Green deal info

[Gavin A]

A few weeks back I went to a green deal briefing session, and I'm sure they said the interest rate to be applied was 6%.

I've recently signed up with a loans specialist who reckons they'll be able to supply unsecured personal loans to home owners with reasonable credit ratings at rates in the region of 5-6% for £5-10k loans without any of the Green Deal hassle, or linking to energy bills etc.

Now maybe they're telling me porkies, but if not, then I'm struggling to see why anyone other than those with bad credit histories would benefit from going the green deal route instead of dealing direct with a company that could put together a competitive finance package for them, but actually carry the work out without having to pay for all the multiple layers of admin costs involved in green deal.

As for the idea of tenants being able to force landlords to accept green deal financed improvements....... this seems pretty back to front to me after chatting with a management agent about it, as all landlords are being forced to improve the energy efficiency ratings of their properties over the next few years anyway at their expense, so all this is doing is moving the cost of these improvements from the landlords to the tenants. That seems a bit of an odd policy to me.

 

[Earthstore]

Also you do not receive FIT payments under the Green Deal, you just make the repayments from the savings, so a personal loan would make much more sense.

That is my understanding of it.

 

[sedgy34]

I beg to differ the green deal loan is on the property if you have a loan for the same thing and your circumstances change and you need to move house the loan goes with you. Unless everyone in this situation puts it in the sale of there property


Im on the understanding that you do receive the fit payments on the green deal
otherwise what's the point in it all

 

[Gavin A]

I'm not just talking about for PV though, I'm talking about the entire green deal scheme.

Or of relevance to this forum, what I'm getting at is that it's all hype and hot air, and there's very little background justification for it at all, so I'd think that treading carefully and not spending a fortune getting trained up for it would be a sensible policy. Obviously I could be very wrong on this and it'll be the biggest thing since sliced bread, but I just don't see it.

having said that, we have had one customer decide they're going to wait until the green deal comes out. So the hype and hot air might actually be working.

 

[Gavin A]

I beg to differ the green deal loan is on the property if you have a loan for the same thing and your circumstances change and you need to move house the loan goes with you. Unless everyone in this situation puts it in the sale of there property

true, but then you ought to be able to recoup something in the region of the value of the work you've had done when selling the house, and can then repay the loan if you want.

or it'll just make selling the house that much easier.

I'd expect having a green deal loan needing to be paid back via the energy bills though is likely to be a significant stumbling block for anyone trying to sell the house, and most will end up just paying it off at that point anyway if they can to remove that issue from the situation.

 

[Eco Deal]

I completed the green deal advisor course today , I passed the exam just a portfolio to complete now ,
so i was the first person in uk to pass the exam whoop whoop 86% ...... learnt the golden rule calcultion with does included intrest rate at 7% .

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the loan is on the MPAN number which is repaid via electric bill only

 

[Eco Deal]

no mpan no green deal.

 

[jupestar]

pickng up on the rates point Gavin made, I went to a Green Deal Seminar and asked a question about borrowing rates, not surprisingly he was vague, when pushed if it would be more or less than mortgage rates he conceeded that it would be higher. After that everyone including himself knew he was flogging a dead duck.

Councils will probably pay from one of the big boys to upgrade their properties, most sensible homeowners will run a mile, and some landlords will try and pass it off on their tenants, most won't i believe as they risk being uncompetitive and risk the flexibility to re-sell the asset.

Not many people i speak to think it will work, and i believe this is the real reason it keeps getting delayed. i could be very wrong and end up like the 5th beatle, but I won't be rushing to get involved..

 

[Gavin A]

I completed the green deal advisor course today , I passed the exam just a portfolio to complete now ,
so i was the first person in uk to pass the exam whoop whoop 86% ...... learnt the golden rule calcultion with does included intrest rate at 7% .

- - - Updated - - -

the loan is on the MPAN number which is repaid via electric bill only

good luck with it, there's a good chance it'll end up being a worthwhile investment, and I'll be kicking myself for my cynicism.

