Thanks to shifts in the federal budget, solar leasing might now be less of a backup plan and more of a bright idea.
A recent analysis from EnergySage shows how changes in the federal budget could reshape the way many Americans go solar, and leasing might now be the smarter play for some households.
The update comes as the U.S. prepares for the expiration of many Inflation Reduction Act tax credits in 2025, shifting the financial landscape for both purchased and leased rooftop systems.
While outright ownership has traditionally been the go-to, Emily Walker, director of insights at EnergySage, explains that third-party ownership options such as leases and power purchase agreements may become more popular.
If you lease your solar panels instead of buying them, the company that owns the system can still get the 30% tax credit for a couple of more years. That means leased solar projects have until mid-2026 to start or until the end of 2027 to be finished.
"That extra time is consequential for installers," Walker said. "It allows them to continue developing residential projects with the tax credit, even as the credit for purchased systems disappears. For some homeowners, that will make TPO [third-party ownership] the most accessible entry point into solar."
Going solar remains one of the best ways to cut utility bills and slash the pollution fueling Earth's overheating.
EnergySage makes it simple with free tools to compare quotes and get estimates, helping homeowners see what works best for their budget.
Solar panels don't just clean up the grid. They also put money back into people's pockets over time. With EnergySage's marketplace, the average homeowner can save up to $10,000 on solar installations. Its mapping tool also breaks down the average cost of systems and available incentives by state, so you know exactly what savings might be on the table where you live.
Save $10,000 on solar panels without even sharing your phone number Want to go solar but not sure who to trust? EnergySage has your back with free and transparent quotes from fully vetted providers that can help you save as much as $10k on installation. To get started, just answer a few questions about your home — no phone number required. Within a day or two, EnergySage will email you the best local options for your needs, and their expert advisers can help you compare quotes and pick a winner. |
Pairing solar with efficient home appliances such as heat pumps can drive utility bills even lower. EnergySage even has a free comparison tool for heat pumps, making it easier to find the right option and installer for your home.
EnergySage emphasizes that while the policy changes may complicate the math for owned systems, TPO options will still allow families to tap into clean energy.
Whether you buy or lease, going solar sooner rather than later could mean significant savings for your household and a healthier planet.
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