The next best alternative to renting is to lease your home or a vehicle, a new study has found.
Suntrust Auto Loan and Home Equity Line LLC found that a solar-powered vehicle lease is a better investment than renting.
Solar leasing has long been the most affordable option for homeowners with a home equity loan, with an average annual monthly payment of just $1,800 and a 5% down payment.
However, solar leases are still a lot more expensive than traditional homeownership, and the cost of solar-generated electricity can be quite a bit higher than the cost with conventional gas-powered vehicles.
The company analyzed data from more than 1.3 million lease agreements between October 2013 and September 2015.
The study looked at the monthly cost of renting or buying a vehicle and found that solar leasing was the best investment for homeowners who own a home.
Solar leases, however, are only viable for homeowners whose mortgages are in good shape, the study said.
“When the rate of home price appreciation accelerates, the rate at which homeowners can sell their homes becomes lower,” the study says.
SunTrust said it has partnered with Solar City, which provides solar leasing to homeowners.
SolarCity is also partnering with Solar Trust, which is a vehicle leasing company that helps homeowners sell their cars.
Sun Trust also said it plans to expand solar leasing nationwide.