Before you sign a solar contract
A solar lease or loan can last 20 to 25 years and stays with your house. Here are your rights, the laws states passed to rein in pushy sales, and the questions that show whether an offer is fair.
Checked November 12, 2026
You can change your mind. If you sign at your home (including when you invited the salesperson), you can cancel a sale or lease of $25 or more until midnight of the third business day after you sign. Saturday counts as a business day. The seller must tell you about this right and give you a cancellation form. Some states give you longer.
Ten questions to ask
- What's the cash price, and the price per watt? Even for a loan or lease. Most 2026 quotes fall between about $2.41 and $3.34 per watt.
- How much does the payment go up each year? An escalator above what electricity prices rise makes the deal worse every year.
- How did you estimate my production? Shade, roof direction and pitch all matter. Ask whether production is guaranteed, and what you get if it falls short.
- How did you value the power I send to the grid? Many states now credit it at less than retail. A quote that assumes full credit overstates savings.
- Is there a dealer fee in the loan? Very low solar loan rates are often paid for with a fee built into the price. Ask for the cash price and compare.
- Are you counting a tax credit? If you're buying, there's no federal credit for systems installed in 2026. If the savings depend on one, ask what the credit is.
- What happens if I sell the house? A buyer has to take over a lease or PPA, or you pay it off. A loan may carry a lien on the home.
- Who fixes the roof and the system? Get the workmanship and roof-penetration warranties in writing, with their length.
- What happens at the end of the term? Removal, a buyout price or a renewal: get it in the contract.
- Are you registered or licensed in my state? Several states now require it, and in some a contract signed with an unlicensed company can be voided.
Red flags
- "Free solar," a "government program," or a salesperson who implies they're from your utility.
- "You'll never pay an electric bill again." You'll still pay the utility's fixed charges, and usually some power at night.
- Pressure to sign today, or on a tablet before you've seen the full contract.
- A savings estimate that uses the 30% credit for a system you'd buy, or assumes electricity prices jump 5% or more a year.
State solar sales laws
These states have laws aimed specifically at solar sales and leases. Each state's page has the details.
| State | Law | Highlight |
|---|---|---|
| Arizona | SB 1419 (2026) | Arizona already requires solar sales disclosures; SB 1419 simplified them, replacing 11 separate savings estimates with a shorter summary. |
| California | California Solar Consumer Protection Guide (AB 1070) | Customers of PG&E, SCE, SDG&E and some smaller utilities must read, initial and sign the state's Solar Consumer Protection Guide before signing a contract, or the system can't be connected. |
| Colorado | Consumer Protection Residential Energy Systems Act Since July 1, 2026 | Covers solar leases and power purchase agreements signed on or after July 1, 2026. |
| Connecticut | Solar sales consumer protections (2026) | Sellers must give you a state-published consumer brochure at the point of sale. |
| Nevada | SB 379 and SB 440 | Detailed disclosure requirements for solar leases and power purchase agreements, including the cover page. |
| Oregon | HB 4029, Oregon's first solar consumer protection law Since June 5, 2026 | Sellers must give plain-language disclosures before you buy or lease, including the full costs and financing terms. |
| Rhode Island | Residential Solar Energy Disclosure and Homeowners Bill of Rights Act Since March 1, 2025 | Solar sellers must register with the state; there is a public registry. |
| Texas | Residential solar retailer law (TDLR) Since September 1, 2026 | Solar sellers and salespeople must be registered with the Texas Department of Licensing and Regulation. |
| Washington | Solar consumer protection law (2024) | Your printed contract must include the full terms: financing, warranties and production estimates. |
If your state isn't listed, its general consumer protection law and the federal Cooling-Off Rule still apply. Complaints do get acted on: in February 2026, five California district attorneys settled a consumer protection case over solar sales for $1.3 million in civil penalties. Report problems to your state attorney general.
Sources: TDLR: Solar panel consumer protection; Energy Trust of Oregon: new protections for Oregonians going solar; Mayer Brown: the rise of third-party solar; Aurora Solar: consumer protection developments; Rhode Island's new solar registry and rules; pv magazine: transparency in solar sales; CPUC: California Solar Consumer Protection Guide.