Solar Lease vs Buy — Which Is Better?
Published 2026-01-20 · Updated 2026-07-07 · MySunROI Research Team
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Buying solar (cash or loan) lets you claim the 30% ITC and keep all savings. Leases and PPAs offer $0 down but the installer keeps incentives — compare 25-year total cost before deciding.
Buying solar (cash or loan)
Ownership builds home equity and maximizes long-term savings.
- You claim 30% federal ITC
- All electricity savings stay with you
- Increases home value (owned systems)
- Solar loans — 0% down, interest adds cost
Solar lease and PPA
Little or no upfront cost, but long contracts (20–25 years) and installer owns the system.
- Installer claims tax credit — not you
- Monthly payment escalator may apply
- Can complicate home sale — transfer or buyout
- Lower short-term savings vs ownership
Solar costs by state
Frequently Asked Questions
Which saves more over 25 years?
Buying usually saves $10,000–$30,000 more than lease/PPA over system life.
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