09/11/2026
The Windham Eagle Real Estate
Friday, September 11, 2026
Buying a home with solar panels
By Nicole Foster, Broker/REALTOR
The installation of residential solar panels has grown significantly over the past decade, as the technology has continued to improve while the cost of solar energy has declined. At the same time, rising electricity costs have made the potential for long-term energy savings an increasingly appealing reason for homeowners to consider going solar.
Owning a home with solar panels can offer several benefits, including the potential to reduce your energy bills, lower greenhouse gas emissions, and provide greater energy independence.
If you're considering buying a home with solar panels, you’ll need to understand the system and how it works. Not all solar systems are the same, and details such as the age and condition of the panels, system size, expected energy production, warranties, and maintenance requirements are all important considerations. Just as importantly, you’ll want to understand how the system was purchased or financed.
Whether the panels are owned outright, financed through a solar loan, leased, or covered by a power purchase agreement (PPA) can have a significant impact on the purchase of the home, and the obligations that may transfer to you as the new homeowner. Understanding these details can help you determine whether the home—and its solar energy system – is the right fit for you and your financing.
As of early 2026, marketplace data from EnergySage suggests that the typical U.S. home solar shopper is looking at a system of about 12 kilowatts (kW), with an average installed cost of roughly $30,500 before incentives. The actual cost of a solar system can vary considerably depending on factors such as location, roof size and condition, equipment, and local labor costs.
Find out when the solar system was installed and how its age compares with the age and expected remaining life of the roof. Residential solar panels typically last 20 to 25 years, so it is important to consider whether the roof will need repairs or replacement before the solar system reaches the end of its useful life. The installation company can provide valuable information about the age of the system, its maintenance history, and the terms of the original purchase or financing agreement. If the original installer is no longer in business, find out the manufacturer and model of the solar panels and inverter(s). You may be able to contact the manufacturer directly for information about the equipment and any applicable warranties. You can also contact a qualified local solar installer to find out whether they are familiar with the equipment and can inspect the system to ensure it is functioning properly.
A third-party owned system may require additional steps to assume ownership or to transfer the contract. It is important to address these details early in the transaction, or before making an offer, to avoid delays or unexpected issues at closing. Ask the current homeowners about existing warranties and check that the paperwork is up to date. Contact the manufacturer to learn about any maintenance needs. Your lender will need to review any contractual agreements tied to the solar panels. If the seller prepays the solar lease, an invoice or other documentation showing that the lease has been paid in full should be provided.
If the seller will not be pre-paying the lease, documentation from the solar company confirming that the lease can be transferred to the buyer will likely be required by your lender. If the homeowner bought the system outright or under a loan, the ownership should convey with the property. Sellers who own their system outright are in the best position when it comes to selling their solar-equipped home. According to Fannie Mae appraisal guidelines, the ownership and financing structure of a solar panel system are important factors in determining how the panels are treated in a real estate transaction.
Depending on the arrangement, the system may be owned by a third party, considered the homeowner's personal property or be treated as a fixture to the real estate. Understanding how the system is owned and financed can therefore be important when determining what is included with the property and how the solar panels should be considered in the appraisal.
As a REALTOR®, I am seeing this scenario with increasing regularity in our marketplace as more and more homes become equipped with solar energy systems. As solar becomes a more common feature of residential properties, it is increasingly important for both buyers and sellers to understand how these systems are owned, financed, and transferred as part of a real estate transaction.
Nicole Foster is a real estate broker with over 20 years of experience helping buyers, sellers and investors in Southern Maine who loves real estate and people. Follow Nicole at or facebook.com/sellingmaine.
Buying a home with solar panels
https://realestate.thewindhameagle.com/2026/09/buying-home-with-solar-panels.html
Nicole Foster,Broker/ Realtor
