Solar Lease vs Buy Calculator

Compare buying solar panels, financing with a solar loan, leasing solar panels, or using a solar power purchase agreement. This calculator estimates monthly cost, incentives, ownership savings, lease savings, loan payment, lifetime net savings, payback period, and which option may save more over time.

Compare Solar Lease vs Buy

Best Option = Highest Lifetime Net Savings After Costs, Payments, Incentives, and Maintenance.
Your result will appear here.

How the solar lease vs buy calculator works

Cash purchase:
The calculator subtracts incentives from the gross solar cost, then compares lifetime energy savings against net purchase cost and maintenance.

Solar loan:
The calculator estimates a monthly loan payment from net financed cost, interest rate, and loan term, then compares savings during and after the loan.

Solar lease:
The calculator totals lease payments over the lease term, including the lease escalator, then compares them against estimated utility savings.

Solar PPA:
The calculator estimates solar energy cost from PPA rate and annual production, then compares it with utility cost for the same solar production.

Why use a solar lease vs buy calculator?

A solar lease vs buy calculator helps compare ownership and non-ownership solar options before signing a purchase agreement, solar loan, lease, or power purchase agreement.

It can help compare upfront cost, loan payment, lease payment, PPA cost, incentives, net cost, lifetime savings, payback period, monthly cash flow, and long-term ownership value.

What your result means

Your result shows estimated lifetime net savings for buying, financing, leasing, and using a PPA. It also shows buy vs lease difference, total lease payments, total loan payments, incentives, net purchase cost, loan payment, payback period, and which option may produce the highest estimated lifetime value.

Solar lease vs buy formulas

Frequently asked questions

Is it better to lease or buy solar panels?

Buying often has higher long-term savings because the homeowner owns the system and may receive incentives. Leasing can lower upfront cost but may produce lower lifetime savings because of monthly lease payments.

What is the difference between a solar lease and a solar PPA?

A solar lease usually charges a monthly payment for using the system. A PPA usually charges for the electricity produced, often as a price per kWh.

Do I get solar tax credits if I lease panels?

Usually the system owner receives ownership-related incentives. With many leases or PPAs, the solar company owns the system, not the homeowner. Confirm the actual contract terms before deciding.

Why include a lease escalator?

A lease escalator increases the lease payment over time. Even a small yearly increase can affect lifetime savings over a long lease term.

Is this solar lease vs buy calculator exact?

No. This is an estimate. Actual results can vary based on contract terms, solar production, equipment ownership, incentives, utility rates, escalators, maintenance, roof condition, financing, transfer rules, and local policy.