The short answer
For most Florida homeowners who plan to stay in their home for 10+ years — buying wins. You build equity, own the system outright, and keep all the savings. Leasing makes sense if you want zero upfront cost, don't qualify for a good loan, or simply don't want the responsibility of ownership.
The calculus shifted slightly in 2026. With the federal 30% tax credit now expired for direct purchases, the financial gap between buying and leasing narrowed. But buying still produces significantly better 25-year returns for most Florida homeowners.
Here's the complete breakdown of all four options:
Best Long-Term
Cash Purchase
Own it outright, maximum savings
Upfront cost$18,600–$22,700
Monthly savings$170–$200/mo
You own systemYes ✓
25yr savings$55,000–$74,000
Federal ITCExpired
Best For Most
Solar Loan
Own it, low/no down payment
Upfront cost$0–$2,000
Monthly payment$200–$260/mo
You own systemYes ✓
25yr savings$45,000–$65,000
Federal ITCExpired
Zero Down Option
Solar Lease
No ownership, instant savings
Upfront cost$0
Monthly payment$80–$140/mo
You own systemNo ✗
25yr savings$15,000–$25,000
Installer gets ITCYes ✓
Pay Per kWh
PPA
Pay less per kWh than utility
Upfront cost$0
Monthly paymentVaries by usage
You own systemNo ✗
25yr savings$10,000–$20,000
Installer gets ITCYes ✓
Option 1 — Cash Purchase
Buying your system outright with cash is the simplest and most profitable option over 25 years. You pay once, own the system completely, and every dollar of electricity savings goes directly into your pocket.
The 2026 cash purchase math for a typical Florida home:
- 10kW system gross cost: $22,000
- Florida sales tax exemption (6%): −$1,320
- Net cost: $20,680
- Annual savings (year 1): ~$2,040
- Break-even: ~10 years
- 25-year total savings: $55,000–$74,000
⚠️ The ITC Impact on Cash Purchases
In 2025, a cash buyer got 30% off their system cost — $6,600 back on a $22,000 system. That's gone in 2026. Cash purchases now rely entirely on Florida's state incentives and electricity savings. The math still works, it just takes 2-3 years longer to break even than it did last year.
Option 2 — Solar Loan
A solar loan lets you own the system with little or no money down, spreading the cost over 10-25 years. For most Florida homeowners this is the sweet spot — you get ownership benefits without a large upfront payment.
The key is finding the right loan term. Many installers push 25-year loans to make monthly payments look small — but you'll pay significantly more in interest. A 10-12 year loan typically produces the best balance of monthly payment and total cost.
Loan math on a $20,680 net system:
- 10-year loan at 6.99%: ~$240/month — most Florida homeowners pay less than this on their current electric bill
- 15-year loan at 7.49%: ~$190/month — close to bill neutral from day one
- 25-year loan at 8.99%: ~$175/month — low payment but $32,000+ in total interest paid
✅ The Loan Sweet Spot for Florida
A 10-12 year solar loan at a good rate often results in a monthly payment close to or below your current electric bill. You're cash flow neutral or positive from day one, and after the loan is paid off you have 13-15 years of near-free electricity. That's the most compelling version of the loan story.
Option 3 — Solar Lease
With a lease, a solar company installs panels on your roof and you pay them a fixed monthly fee — typically 10-15% below what you'd pay the utility for the same electricity. You never own the system. The installer owns it, maintains it, and claims the federal tax incentives.
Who leasing works for:
- Homeowners who want $0 down and immediate savings with no financial risk
- People who don't qualify for good loan rates
- Homeowners who don't want to deal with system maintenance or warranty issues
- Those planning to sell in 5-7 years — though see the home sale warning below
⚠️ The Home Sale Problem with Leases
Selling a home with a leased solar system is complicated. You must either transfer the lease to the buyer, buy out the lease yourself, or have the system removed. Many buyers don't want to assume a 20-year lease obligation. This is a real friction point — get advice from a real estate agent before signing a solar lease if you might sell in the next 10 years.
Option 4 — Power Purchase Agreement (PPA)
A PPA is similar to a lease but instead of a fixed monthly payment you pay per kilowatt-hour at a rate typically 10-20% below your utility rate. If you use more electricity you pay more — if you use less you pay less.
PPAs are common in Florida because companies like Sunrun and SunPower offer them statewide. The installer owns the system, handles maintenance, and benefits from the federal tax credit. You get cheaper electricity without any upfront cost.
The downside is identical to leasing — no equity, home sale complications, and lower long-term savings than ownership.
Side by side — 25 year comparison
Is it better to lease or buy solar panels in Florida in 2026? +
For most Florida homeowners planning to stay 10+ years, buying with cash or a loan produces better long-term returns. Leasing makes sense if you want $0 down with immediate savings and don't want ownership responsibility. The federal tax credit for buying expired in 2025, which narrowed the gap between leasing and buying somewhat — but buying still wins on 25-year economics.
Can I still get the 30% federal tax credit if I lease solar in Florida? +
No — if you lease you don't own the system so you can't claim the credit personally. However, the installer who owns the system can claim a commercial version through 2027 and may pass some savings to you through lower monthly rates. Battery storage still qualifies for the 30% credit through 2032 regardless of financing method.
What happens to a solar lease when I sell my house in Florida? +
You have three options: transfer the lease to the new buyer, buy out the lease before selling, or have the installer remove the system. Lease transfers can complicate home sales — some buyers don't want to assume a long-term contract. Owned systems are cleaner and add straightforward value to the home.
How much do solar loans cost in Florida in 2026? +
Solar loan interest rates in Florida currently range from 5.99% to 9.99% depending on your credit score and loan term. A $20,680 system on a 10-year loan at 6.99% costs about $240/month. Many Florida homeowners find their loan payment is less than their current electric bill, making them cash flow positive or neutral from day one.
Is a solar PPA a good deal in Florida? +
A PPA can be a good deal if you want zero upfront cost and don't qualify for a good loan rate. You pay per kilowatt-hour at a rate typically 10-20% below your utility rate. The installer owns the system and handles maintenance. The downside is you don't build equity and long-term savings are significantly lower than ownership.