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 Prepaid Power Purchase Agreement (PPA) is a financing option where you pay upfront for the solar electricity your system is expected to generate over the full contract term (usually 15–25 years). Unlike a traditional PPA with monthly bills, a prepaid PPA locks in your power costs from day one, giving you long-term price protection with no ongoing payments. Key Features No Monthly Bills – Instead of paying for solar power each month, you make one upfront payment that covers your electricity for the entire agreement. $0 Down Installation – The system is installed at no upfront equipment or labor cost. Your payment goes toward pre-purchasing the energy, not the panels. Maintenance & Performance Guarantee – The solar provider owns, operates, and maintains the system. You’re guaranteed the power production outlined in your contract. No Ownership - No Tax Credit – Since you don’t own the system, you are not eligible for the federal tax credit or incentives. Those remain with the solar provider. Price Stability – Prepaying locks in your solar electricity costs, protecting you against rising utility rates for the length of the agreement.