Should I pay cash, take a loan or lease my solar system?

Solar Financing Tradeoffs · By Good Faith Energy · Last reviewed October 2026

Key takeaways

Cash usually delivers the most long-term value, but requires the most money up front.
With a loan, you own the system and pay over time; compare the interest rate and any dealer fees.
With a lease or similar agreement, a third party owns the system and you pay for its use or output.
Your installer and your lender are often different companies. Know who holds your contract.

The three main options

Cash: you own the system immediately and avoid interest.
Loan: you own the system and repay a lender over time. Rates, terms and fees vary by lender.
Lease or third-party ownership: another company owns the equipment. Monthly costs may be lower up front, but ownership and incentives stay with that company.

How to compare offers fairly

Compare total cost over the full term, not only the monthly payment.
Ask whether a dealer fee is built into the loan price.
Ask who owns the system and who claims any incentives.
Ask what happens to the agreement if you sell your home.

Why a quality install can cost more up front

Two quotes can look similar on paper while including different equipment, labor coverage, roof work and service support. Lifetime value depends on how long the system performs and how problems are handled, not only on the starting price.

Frequently asked questions

Is Good Faith Energy my lender?

No. Good Faith Energy is the installer. Financing is provided by separate lending partners, and their terms are set by the lender.

Can I pay off a solar loan early?

Many loans allow it, but terms vary. Check the loan agreement for prepayment details.

Have a question about your home?

Talk with a Good Faith Energy specialist for a free consultation.