Major players in the residential market vs. local installers - which is better?

**solar pete** · 11-15-2015, 06:19 PM

Originally posted by gwelty

Hey guys, here's my interest: I have no intention to DIY solar for my place. I will go with a company.

My main question is in the subject line. Tell me your thoughts on the benefits of going with a national company or a local installer.

Also, what criteria are most important for you when considering solar?

Hello gwelty and welcome to solar panel talk. IMO You want to go with a good local installer who has been doing solar for at least say 5 to 7 years with an excellent reputation preferably one that is also an electrical contractor. Check out www.solarreviews.com put in your zip code and see who does your area. Re your other post about SC, word on the street is that they just reduced their monthly advertising spend from 3M to 500K, I think they will be the first company to go belly up if the 30% tax credit goes away with net metering, they are just too top heavy and dont do anything else. Opinions vary keep reading and looking around.

**captaindomon** · 11-16-2015, 12:04 PM

Yes, go with a local installer. When I was doing research, I was talking to one of the big high-pressure companies, and it turns out they just use local installers as subcontractors anyway. So it's the same thing in the end, without the high pressure, and you get a much better relationship with the people that are actually working on your system.

**josefontao** · 11-16-2015, 02:43 PM

Agreed. Go with a local company. Check out the reviews at solarreviews.com as well a yelp.
Also, if possible, go with a company that does more than just solar. A company that does roofing, HVAC, plumbing, etc...
If solar ever goes belly up, at least the company will (hopefully) still be in business with their other sources of revenue.

**NorCalX** · 11-16-2015, 03:02 PM

I just started but am seeing MUCH higher pricing from the big names

I asked why the pricing was so different and was told Big Company A stays involved with the system for 30 years (free labor and parts replacement etc. like inverters and monitoring for life)
I don't think being charged up front for that is cost efficient but it eventually comes down to a personal choice.

Do you want the cheapest qualified install or a premium install? To think of it differently if you are driving to the grocery store do you want/need a Ford or BMW?

**solarz** · 11-16-2015, 03:22 PM

Originally posted by NorCalX

Do you want the cheapest qualified install or a premium install? To think of it differently if you are driving to the grocery store do you want/need a Ford or BMW?

LOL . What do you define a premium install? I heard about premium panel, first class inverter. This is a first time I heard about "Premium install"

**NorCalX** · 11-16-2015, 03:34 PM

Originally posted by solarz

LOL . What do you define a premium install? I heard about premium panel, first class inverter. This is a first time I heard about "Premium install"

It was the sales pitch

Owner doesn't have to get involved in anything. All repairs/failures/labor etc. covered. Power production is guaranteed.

The skeptic in me says it is only covered if the company survives

I compare it to using a local mechanic or sending it to the dealership. You pay a premium for it. Is it worth it? Some people yes...others no.

I'm in the "no" camp currently

**Yaryman** · 11-16-2015, 04:36 PM

"Premium install" - "30 year warranty"

Did you ask the sales rep how he could keep a straight face while spewing such .....

I asked my installer if he would still be in business after 2016 if the Fed credit didn't renew.

He said he hoped so. He thought the high overhead installers would fall by the wayside.

He also mentioned that the big volume installers constantly want him to do installers for them,
but he has enough work of his own for now. ( And I would guess through out 2016 as I think it might be a mad house year for installs )

I thought he was telling me the truth.

I would much rather have the truth that wasn't unicorns and roses verses some BS about a premium install that
gets me a 30 year warranty that has very little to no chance of every being used because the company won't exist.

**harleydee** · 11-16-2015, 07:06 PM

local or big company

is it worth it to go with smaller company for a few thousand of savings

**foo1bar** · 11-16-2015, 07:24 PM

Originally posted by harleydee

is it worth it to go with smaller company for a few thousand of savings

IMO yes.

*maybe* you lose on having the labor covered for a warranty issue.
But even if that's the case, what you're looking at is probably cost of hundreds in a couple years vs. thousands saved now.

**captaindomon** · 11-16-2015, 07:28 PM

Originally posted by foo1bar

IMO yes.

*maybe* you lose on having the labor covered for a warranty issue.
But even if that's the case, what you're looking at is probably cost of hundreds in a couple years vs. TENS OF THOUSANDS saved now.

Fixed that for you.

**gwelty** · 11-16-2015, 10:11 PM

Originally posted by harleydee

is it worth it to go with smaller company for a few thousand of savings

Yep, I'm still not sold on local installers vs. national installers. It seems there's a preference, based on responses, for a local company, but I'd like to get a breakdown on why. Thanks!

**foo1bar** · 11-17-2015, 01:00 AM

Originally posted by gwelty

Yep, I'm still not sold on local installers vs. national installers. It seems there's a preference, based on responses, for a local company, but I'd like to get a breakdown on why. Thanks!

Each person is going to have their own reasons.

My reasons would be
1> cost
2> cost
3> cost
4> more likely to be around in 5 years. Slight edge to local diversified companies - Who's likely to be around when the easier money stops? "Valley heating, cooling, electrical and solar" who have been around for a long time and I think are profitable even without solar or "Vivint" who even during easy-money times is booking huge losses?
5> They don't advertise as much (I'm sick of hearing the radio ads - and ads contribute to the first reason I gave)
6> Supporting local businesses
7> Reputation. Big negative on Solarcity IMO. Other companies there's question of whether a local reputation makes them work harder for a local customer. While with a big company they are possibly more going to be concerned about their reputation because they are so big... Hard to say really which way that goes.

**emartin00** · 11-17-2015, 09:09 AM

Originally posted by foo1bar

Each person is going to have their own reasons.

4> more likely to be around in 5 years. Slight edge to local diversified companies - Who's likely to be around when the easier money stops? "Valley heating, cooling, electrical and solar" who have been around for a long time and I think are profitable even without solar or "Vivint" who even during easy-money times is booking huge losses?

Don't expect SolarCity or the other big companies to disappear after the tax credit expires. They will mostly cut back their operation, but they are still going to be around for a long time.
Many people point to their losses every year, but in reality, their structure is set up with high expenses up front, followed by 20 years of steady income. If they went out of business, then thousands of people would end up with an almost free system on their roof.

**foo1bar** · 11-17-2015, 12:02 PM

Originally posted by emartin00

If they went out of business, then thousands of people would end up with an almost free system on their roof.

No... If they went out of business, those assets (payment streams) would be sold/auctioned off.
And the buyer of those would continue to collect the payments (and send to collection agencies those accounts who didn't pay)

Probably the meat of your comment is right - that they are front loading the expenses so much that it distorts the financial picture. And when the credits run out, I expect they'll decrease the sales force and the advertising and therefore lower their expenses.

I still think Valley Heating (real company BTW) is more likely to outlast Vivint.

Major players in the residential market vs. local installers - which is better?

Major players in the residential market vs. local installers - which is better?

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