Leasing and purchasing can both put solar on a suitable home, but they allocate cost, ownership, maintenance and benefits differently.
Compare the complete cost structure
A purchase has a cash price or financing cost. A lease has contractual payments that may rise over time. Compare total payments over the same period, not only the first monthly amount.
Ownership changes the responsibilities
An owner generally controls the equipment and may receive applicable ownership-based incentives, while taking on obligations subject to warranties. A lessee relies on contract terms for service, changes, transfer and end-of-term options.
Use the same assumptions
Compare proposals using the same energy production, degradation, utility-rate and time-in-home assumptions. Read financing fees, escalators and transfer clauses. A qualified adviser can help assess legal, tax or financial implications.
Common questions
Is a solar lease the same as a PPA?
No. A lease generally charges for use of the equipment, while a power purchase agreement generally charges for the electricity produced. Contract details control.
Can I buy the system later?
Some agreements include purchase or buyout options at specified times. Ask for the exact formula, timing and process in writing.
Who receives solar incentives on a leased system?
The system owner commonly receives ownership-based incentives, but allocation depends on program rules and the agreement. Confirm this before signing.
Can I sell my house with leased solar panels?
Generally yes, but the agreement may need to be transferred, prepaid or bought out. Review buyer qualifications, fees and timing with the provider.
