How does SolarCity lease work? For leasing, SolarCity takes no money down and leases you panels over a 20-year period, covering installation costs. The consumer never owns the panels; instead, they rent them and acquire the energy they capture.
Why you should not lease solar panels? We do not recommend solar leasing because:
You do not own your system. It is owned by a third-party company and can be repossessed if you miss payments. You do not get to claim tax incentives, including the 26% federal solar tax credit. Those belong to the leasing company.
Which is better solar lease or PPA? With a solar lease, your payment would stay the same throughout the year, no matter how much or how little power the solar panels produced. While leasing might not save you as much as a PPA could in the long term, having one flat lease payment makes paying for your electricity much easier.
How do I get out of a SolarCity contract? There Are Three Ways to Break a Solar Panel Lease
Simply prepay the remaining amount you owe on the lease. Study your contract. Most solar panel lease agreements include a buyout price. You may have to wait to buy out until after the lease has run for 5 to 7 years.