nest Thermostat at no additional cost for qualifying customers.
SolarCity's new solar loans are available today in Arizona, California, Colorado, Connecticut, Delaware, Maryland, Massachusetts, New Hampshire, New Mexico, New Jersey, New York, Oregon, Rhode Island, Texas and Washington, D.C., and the company expects to announce new locations soon. Interested homeowners can contact SolarCity directly at 1-888-765-2489 for a free, no-obligation solar consultation or visit the company online at http://www.solarcity.com/residential.
BMR Take: OK, how about that? The stock jumped 11% today on the news. Our take is this: When we added the stock in January at $31 we expected the stock to move towards the $40 level and higher within the year. But we got side-swiped, with the stock falling like a stone to the low 20s and in fact hit $16 in February. Most newsletter companies would have sold at $25 or $20 and taken a huge hit. But WE BELIEVE in this company. So we are STAYING WITH this company. And we can see that $40 number down the road in the not too distant future. This year? Not sure, but certainly next year. With the stock at $23 that’s a nice return in our book.