Free Solar Tool
Solar Loan Payment Calculator
Enter your system cost, APR, and loan term — see your exact monthly payment, estimated electricity savings, and net monthly cost after the federal tax credit.
Add Solar Financing to Every Proposal
Calculate Your Solar Loan Payment
Adjust system cost, APR, term, and electricity bill. Your monthly payment and net savings update instantly.
Loan amount: $19,600
Estimated savings: $149/mo (85% offset assumed)
Monthly loan payment
$176.06
Net monthly cost
$27.31
Total interest paid
$12,091
Loan principal
$19,600
ITC savings
$8,400
Total loan cost
$31,691
Est. monthly savings
$149
Monthly payment uses standard PMT formula. ITC (30%) reduces loan principal when applied. Electricity savings estimated at 85% offset of monthly bill. Actual savings vary by system size, location, and utility rates. Tax credit depends on individual tax liability — consult a tax advisor.
Understanding Solar Financing
The net monthly cost is what actually matters
A $189/month loan payment sounds like an expense. But if that same system eliminates $160/month from your electricity bill, your net monthly cost is $29. Most homeowners in above-average electricity rate markets are cash-flow positive from day one. The goal of this calculator is to make that real number visible — not just the loan payment in isolation.
How the 30% federal tax credit works
The federal solar Investment Tax Credit lets you deduct 30% of the installed system cost directly from your federal income tax owed. On a $30,000 system, that's a $9,000 credit. It reduces what you pay in taxes that year — it's not a rebate or check, so you need to owe at least $9,000 in federal income tax to capture the full benefit.
Many solar lenders structure their loans with a balloon payment in year 1 equal to the expected ITC amount. If you apply the credit to the loan, your principal drops significantly. This calculator applies the ITC to the loan principal upfront to show you the simplified net payment view.
Solar loan APR comparison
Common Questions About Solar Financing
What is the monthly payment on a $30,000 solar system?
After the 30% federal tax credit, the net cost of a $30,000 solar system is $21,000. At a 6.99% APR over 15 years, the monthly loan payment is about $189. After factoring in estimated monthly electricity savings of $140–$175, the net monthly out-of-pocket cost is often $15–$50 per month — meaning most homeowners are cash-flow positive from day one. Use this calculator to adjust for your system size, APR, and electricity rate.
How does the federal solar tax credit affect my loan payment?
The federal solar Investment Tax Credit (ITC) is currently 30% of the total installed system cost. For a $30,000 system, that's a $9,000 credit on your federal tax return in the year you install. Many solar lenders structure their loans so the ITC amount is a lump sum due at the end of year 1 — if you apply the credit to the loan, your balance drops significantly. This calculator applies the ITC to reduce the loan principal upfront for a simplified monthly payment view.
What APR should I expect on a solar loan?
Solar loan APRs vary widely: lender-direct programs (GoodLeap, Mosaic, Sunlight) typically run 5.99–9.99% APR for well-qualified borrowers in 2025–2026. Home equity-based financing (HELOC or cash-out refi) can be lower (5–7%) but requires home equity and closing costs. Dealer-fee loans offered through contractors at '0% APR' often have a 20–30% dealer fee built in, which raises the effective system cost. Always compare total cost over the loan life, not just the monthly payment.
How long does it take for solar panels to pay for themselves?
For most homeowners in the US, the payback period on a cash solar purchase is 6–12 years, depending on electricity rates, system size, and local incentives. For financed systems, the 'payback' question is different — most homeowners are cash-flow positive from month 1 because the monthly loan payment is less than their electricity savings. Over a 25-year system life, a financed solar installation typically generates $30,000–$80,000 in net savings after all loan costs.
Present Financing Inside Every Solar Proposal
SubcontractorHub's EasyQuote shows homeowners their monthly payment options from GoodLeap and other lenders directly inside the proposal — so your reps close on the monthly payment, not the sticker price.
Book a Free DemoAll calculations are estimates. Actual loan payments, savings, and tax credits depend on your specific loan terms, electricity usage, location, and individual tax situation. Consult a financial advisor and tax professional before making financing decisions.