A Solar Lease May Sound Great On The Surface, But Take The Time To Do The Math And You'll Probably Change Your Mind In A Hurry.

  1. When you purchase instead of lease a solar system, it dramatically raises your home's value as soon as you install it. But if you lease a solar system, you've created a debt liability that a potential home buyer will probably not want to assume. What potential home buyer would want to assume a lease on a used solar system that will only save him or her 6 to 15% on their electric bill. And if the potential home buyer wants nothing to do with your legally binding debt or can't qualify for the lease assumption, then you'll have to pay a hefty penalty to break your lease agreement.
  2. A properly installed solar system requires almost no maintenance other than a good rinsing with a garden hose occasionally to remove accumulated dust from the solar modules. Solar modules are covered under a 25 year factory warranty and inverters are covered by a 10 to 25 year factory warranty.
  3. A solar systems will not only pay itself off in as little as 4 to 5 years, but will continue to make you money over its 30 to 40 year expected lifetime. This is one of the primary reasons why residential solar lease companies want you to let them use your roof.
  4. Maryland Energy Administration pays you $ 1000.00 once your system is commissioned.  With a solar lease you won't receive a rebate because you are not buying the system. The leasing company will get the rebate because they will own the system that you'll be making payments on for the next 20 years. This is another reason why residential solar lease companies want you to let them use your roof.
  5. The Federal government is currently offering a 30% tax credit that's currently available for the installation of a solar electric system on your home or business. With a solar lease you won't receive the 30% federal tax credit either because you are not buying the system. The leasing company will get the tax credit because they will own the system that you'll be making payments on for the next 20 years. This is another reason why residential solar lease companies want you to let them use your roof.
  6. A solar electric system can earn RECs (renewable energy credits) that can be sold to entities that to offset carbon production. With a solar lease you won't earn any renewable energy credits either because you won't own the system. The leasing company will get the renewable energy credits because they will own the system that you'll be making payments on for the next 20 years. This is another reason why residential solar lease companies want you to let them use your roof.

Even with today's dramatically reduced pricing (Less that $3.00 a watt before incentives) we understand that there are consumers who simply can't afford to pay cash for a solar system. If that's the case then why not apply for a $0 down solar loan instead of a lease. A zero down solar loan is easier to qualify for than a lease, only a 650 credit score is required, you don't need any home equity and the interest is tax deductible.

ROI SunPower

The $0 down loan programs, allow you to keep the 30% tax credit and any other applicable financial incentives and own your little to no maintenance solar system for a much greater return on investment.

And because you'll get to keep the 30% federal tax credit and any other financial incentives, and your interest is tax deductible and you'll own your solar system instead of renting it, your return on investment with a loan will be far greater than a lease.