The leasing company acts as the owner, so they claim the 30% tax credit and any state incentives. In exchange, you pay a fixed monthly "rent" for the equipment, which is usually lower than your previous utility bill. 2. Maintenance and Performance
While you save money from day one, those savings are smaller. Most leases include an annual price escalator (often 1–3%), meaning your monthly payment increases over time, which can erode savings if utility rates don't rise as quickly. 4. Impact on Home Resale solar power lease vs buy
Studies by the Lawrence Berkeley National Laboratory show that buyers are willing to pay a premium (roughly $15,000 on average) for homes with owned solar. The leasing company acts as the owner, so
When you purchase a system, you are the sole beneficiary of the Investment Tax Credit (ITC), which currently allows you to deduct 30% of the installation cost from your federal taxes. You also keep any local rebates or Solar Renewable Energy Certificates (SRECs). Maintenance and Performance While you save money from
A purchased system typically pays for itself in 6 to 9 years . After that, the electricity generated is essentially free for the remainder of the system's life (25+ years).