Construction & Architecture / Solar & Energy
Solar Lease vs Purchase Calculator
Solar System Details
Lease vs Purchase
Purchase: Higher upfront cost, but you own the system. 30% federal tax credit, full energy savings.
Lease: No upfront cost, but you pay monthly. No tax credit. Savings shared with leasing company.
Tip: Purchase usually saves more money long-term if you can afford the upfront cost.
Use this solar lease vs purchase calculator to compute solar & energy results from your inputs.
Formula
Lease total = Σ(Monthly payment × (1 + Escalator)^year) × 12 × Years Purchase total = (System cost - Tax credit) or Loan total if financed Lease savings = Production guarantee × Electricity rate × Years - Lease total Purchase savings = Production × Electricity rate × Years - Purchase total Net comparison = Purchase savings - Lease savings