Own vs lease
Buy or lease solar? Why owning wins
For most homeowners who can pay cash or qualify for a solar loan, owning wins. You own the system and its savings, your payment ends when the loan is paid off, and there are no yearly price increases. A lease or PPA is a 20–25-year contract where a company owns the panels and prices often rise about 3% a year.
Own vs lease, side by side
| Own it (cash or solar loan) | Lease or PPA | |
|---|---|---|
| Who owns the system | You | A solar company |
| How long you pay | Until the loan is paid off — then it’s yours | 20–25 years, and you never own it |
| Yearly price increases | None on a fixed-rate loan | Often about 3% a year |
| Selling your home | Transfers with the house | Buyer must qualify for and take over the contract |
| Long-term value | Highest — savings keep coming after payoff | Lower — the company keeps the system’s value |
Five reasons to own
- You own it. The panels, the battery and every dollar they save are yours — not a company’s.
- Your payment ends. A solar loan gets paid off. A lease or PPA bill runs 20–25 years.
- No yearly price hikes. Leases and PPAs often rise about 3% a year. A fixed-rate loan doesn’t.
- Easier to sell your home. Owned solar transfers like any upgrade — no contract for a buyer to take over.
- You’re in control. Your battery settings, your monitoring, and any electricity plan you choose.
What about the tax credit leasing companies talk about?
Since the homeowner credit ended after 2025, some lease and PPA companies claim a business credit on systems they own. That benefit stays with them — and you rent the system for 20–25 years instead of owning it. Over the life of the system, owning usually leaves you with more.
How escalators add up
At 3% a year, a $100 lease payment grows to about $175 by year 20. A fixed-rate solar loan payment stays the same, then disappears.
Already offered a lease?
Bring it to your free in-home review. We’ll put an ownership option next to it so you can compare the total cost in plain numbers.
Frequently asked questions
Is it better to lease or buy solar in Texas?
Buying with cash or a solar loan is better for most homeowners who qualify: you own the system, payments end, and there are no escalators.
How long is a solar lease?
Residential leases and PPAs usually last 20–25 years, and the FTC notes ending one early can be difficult and expensive.
Can I buy solar with no money down?
Often, yes — many solar loans need little or nothing down, subject to credit approval, and you still own the system.
What happens to a lease when I sell my house?
The buyer usually has to qualify for and take over the lease, or you buy it out — which can complicate the sale.