What is a solar loan?

Solar loans are typically unsecured personal loans used to finance the purchase and installation of solar panels. These loans can have amounts from $1,000 to $100,000. Personal solar loans are one way to fund solar panels; other options include home equity, federal incentives or leasing if you aren't ready to buy.

How much does a solar loan cost?

These loans can have amounts from $1,000 to $100,000. Personal solar loans are one way to fund solar panels; other options include home equity, federal incentives or leasing if you aren't ready to buy. NerdWallet’s review process evaluates and rates personal loan products from more than 35 financial technology companies and financial institutions.

Where can I get a solar loan?

Many different institutions offer solar loans, including local and national banks, specialty financing companies, manufacturers, and credit unions. To choose the best solar loan for you, compare options from a few different financing providers. Use the EnergySage Solar Marketplace to review multiple equipment, installer, and financing options.

Is a solar loan a good investment?

Over 2.5 million homeowners in the U.S. have opted for solar systems in their homes for good reason. It's a great investment that boosts your home's value and slashes electricity expenses by tens of thousands of dollars. As you search for the right solar loan provider, review the solar loan FAQs below to ensure you find one tailored to your needs.

How do solar loans work?

Solar loans are installment loans. You receive money in a lump sum and repay it in equal monthly installments over a predetermined period, typically two to seven years. Unlike with home equity financing, there’s no collateral required with solar loans.

Is a solar installer a lender?

While installers are often dealers for loans, they’re not necessarily the lender themselves. By signing up for a solar loan through an installer, you may be borrowing from a separate loan company that works with the installer.