If you’re thinking about installing solar panels on your home, it helps to compare more than just the quoted price.
Before you sign a contract, ask questions about the installer’s experience, the system’s expected output, the type of warranties included, whether you would own or finance the system, and how the monthly cost fits into your overall housing budget.
The federal government provides the Residential Clean Energy Credit, which equals 30% of the costs of new, qualified clean energy property for your home installed anytime from 2022 through December 2032.
However, there are many installers that might not have the necessary experience, so be sure to ask the questions below when searching for your solar energy system.
You want to make sure to find a reputable company that has significant solar experience.
Ask for references before you sign anything.
Many times, solar panel brands will claim to be more efficient than others.
You’ll want to weigh the annual output against the price to determine what system is going to be the most cost effective for your home.
It is important to note that you should do an energy audit to see how you are using the power in your home before sizing the solar power replacement system.
You may be able to install a significantly smaller, and less costly, system if you learn how you can cut your power consumption prior to installing your new solar panels.
Ask the installer to break down the warranty coverage clearly.
A solar panel system may include separate product, performance, workmanship, and labor protections, and each one addresses a different type of issue.
For example, manufacturer performance warranties often state that panels are expected to continue producing at a defined percentage of rated capacity over time, while product warranties address defects in the panels themselves. Workmanship and labor coverage may come from the installer and can differ from one company to another.
Be wary of any company whose panels don’t come with a warranty, and ask for the warranty documents before you commit.
Don’t assume labor coverage is included just because the equipment has a manufacturer warranty.
Ask who is responsible if a panel, inverter, mounting component, or roof penetration issue requires service after installation, how long that labor coverage lasts, and whether workmanship coverage is handled by the installer, the manufacturer, or both.
Don’t get separate pricing for the parts, labor, and rebates. Get a comprehensive price, so you can directly compare the total cost and kWh per year among providers.
Also, pay attention to the difference between purchasing your solar power system and the leasing options available.
Ask whether you would own the system outright, finance it over time, lease it, or enter into another contract structure, and make sure you understand how each option affects monthly payments, maintenance responsibilities, incentives, and long-term flexibility.
Taking warranties, servicing fees, and ownership terms into consideration, the goal should be to choose the option that gives you the best overall fit for your home and budget.
If you are financing solar or signing a long-term solar agreement, ask how that arrangement could affect future conversations with your lender, appraiser, and real estate agent.
This is especially important if you may refinance, apply for a mortgage later, or sell the home before the solar obligation ends. In some lending situations, solar panels may not be included in the appraised value if the lender could repossess them after a financing default.
You should also ask whether the agreement creates any lien, UCC filing, transfer requirement, payoff obligation, or approval step that could complicate a refinance or sale.
Before you commit, ask the installer what happens if you move, ask your lender how the obligation may be viewed during underwriting or refinancing, and ask whether the appraiser will need documentation showing whether the system is owned, financed, or subject to another contract.
Sammamish Mortgage can help. We serve clients across Washington, Idaho, Colorado, Oregon, and California. Since 1992, we’ve been providing several mortgage programs and products with flexible qualification criteria to borrowers across the Pacific Northwest. Visit our website to get an instant rate quote or to use our online mortgage calculator. Or, reach out to us if you are ready to get pre-approved for a mortgage.
Before signing a contract, compare more than the quoted price. Ask about the installer’s experience, the system’s expected annual output, the warranties included, whether you would own or finance the system, and how the monthly cost fits into your overall housing budget.
Ask how many systems the company has installed, what the expected output is in kWh per year, what warranties apply to the equipment and workmanship, whether labor is covered, what the final total price is, and whether you would own, finance, lease, or use another contract structure.
There is no single required number, but you should look for a reputable company with meaningful solar installation experience. Ask for references before you agree to anything.
Compare the total cost alongside the expected annual output in kWh, not just the sticker price. Also review warranties, servicing fees, ownership terms, and whether the proposal is a purchase, financing plan, lease, or another arrangement.
Annual output helps show how much electricity the system is expected to produce over time. Comparing output against the total price can help you judge which system is likely to be the most cost effective for your home.
Yes. An energy audit can show how your home uses power before the system is sized. If you reduce consumption first, you may be able to install a smaller and less expensive solar system.
Ask the installer to clearly explain product, performance, workmanship, and labor coverage. Product warranties generally address defects in the panels, performance warranties describe expected output over time, and workmanship or labor coverage may come from the installer and vary by company.
Not always. Equipment warranties and labor coverage can be separate, so ask who pays if service is needed after installation, how long labor coverage lasts, and whether the installer, the manufacturer, or both are responsible.
You should understand whether you would own the system outright, finance it over time, lease it, or enter into another contract structure. Each option can affect monthly payments, maintenance responsibilities, eligibility for incentives, and long-term flexibility.
If the system is financed or tied to a long-term agreement, it may affect lender, appraiser, and real estate discussions later. Ask whether the agreement creates any lien, UCC filing, transfer requirement, payoff obligation, or approval step that could complicate refinancing or selling, and ask what happens if you move before the solar obligation ends.
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