While rooftop solar systems are economically viable in many geographies, two primary obstacles prevent widespread adoption—upfront cost and lack of attractive financing. Most property owners interested in benefitting from the potential savings of a rooftop solar system do not have the cash on hand necessary to finance the installation of the system. Further complicating the issue is a dearth of financial products that are suited to the rooftop solar asset. Ideally, financing for rooftop solar matches the useful lifespan of the panels and the stream of savings produced by the panels such that monthly savings are greater than the monthly cost of financing, so solar systems are cash flow positive for the end-user.
Many areas where solar is economically viable lack attractive financing options. But there have been many recent innovative new financial products that have made it increasingly easy for property owners to finance solar systems and avoid upfront costs. See below for two such examples.