Side-by-side overview
| Structure | You generally own it? | Key question |
|---|---|---|
| Cash purchase | Yes | Is the upfront use of cash worth the expected long-term return? |
| Solar loan | Yes, subject to loan terms | What are the cash price, fees, APR and total payments? |
| Lease | No | What are the payment escalator, service promises and transfer/buyout terms? |
| PPA | No | What is the energy rate, escalator, minimum term and transfer process? |
Cash and loan purchases
Ownership usually provides more control and may offer the strongest long-term economics, but it also puts equipment and contractor selection squarely on the homeowner. For loans, compare the cash price with the amount financed. A “low APR” product may include a substantial dealer fee, while a higher-rate, no-fee loan can cost less if repaid early.
Leases and power-purchase agreements
Third-party ownership can reduce upfront cost and shift some service responsibility, but the contract may last decades. Read the payment or energy-rate escalator, production terms, home-sale transfer requirements, buyout schedule, roof-work procedure and early termination language.
Questions that belong in writing
- What is the cash price for the same system?
- What fees are included in the financed amount?
- What is the total of all scheduled payments?
- Can I prepay without penalty, and does prepayment reduce the principal as expected?
- What happens when I sell, refinance or replace the roof?
- Who owns renewable-energy credits or other project benefits?
Request complete copies of the solar agreement, financing agreement, equipment specifications, warranty documents and cancellation notice. Save them before signing.