So you’re done with unpredictable energy prices and you now realize that solar panels for your home are the way to go.
But where do you even start?
Getting set up with your very own home solar system is a unique process with concrete steps but it’s not as complicated as you may think.
Here are some key questions to help you stay organized and focused as you prepare your home for solar panels.
1. What Are My Energy Needs?
Before you decide to go solar, it’s crucial for you to properly understand your utility needs.
So pick up a recent utility bill, look over it, and see exactly how much you’ve been paying for electricity over the past year. If your bill has increased steadily then going solar could be a good option to help you save money and make your home more energy efficient.
Also, pay attention to your annual kilowatt hours rating on your bill to determine your annual electricity usage. This will help your solar installer properly evaluate your energy needs so they can size your system accordingly.
2. Is My Roof Ready For Solar Panels?
Once you are clear on your energy needs, it’s time to have a qualified solar professional inspect your roof.
Without a good roof, there is no going solar! Ideally, your roof should be south-facing, made of a durable material like asphalt, metal, or tile, and it should have plenty of space and sun exposure.
Be sure to keep in mind that the older your roof is, the less suitable it’ll be to support rooftop panels. A solar system has an average lifespan of 25 years so if your roof is older than 10 years, it needs to be properly inspected by a solar installer who will determine whether or not it can support a rooftop solar system.
Learn more about roof readiness: Is Your Roof Ready for Rooftop Solar? 4 Things To Keep In Mind
3. How Much Are Solar Panels and How Will I Afford Them?
Switching to solar power is quite the investment but there are different options available to help you pay for your solar panels:.
Cash
Paying in cash is the most practical option if you can afford it. It gives you the best return on investment since you won’t have to worry about interest fees and you’ll immediately have full ownership over your solar system. A cash payment also makes you eligible for tax credits or incentive options for anyone looking to go solar. It’s important to remember: it costs approximately $25,000 to go solar in 2025 and not everyone can come up with that kind of cash when they’re ready to make the change to solar energy.
Loans
Another way to own your panels without paying for them upfront is by taking out a loan. You could opt for a secured loan (which offers lower interest rates but requires collateral) or an unsecured loan (which doesn’t require collateral but may impose higher interest rates). Depending on the loan you choose, you may even have to put up your house as collateral so you need to take the time to properly evaluate all your options. Currently, Finray Solar partners with Sunstone and Lightstream to help our customers find loan options that best fit their needs.
Lease
With a lease you enter into an agreement with a solar company that will install and maintain your panels for a fixed monthly price. The downside? The company fully owns the panels. This means that if you go the leasing route, you won’t be able to claim any tax credits from your solar system given that ownership is a prerequisite of those types of incentives.
4. Do I Qualify for Any Credits or Financial Incentives?
Going solar is not cheap but thankfully, there are different credits and incentives that help make the process a lot smoother (and more affordable) for you. Not all these incentives will reduce the initial costs of rooftop solar but they can help you recoup part of your investment down the line, increase your savings or even just make a little extra cash on the side.
For instance, installing a rooftop solar system in your home could give you access to benefits like property tax exemptions, sales tax exemptions or rebates, like the $500 PECO Rebate in Pennsylvania. Moreover, enrolling in programs like net metering and Solar Renewable Energy Certificates (SRECs) helps solar owners benefit from any extra energy produced by their system. With net metering, homeowners receive credits for sending extra energy produced by their system back to the grid. They can later use these credits to reduce or even eliminate their electric bill during the winter months when their panels underproduce. Similarly, by selling SRECs to their utility, they can also earn money from any leftover energy produced by their solar panels.
In addition to individual state credits, the federal tax credit is also a well-known incentive helping people gain 30% off their solar installation costs. It is unclear whether this incentive will remain in place through 2026 given that its future is currently being debated in the Senate. Nevertheless, you can still benefit from this credit if you get your solar system set up and inspected before December 31st, 2025!
**Important to note: Incentives vary by state so check with your state and your local utility to see which ones you might qualify for.
Learn more about financial incentives: A Guide to Financial Incentives for Community Solar
With the correct preparation and the right guidance, your transition to solar energy can go as smoothly as possible and we can help you with that. If you want to learn more about our rooftop solar solution, reach out to us and a member of our team will gladly answer any questions or concerns you may have!
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Written By Alfreda Adote | Edited By Lauren McGregor