15 Questions to Ask a Solar Installer Before Signing

Ask about their licensing and insurance, years of experience, specific equipment (panels and inverters), total cost before and after state incentives, system sizing methodology, realistic payback period without the federal tax credit (which expired in 2025), warranty coverage, who handles permitting, and whether they subcontract installations. In 2026, also ask about Section 48E lease/PPA options and FEOC-compliant panels.

No. The federal residential solar tax credit (Section 25D) expired on December 31, 2025. Homeowners who buy solar with cash or a loan receive $0 in federal tax benefits. However, the Section 48E commercial investment tax credit is still available to third-party system owners (financing companies) on projects beginning construction before July 4, 2026, which can benefit homeowners through lower lease or PPA payments.

Without the federal tax credit, realistic payback periods for cash or loan purchases range from 8-17 years depending on your state electricity rates, net metering policy, and available state incentives. States with high electricity rates and strong net metering (like Massachusetts at $0.28-0.32/kWh) have shorter paybacks. Lease/PPA options provide day-one savings with no upfront cost.

Section 48E is the commercial clean energy investment tax credit. Unlike the expired residential Section 25D credit, Section 48E is available to businesses and financing companies that own solar systems. When a financing company leases you a solar system, they claim the 48E credit and pass savings to you as lower monthly payments. The FEOC compliance deadline is July 4, 2026.

Expect three layers of warranty: a 25-year product warranty from the panel manufacturer, a 25-30 year performance guarantee (panels produce at least 80-87% of rated output), and a 25-year inverter warranty. Additionally, your installer should provide a 10-year minimum workmanship warranty covering the installation itself, including roof penetrations and wiring.

In 2026, leases and PPAs have become more competitive because the financing company can claim the Section 48E tax credit that individual homeowners cannot. A lease provides day-one savings with no upfront cost. Cash purchases maximize 25-year savings but have longer payback periods without the federal credit. The right choice depends on your budget, electricity rate, and how long you plan to stay in your home.

Check their state contractor license on the licensing board website. Verify insurance certificates (general liability and workers' comp). Look for NABCEP certification. Check BBB rating and Google reviews. Ask for references from recent local installations. Confirm they have a physical office, not just a PO box. A legitimate installer provides all of this without hesitation.

The biggest red flags are: quoting a 30% federal tax credit on a cash or loan purchase (it expired in 2025), high-pressure same-day signing tactics, no written cancellation policy, workmanship warranties under 10 years, using subcontractors with no accountability, refusing to provide a shade analysis, and significantly lower pricing than all other bids (hidden fees or cut corners).