More and more homes across Illinois and Wisconsin are hitting the market with solar panels already installed. For buyers, this can be a huge advantage—lower energy bills, increased home value, and even eligibility for ongoing incentives. But before you close, it’s important to understand exactly how the solar system is set up and what it means for you as the new homeowner.
1. Ownership vs. Lease/Financing
It’s important to note- not all solar systems are the same.
● Owned Systems: If the seller owns the panels outright, they’re typically included in the sale price of the home. This means you’ll enjoy the full energy savings immediately, with no additional payments.
● Financed Systems: If the system was purchased with a loan, the seller may either pay off the balance at closing or transfer the loan to you. Review terms carefully to see if transfer is allowed.
● Leased Systems or PPAs (Power Purchase Agreements): These require extra attention. A solar lease is similar to leasing a car—you don’t own the system, but you pay monthly for the energy it produces. As the buyer, you may need to qualify to take over the lease. Some agreements have buyout clauses or restrictions, so read the fine print.
2. Documentation to Request
Ask for complete documentation before moving forward:
● System details: size (kW), brand, installation date.
● Warranty coverage: panels, inverters, and workmanship.
● Utility history: 12–24 months of electric bills plus solar production reports.
● Service logs: Any past maintenance or repairs.
These records give you a clear view of how the system performs and whether it’s saving money as intended. Be aware, the system might have been sized to fit the previous homeowners energy consumption, so if you use more or less energy, you will see a differing monthly power bill cost.
3. Solar Incentives & SRECs
In Illinois, many homeowners benefit from the Illinois Shines program, which issues Solar Renewable Energy Credits (SRECs) in exchange for a 15-year commitment to produce renewable energy. Although the program tracks SRECs over that 15-year term, the incentive is typically paid out as a one-time lump sum shortly after installation. If the prior homeowner already received this payment, the new buyer won’t necessarily see those funds, but they will still enjoy the ongoing energy savings that come from the solar system.
As a buyer, you’ll want to clarify:
● Does the SREC agreement transfer with the home? Requesting the documentation detailing the transfer can help clear up some questions too.
● Or does the seller keep the rights to future credits?
This detail can make a big difference in the long-term financial benefit of your system.
4. Warranties & Service
Most solar panels are warrantied for 20–25 years. However, workmanship or labor warranties depend on the installer. If the system is leased, service may only be handled by the original leasing company—sometimes resulting in long wait times.
Knowing who to call for service is critical. Always ask: Who installed this system? Are they still operating locally?
5. The Value of a Reputable Installer
A strong local installer means peace of mind. Unlike some national leasing companies that exit markets or stop supporting older contracts, local solar providers are invested in long-term relationships with homeowners. When issues arise, you want an installer you can trust to answer the phone and provide timely support.
How Stateline Solar Helps
At Stateline Solar, we’ve guided countless homeowners through buying, selling, and maintaining homes with solar. Our team can help you review documentation, explain lease or loan agreements, and verify warranty coverage so you know exactly what you’re getting. If the system was originally installed by Stateline Solar, you’ll also have direct access to our service team for ongoing support. And if it wasn’t, we’re still here to help you understand your options and keep your solar investment working at its best.
Purchasing a home with solar can be a great investment, but it pays to do your homework. Take time to confirm ownership, review documentation, understand how incentives transfer, and know who will provide ongoing service. With the right preparation, you can move into your new home confident that your solar system will continue delivering value and energy savings well into the future.
