Buying a home with solar panels can be a major advantage — but only if you understand what comes with the system. Solar can mean lower utility bills, increased property value, and cleaner energy. However, not all solar setups are the same. Before you close on a home with solar, here’s what you need to know.
1. Do You Own the Solar System?
The first and most important question is: Is the system owned, financed, or leased?
- Owned systems (paid off) are ideal. They typically transfer with the home and add value.
- Financed systems may have a remaining loan balance that must be paid off or transferred to you.
- Leased systems or Power Purchase Agreements (PPAs) mean a third party owns the panels, and you agree to take over monthly payments and contract terms.
Request documentation to verify ownership status and review any agreements carefully.
2. What Is the System’s Age and Warranty?
Solar panels typically last 25–30 years, but inverters often need replacement after 10–15 years. Ask:
- When was the system installed?
- What warranties remain on panels, inverters, and workmanship?
- Has any equipment been replaced?
Knowing the system’s age helps you estimate future maintenance or upgrade costs.
3. What Are the Actual Energy Savings?
Don’t assume solar automatically eliminates electric bills. Ask the seller for:
- 12–24 months of utility statements
- Annual production reports
- Monitoring system access
This shows how much electricity the system produces and whether it covers most of the home’s energy needs.
Get Your Energy Independence
4. Is the Roof in Good Condition?
If the panels are mounted on the roof, confirm the roof’s age and condition. Removing and reinstalling panels for a roof replacement can add cost. Ideally, the roof should have similar remaining lifespan as the solar system.
5. Are There Any Permits or HOA Restrictions?
Verify the system was properly permitted and inspected. If the home is in an HOA community, confirm compliance with association rules.
6. Does Solar Increase Home Value?
Studies show owned solar systems can increase property value and attract buyers. However, leased systems may complicate the sale process if contract terms aren’t favorable.
The Bottom Line
Buying a home with solar panels can be a smart financial move — especially if the system is owned and well-maintained. By reviewing ownership status, warranties, energy production, and roof condition, you can ensure the solar system is a benefit — not a surprise expense. With the right due diligence, solar can be one of the most valuable features of your new home.