Common Myths About Solar Leases

Solar leases tend to get talked about in extremes—either as a “no-brainer” or something to avoid entirely. In reality, most of the noise comes from misunderstandings rather than how leases actually work.

For homeowners considering solar, separating myth from fact makes it much easier to decide whether a lease fits their situation.

Here are the most common myths—and what’s actually true.

Myth #1: “You Don’t Get Any Benefit From a Solar Lease”

This is one of the most persistent misconceptions.

With a solar lease, homeowners typically benefit from:

• A predictable monthly energy cost

• Reduced reliance on utility power

• Protection from utility rate increases
  
  

While the system isn’t owned by the homeowner, the energy it produces is still used by the home. The benefit shows up in how electricity is sourced and priced—not in equipment ownership.

Myth #2: “Solar Leases Can’t Be Transferred When You Sell”

In most cases, solar leases are designed to transfer to a new homeowner.

The transfer process is often similar to:

• Transferring an electric account

• Passing along an HOA agreement

• Assigning a service tied to the property
  
  

The new homeowner takes over the existing lease terms and continues receiving the solar energy produced by the system. Removal is rarely the default option.

Confusion usually comes from lack of explanation—not from transfer difficulty.

Myth #3: “Buyers Won’t Want a Home With a Solar Lease”

Buyers generally don’t reject solar leases outright—they want clarity.

What buyers usually care about:

• Monthly cost

• How that cost compares to local utility rates

• Whether the terms are clearly documented
  
  

When solar is explained as part of how the home is powered—rather than a surprise obligation—it tends to feel familiar, not risky.

Myth #4: “Leases Lock You Into Bad Terms Forever”

Solar leases are long-term agreements, but that doesn’t mean they’re inflexible or predatory by default.

Most leases clearly define:

• Monthly payment structure

• Term length

• Transfer conditions

• System responsibilities
  
  

The issue isn’t that leases are inherently bad—it’s that homeowners sometimes don’t understand the terms before signing. That risk exists with any long-term agreement, not just solar.

Myth #5: “Leases Are Worse Than Utility Power”

This comparison is often misunderstood.

Utilities like Dominion Energy and Appalachian Power Company:

• Set rates that change over time

• Control pricing structures

• Bill for electricity pulled from the grid
  
  

Solar leases typically offer a defined pricing structure, which some homeowners prefer for predictability—even if ownership isn’t the goal.

It’s not about “better” or “worse.” It’s about which structure aligns with your priorities.

Myth #6: “You’re Stuck If Your Plans Change”

Life changes—jobs, family size, and housing plans evolve.

Solar leases are built with this reality in mind:

• They’re tied to the home, not the individual

• They include transfer processes

• They’re designed to continue operating regardless of who lives there
  
  

That doesn’t mean every situation is identical, but leases are not designed to trap homeowners in place.

Myth #7: “Leases Mean You’re Not Really Going Solar”

Going solar isn’t defined by ownership—it’s defined by how energy is produced and used.

Leased systems:

• Generate clean energy on-site

• Reduce grid dependence

• Operate under the same net metering rules
  
  

From a functional standpoint, the home is still powered by solar during production hours—regardless of who owns the equipment.

The Real Question Isn’t “Lease or Own”

The better question is:

“Which structure fits my timeline, goals, and comfort level?”

Leases can make sense for homeowners who:

• Value simplicity

• Prefer predictable costs

• May not stay long term

• Don’t want maintenance responsibility
  
  

Ownership can make sense for those planning to stay longer and treat solar as a long-term asset.

Neither option is automatically right or wrong.

The Takeaway

Most solar lease myths come from assumptions—not facts.

When leases are explained clearly, they become one of several valid ways to go solar. The key is understanding how they work, how they transfer, and how they compare to utility power—not relying on blanket opinions.

Clarity—not fear—is what leads to better decisions.

VirginiaSolar.org was created to give Virginia homeowners clear, unbiased information about solar—so decisions are made with confidence, not pressure.

Our Help Desk and resource library are here whenever you want to go deeper or ask questions.