Homeowners lost a major federal incentive when the 30% residential solar tax credit expired, but that did not erase the financial case for rooftop solar. The bigger question was whether higher upfront costs would outweigh the savings people can still get from lower electric bills.
Here's what to know
At least in the first half of 2026, the answer appears to be no.
Results from EnergySage's newest marketplace report, according to Solar Power World, suggest the market still offered savings after the credit went away. The company found that homeowners could still save with solar and battery storage between January 1 and June 30, even after the tax credit disappeared.
Saving on monthly power costs was still the top motivator for solar shoppers, with 70% of contractors reporting that customers buy systems to cut costs, according to EnergySage. Batteries are also drawing more interest as utilities roll out time-of-use pricing, fixed charges, and weaker net metering, changes that can improve the payoff from a solar system.
EnergySage's head of solar, Sam Thompson, explained that the trend is clearest in places where electricity rates are climbing quickly.
"Rate structures are changing faster than they used to, and that's part of what's keeping solar's value proposition strong and driving homeowners' urgency," said Thompson. "We're seeing it show up most clearly in states where rates are skyrocketing."
The way a system is financed also mattered more once the federal credit was gone. In every qualifying state tracked in the report, the typical price of a power purchase agreement, or PPA, was lower than utility electricity rates, according to EnergySage, with the largest discounts in California, at 59% below, and Illinois, at 55% below.
More background
That shift is also affecting what installers are offering shoppers. EnergySage said the share of installers offering third-party ownership options such as leases and PPAs rose from about 14% to roughly 41% in six months, though the company noted that growth was partly tied to those options becoming newly available on its marketplace.
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Among the financing choices EnergySage tracked, the biggest discounts came from paying in advance. Compared with cash purchases, pre-paid PPAs cut costs by 57% and pre-paid leases by 39%, according to EnergySage.
Homeowners who want to compare options can try EnergySage to get free solar installation estimates and compare quotes.
Storage interest climbed faster than actual battery adoption did. Homeowner interest in storage reached 76% in the first half of 2026, EnergySage's highest level on record, but actual battery attachment was 31%, suggesting upfront costs still hold some buyers back.
What can be done?
EnergySage says the average person can save up to $10,000 on solar purchases and installations, making it easier to see whether ownership, a lease, or a PPA fits a household's budget. Tools like EnergySage's solar map show the average cost of a home solar panel system in each state and outline available state incentives, which together can help homeowners get the best price for rooftop solar panels and access available incentives.
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Adding battery storage to a solar setup is one of the best ways to protect your home during outages and save money on energy. It can also help some households move closer to going off grid, especially as utilities shift to rate plans that reward using stored power at the right times. Homeowners interested in that option can explore EnergySage for information about home battery storage options, including competitive installation estimates.
Even with some prices ticking up, the increases were relatively modest. Median solar pricing rose about 3% from the second half of 2025 to the first half of 2026, EnergySage said, while combined solar-and-storage systems climbed 5% over the same stretch.
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