 

[Eco Deal]

yes think your right there.

good luck with it, there's a good chance it'll end up being a worthwhile investment, and I'll be kicking myself for my cynicism.

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lol no im 50/50 with it might work might just be a big flop

 

[sedgy34]

I completed the green deal advisor course today , I passed the exam just a portfolio to complete now ,
so i was the first person in uk to pass the exam whoop whoop 86% ...... learnt the golden rule calcultion with does included intrest rate at 7% .

- - - Updated - - -

the loan is on the MPAN number which is repaid via electric bill only

I remember you mentioned it was in midlands, can you pm me the details for me to consider it
cheers

 

[Eco Deal]

energy trust midlands still loads of grey areas

 

[SRE]

I'm not just talking about for PV though, I'm talking about the entire green deal scheme.

Or of relevance to this forum, what I'm getting at is that it's all hype and hot air, and there's very little background justification for it at all, so I'd think that treading carefully and not spending a fortune getting trained up for it would be a sensible policy. Obviously I could be very wrong on this and it'll be the biggest thing since sliced bread, but I just don't see it.

having said that, we have had one customer decide they're going to wait until the green deal comes out. So the hype and hot air might actually be working.

You have a customer who has heard of the Green Deal!!!!!

 

[SRE]

I beg to differ the green deal loan is on the property if you have a loan for the same thing and your circumstances change and you need to move house the loan goes with you. Unless everyone in this situation puts it in the sale of there property


Im on the understanding that you do receive the fit payments on the green deal
otherwise what's the point in it all

Definitiely no Fit with Green Deal it's one or the other, DECC confirmed it on an online Q & A just before Christmas.

 

[Earthstore]

I have just been reading up on PV/Green Deal, and it appears that you can not claim FIT under GD, however there is this Golden rule, where the savings have to cover the loan, not to sure how this can really be calculated, but for PV , a 4kwp system needs to be less than £5000, so it looks like PV will not satisfy the requirements .

Also a GD advisor is supposed to offer the customer the best solution first, so if PV is not top of the list what is the point of any of us getting involved with it?

 

[sedgy34]

August 1st prices will change again the solar suppliers will have to follow suit to stay in business

 

[Worcester]

Even the insulation industry reckon that the Green Deal will fails in it's objectives, see the press realease from Knauf Insulation here NOW IT'S A RED LIGHT FOR GREEN DEAL - 14.06.12 and they also reckon that it is a race to the bottom on installation costs, with (although they don't say it in so many words) the ££ going to the finance houses.

“The outcome of the Impact Assessment sees the Green Deal in danger of becoming a niche offering, attractive only to a small subset of the UK population, while having a highly developed and costly support structure built around it...."

​

See also this http://www.knaufinsulation.co.uk/pd...y mechanism - a Knauf Insulation proposal.pdf

"The key to a successful Green Deal is driving multiple measures in the largest numbers of properties possible (installer capacity allowing) at lowest cost to the homeowner."

"...energy suppliers will seek to deliver the measures at least cost – with the market driving each delivery route to a similar price."

 

[Earthstore]

Why would you borrow money using the Green Deal scheme at 7% over 25 years, when this basically is tied to your home, maybe making things difficult should you try to sell, also with PV you lose the benefit of the FIT payments, when the alternative could be to stick it on your mortgage at say 3.5%-4% and not have the problems associated with a separate 7% loan linked to your property, and have the FIT payments that you could use to service the extra payments.

As previously posted in another thread, PV may not qualify anyway, but even if it did, the sums just do not add up.
After the many mistakes made by the Government, you would think they would start to get something right.

 

[sedgy34]

we have been here before earthstore, your right it may last as long as the hips did

 

[SRE]

God I hope it doesn't last that long - there's going to be a lot of unemployed installers very unhappy about it!

I'm prepared not to heckly Barking if he just admits it's a pile of you know what now and scraps it before it starts. I might even be persuaded to tell everyone the government is listening instead of carrying out a U-turn!

 

[JMT]

How does the small installer like us get funding from these Green Deal Providers?