Residential solar systems are typically used to save electrical energy by converting the sun’s light energy into a tangible electric source. This is then fed into the home by way of your existing electrical panel. Another application may be to use solar panels to pre-heat your home’s domestic water source. Thus reducing the amount of fuel used for this purpose. Solar technology has been on the renewable energy market for roughly 25 years. Residential solar panel applications are becoming more and more popular as advancements are constantly being made to improve their effectiveness at harnessing the sun’s energy. For those who have researched solar panel technology for their home, many find that installing them may not be financially feasible for them.

When the technology first entered the market a few decades back, this may have been the case. However, in today’s market the push for green technology is ever present and growing, making this a perfect time to invest in residential solar panel technology. With that being said, there may be opportunities to reap the benefits of this green technology by taking advantage of federal and low interest loans for residential energy efficiency upgrades depending whether or not you meet certain loan requirements. It takes but a few minutes to search for these programs. Out-of-pocket expenses to install residential solar systems can be quite costly. Although these capital upgrade costs can be offset by the amount of energy you will save, return-on-investment periods are typically very high. However, there are many outlets available to help interested parties finance their residential solar projects.

Government and private agencies alike are providing loans to those who wish to upgrade their residences. Institutions such as Fannie Mae, the United States Department of Agriculture (USDA), and the United States Environmental Protection Agency (EPA), to name a few, have such loans available for up to $300,000 should you meet their program requirements. The specific requirements vary from agency to agency. For example, Fannie Mae provides energy loans for residential solar hot water and space heating systems. This unsecured loan guarantees up to $15,000 for a term of up to ten years. The USDA provides a no-interest loan of up to $300,000 for a term of ten years provided you are a developer of rural housing. For many people, these programs provide them with an opportunity that they wouldn’t otherwise have.

It’s clear to see that sustainable green technology like solar panels are becoming more and more relevant in today’s society. Solar energy’s main purpose is to reduce our carbon foot-print and cut back on our dependency on fossil fuels. Many agencies in the United States are encouraging this model and providing incentives to utilize solar panel technologies. These low-interest loans are always subject to change so please do your homework before pursuing them. For more details and to see if you qualify, please visit the National Renewable Energy Laboratory’s website or your state’s department of energy website for more information on these helpful websites.