New York homeowners can go solar with $0 down through several financing options. Understanding the tradeoffs helps you choose the structure that maximizes your net savings while matching your cash flow.
NY solar financing options:
- Solar loan (recommended): $0 down, you own the system, you keep ALL tax credits (federal 30% ITC + NY 25% state credit up to $5,000). Many homeowners apply the year-1 tax credits to pay down the loan principal. Monthly payments often below your current electric bill.
- Solar lease: $0 down, installer owns the system, you pay a fixed monthly lease payment. You do NOT receive the federal or state tax credits. Savings are real but smaller than loan ownership. Lease encumbers the property title — can complicate home sales.
- PPA (Power Purchase Agreement): $0 down, you pay per kWh produced at a contracted rate below your utility rate. Installer owns the system; you don't receive tax credits. Rate typically escalates annually.
- PACE financing: Property-assessed financing repaid through property tax bill. Available in some NY jurisdictions.
The NY state 25% tax credit (up to $5,000) plus federal 30% ITC makes loan ownership exceptionally attractive in New York — the combined $14,000+ in credits can cover loan principal and make ownership far more economical than lease or PPA over 25 years.