HDM Sales - Overcoming Objections
The Customer Needs Clarification
I’d like to have just one monthly payment
You will. Going with HDM will not create a second monthly payment. If you were already planning to finance your project, you will still have a single monthly payment.Because HDM funds 15, 20 or 25% of the project, the loan will be smaller and so will the payments.
Can I still file for the federal tax credit?
Because HDM will be the system owner, you will not be eligible to claim the tax credit.
HDM monetizes the ITC now. Due to the complicated nature of the tax credit, it’s unlikely a homeowner will use the proceeds to buy-down their loan payments. Monetizing now is the clear choice.
Customer Objection
Why is it a 20-yr prepaid? My solar loan is for 25
The HDM Prepaid is a separate agreement from any loan you may secure to pay for your project. The PrePaid PPA price is the value of the system production over 20 years.
However, you may secure a loan with a term that is the same or different from the PPA term. Since your loan will have its own agreement, it can be different.
Will you take out a lien on my home?Will this complicate a home sale?
The system will not be subject to any lien. HDM will file a UCC-1 with the city or county, which confirms HDM’s ownership of the Solar System.
This filing will not complicate a home sale if and when you choose to sell your home. At your request HDM will provide you with an assignment agreement which will transfer the obligations of the HDM agreement to the new homeowner.
This sounds like it will complicate the future sale of my homeThe transfer process is simple. The PPA will be transferred over to the new homeowner once they agree to the terms of the agreement.
I want to own my system
With HDM, ownership is easy after just six years we give you the option to buy more power if you need it.
This is the best of both worlds. You enjoy the benefits of a monetized tax credit, a production guarantee and an insured system. You only buy what you need when you need it.
If you own a system from the start, you pay full price, have a larger loan with larger payments and you take on the headache and uncertainty of the tax credit.
My neighbors lease their system. Don’t you offer a lease?
Most solar leases and monthly PPA’s have an annual escalator which increases your solar payment each year. It's likely that you’ll just squeak below your utility bill year after year.An HDM deal combined with a loan will have set payments which means long-term levelized energy costs and more savings for you.
How much will you charge me to purchase the system in the future?
HDM makes it easy for you to purchase the system after six years.However by federal tax law HDM cannot give you a buyout price. HDM will subtract the value of the remaining balance of the electricity yet to be delivered, from the fair market value of the system. Your prepayment may make this an attractively small amount.