A cash solar purchase means paying for your solar energy system upfront, in full, at the time of installation. Instead of financing with a loan or entering into a lease, you make a one-time payment that covers all equipment, labor, permitting, and installation costs. Key Features Immediate Ownership – You own the solar system outright from day one. Maximum Savings – Since there are no loan interest payments or lease fees, a cash purchase typically provides the highest lifetime savings. Increase in Home Value – A fully owned solar system is considered an asset and may increase property value. No Monthly Payments – Once paid, there are no ongoing financing obligations—just the benefits of lower electricity bills. .
A solar finance purchase allows you to own your solar energy system while spreading the cost over time through a loan. Instead of paying for the system all at once (like with a cash purchase), you make monthly payments to a lender until the loan is paid off. Key Features System Ownership – You still own the solar system, and once the loan is paid off, you enjoy all the energy savings free and clear. Flexible Terms – Loan options often range from 15 to 25 years with different interest rates, so you can choose a plan that fits your budget. Immediate Savings – Many solar loans are structured so your monthly loan payment is close to or less than your current electricity bill. Builds Long-Term Value – Once the loan is paid off, your electricity savings increase, and the system continues generating clean power for decades. .
A Power Purchase Agreement (PPA) is a financing option where you don’t buy the solar system itself—you simply agree to purchase the electricity it produces. With a $0 down PPA, there are no upfront costs. Instead, you pay a fixed rate per kilowatt-hour (kWh)) for the energy your solar panels generate, at a rate lower than your utility company’s rate saving you 30% off your current bill. Key Features No Upfront Cost – You get solar installed on your roof with no money out of pocket. Pay for Power - Not Equipment – You’re billed monthly for the electricity produced, usually at a lower, predictable rate. Maintenance Included – The solar provider owns, operates, and maintains the system for the duration of the agreement. No Ownership - No Tax Credit – Since you don’t own the system, you cannot claim the federal tax credit or other incentives. Those remain with the solar provider. Long-Term Agreement – PPAs usually run 15–25 years, giving you price protection against rising utility rates.