Does Solar Panel Leasing Make Sense

It just wouldn t make economic sense assuming you own rather than lease the solar panels.

Does solar panel leasing make sense.

When it comes to leasing or buying solar panels the perfect option for you and your energy needs will depend on your financial goals and preferences. The main practical distinction between buying and leasing a solar pv system is in ownership. By scott gordon may 18 2015. Like other financing tools solar leasing has its place in the home improvement industry along with same as cash financing helocs home equity lines of credit and collateralized seconds.

Leasing solar panels for your home is not a good idea from a financial perspective. In most cases you ll save much more money in the long run by exploring other financing options like an fha title 1 loan or a traditional loan from your personal bank. In my last article i may have seemed unwaveringly against solar leasing and ppa s but nothing could be further from the truth. If you buy a solar panel system you own the system either outright if purchasing with cash or after repaying your solar loan.

On the other hand if your main reason to install solar is to cut pollution not save money then solar would make sense. If you lease the system or sign a power purchase agreement ppa a third party owns the solar panel system. The payback period to recoup the cost of the system would simply be too lengthy. We simply do not recommend it.