Understanding your financing options for clean energy solutions

Cash purchase

• The best way to maximize your savings from solar.

• You won’t pay any additional interest.

• Owning your system outright will insulate you from future electricity rate increases.

• You’re eligible to receive all the financial incentives and rebates available to homeowners for going solar.

• It's expensive. You'll need to have enough capital available to pay for the system upfront, which typically costs between $20,000 to $30,000 before any tax incentives and rebates.

Solar loans

• Allow you to install panels with no upfront costs.

• Your electric expenses are fixed for the term of your loan.

• You own your solar system, which makes it easier to sell your home and makes you eligible for federal and local tax credits and other incentives.

• Greater ROI than someone who goes solar with a solar lease or PPA.

• ROI will not be as high as someone who has purchased their solar system outright.

• It will take you longer to break even on your investment.

• Not all loans cover battery storage.

Solar leases

• Saves money on electricity.

• Low or no upfront costs.

• May be an attractive feature to future homebuyers.

• No maintenance responsibilities.

• Savings are lower than with a solar loan or cash purchases.

• You can't take advantage of the federal solar tax credit and other state and local incentives.

• Complicates selling your home.

• Leasing companies sometimes neglect their maintenance responsibilities.