A home with solar panels can offer an appealing way to reduce electricity costs and, when paired with battery storage, provide a potential backup power source. If you already like a property because of its solar system, however, you will want to look beyond the panels themselves before you agree to buy. The arrangement connected to the system can add another layer to the transaction.
Here are the key points to understand before you make the purchase.
The solar panels may not belong to the seller
The seller may own the system outright, finance it or have a solar company own it through a lease or power purchase agreement. That distinction matters because you need to know whether the system will transfer with the property and whether you will take on any existing obligations.
A solar agreement can create obligations for you
A leased or financed system can leave you with payments or other contractual responsibilities after you purchase the home. Before accepting those terms, review the agreement for the remaining balance, transfer requirements and any conditions you must meet to assume it. The Connecticut Office of the Attorney General warns that solar leases and power purchase agreements can involve long-term obligations and affect a home’s sale.
Solar arrangements can affect the closing process
Transfer requirements can create delays if you leave them until the end of the transaction. Connecticut’s new Public Act 26-16, effective Oct. 1, 2026, requires residential solar lenders and lessors to provide requested payoff statements or transfer documents within seven days.
Make the solar system part of a clear real estate agreement
Your purchase documents should clearly address what happens to the solar equipment and any related agreement. Reviewing those terms with your attorney can help you understand exactly what you will receive with the home and what responsibilities you will accept before closing.