Because the upfront cost of installing solar panels is high, many homeowners turn to leasing. But what happens if you buy a house with a solar lease? 

The scoop

One Redditor in that boat asked r/solar, wondering whether a 15-year Sunrun contract was worth buying out for $10,000.

First, let's get the math out of the way. Fifteen years of $40 monthly payments adds up to $7,200. The choice seems straightforward, but this poster was in a unique position, as the previous owner didn't disclose that a solar lease was part of the home purchase.

In the comments, users offered advice about gathering information and talking to a lawyer. The poster did so, adding that the panels' annual production was 4,700 kilowatt-hours; under California's Net Energy Metering 2.0 rules, they could earn $750 every year by selling their excess energy.

The poster also talked to Sunrun, and the company agreed to lower the buyout cost to $6,000. The buyer was in the catbird seat, but even if they came out on top, the lesson may be to ensure you know everything about a solar lease and your options before closing on a home.

One commenter summed up the situation, writing: "That is your saving grace. The seller's attorney didn't know and didn't make you sign a lease transfer, and clearly you didn't know they were part of a lease. You should refuse to sign anything and refuse to pay them or give them any of your info. … If Sunrun wants money, they can try to get it from the seller's estate."

How it's helping

This is an important topic because going solar is one of the best ways to save money on home energy costs and lower planet-overheating pollution. And since installing solar panels can be prohibitively expensive, leasing them helps people access these benefits while avoiding the massive upfront cost.

Palmetto's LightReach program, which includes plans for no money down, can help homeowners minimize that expenditure. Palmetto has over half a million accounts in 31 states and 16 years of experience in the industry. Its customer satisfaction rating is 85%, and it promises local expertise, end-to-end service, and leasing as well as power purchase agreement options.

What everyone's saying

If leasing isn't for you, EnergySage has free tools so you can get estimates on purchasing and installing solar panels, making it easy to compare quotes. If you're deciding between leasing and buying solar panels, you can check out this pros and cons list.

In either case, installing solar panels can bring your cost of energy down to as little as $0. Since the process can be overwhelming, EnergySage provides a free service that makes it easy to compare quotes from vetted local installers and save up to $10,000. Other home upgrades, including installing a heat pump, can also save you money and cut out the production of heat-trapping gases. Mitsubishi can help you find the right unit and save $370 a year on energy costs.

Which of these factors is the biggest obstacle preventing you from getting solar panels? The upfront cost 💰 The way they look 🙈 Not sure where to start 🤔 No concerns here! 😄 Click your choice to see results and speak your mind.

"Sunrun is one of the worst companies to deal with," one commenter said. "I would just pay $40 a month. You're going to save money on electricity."

Another wrote, "I'm in a similar position to you. I have 10 years left and currently pay $60. But the system is on NEM1, and PGE rates are outrageously high, so I save hundreds of dollars."

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