The residential solar loan industry has had it pretty good. Since the first solar loan products were introduced approximately six years ago, market interest rates have been at historic lows. This has enabled most solar finance companies to consistently provide extremely affordable interest rates on loans for homeowners seeking to go solar.
When the economy strengthens, the Federal Reserve raises interest rates to prevent inflation. Since the end of 2015 the Federal Reserve has made modest increases to the Fed Funds rate, a key benchmark. However, in the last 6 months alone, as concern about inflation has grown, the Fed raised rates multiple times and it now stands at 1.75%, the highest level since 2008. Two to four more increases are predicted for 2018.
At Sungage Financial, we provide more than just a loan. We’re here to help you shine. Here are some of the ways our team has gone the extra mile in the last year to make your life easier and help you succeed:
Pop quiz: what is the most cost-effective way to acquire new solar customers?
If you said referrals, you’re right!
Anyone who has sold solar before knows this intuitively. It is easier and cheaper to build a sales pipeline through customers who are delighted by their experience going solar and spread the word to friends and family. And the data backs it up: according to Greentech Media, customer acquisition costs typically run at $3000 or more; referrals drop that cost to $500 or less.
Have you ever wondered how your solar financing partners source funds for their loans? Or maybe you’re asking yourself why you should even care? The way your finance partners source their funds can have a direct impact on their ability to provide a trusted and reliable financing service. For example, do you trust that your solar loan partner will expedite your installation and that you’ll always get paid…quickly? Because financing plays such an integral role in the solar sales process, the model used by solar financiers can directly impact the customer experience and, most importantly, the success of your solar business.