What happens when you decide to install solar panels
Installing solar panels involves getting a site assessment, choosing equipment and a contractor, securing any necessary permits, having the system installed, and connecting it to your home's electrical system. The whole process typically takes three to six months from your first conversation with a solar company to the moment your system starts generating power. You will not own the panels immediately — most people either buy them outright, finance them through a loan, or lease them from a solar company, and each path has different costs and long-term outcomes.
The first step is almost always a free assessment. A solar company sends someone to your home to measure your roof, check sun exposure, review your electricity bills, and estimate how many panels you would need. This assessment is free because the company is deciding whether your home is a good fit for solar — not every roof angle, shading situation, or electrical setup works well. After the assessment, you get a quote showing the system size, equipment brands, total cost, and estimated monthly savings.
Key Takeaways
- A solar company will visit your home for free to assess your roof, sun exposure, and electricity use before giving you a quote.
- You can own panels outright, finance them with a loan, or lease them from the solar company — each option has different upfront costs and long-term savings.
- Permits and inspections are required by your local government and are usually handled by the solar company, not by you.
- Installation typically takes one to three days, and your system connects to the grid through an inverter that converts DC power to AC power for your home.
- After installation, a government inspector must approve the system before you can turn it on and start using it.
Getting a site assessment and understanding your quote
When you contact a solar company, they schedule a free home visit. The installer measures your roof dimensions, checks which direction it faces, notes any trees or buildings that cast shadows, and reviews your past twelve months of electricity bills. This information tells them how much sun your roof actually gets and how many panels you need to offset your current usage. They also check your electrical panel to see if it needs upgrades before solar can connect.
The quote you receive will list the system size in kilowatts, the specific panels and inverter brand, the total cost before any discounts, and an estimate of how much electricity the system will produce each year. It will also show any tax credits or rebates you may be able to use — the federal Investment Tax Credit currently covers 30 percent of the system cost, though this percentage changes by year. Some states and utilities offer additional rebates. The quote should also show the monthly payment if you are financing, or the lease payment if you are leasing.
Choosing between buying, financing, or leasing
If you buy panels outright, you pay the full cost upfront — typically $15,000 to $25,000 before tax credits, depending on system size and your location. You own the equipment, keep all the electricity savings, and can claim the federal tax credit on your taxes. You are also responsible for maintenance and repairs after the warranty expires. Most people do not have this much cash available, so they choose one of the other two routes.
A solar loan lets you borrow money to buy the panels and pay it back over time, usually ten to twenty years. You own the system, keep the tax credit, and own the electricity it produces. Your monthly loan payment is typically lower than your current electricity bill, so you save money from month one. When the loan is paid off, the electricity is free. A home equity line of credit or a dedicated solar loan are the most common types.
A solar lease means a company owns the panels and you pay them a fixed monthly fee to use the electricity they produce. You do not own the system, do not claim the tax credit, and do not handle maintenance — the company does. Your monthly payment is usually lower than what you currently pay for electricity, but you never own the equipment and the savings are smaller than if you bought. A lease typically lasts twenty to twenty-five years.
Permits, inspections, and what the solar company handles
Before installation can begin, your local government requires permits and inspections. The solar company almost always handles this paperwork — you do not need to contact your city or county yourself. They submit the plans to your local building department, pay the permit fees (which are usually rolled into your quote), and schedule the inspections. Permit timelines vary widely by location; some cities process them in two weeks, others take two months.
Your utility company also needs to know about the system. The solar company notifies them and requests an interconnection agreement, which is the contract that lets your solar system connect to the grid. This agreement specifies how excess power you generate flows back to the grid and how you are credited for it. In most places, you get a credit on your electricity bill for power you send back — this is called net metering, though the exact credit amount varies by utility and state.
The installation day and connecting to your home's electrical system
Installation typically takes one to three days depending on system size and roof complexity. The crew arrives with the panels, mounting hardware, and electrical equipment. They bolt the mounting rails to your roof, attach the panels to the rails, run wiring from the panels down to your electrical panel, and install the inverter — the box that converts the direct current power from the panels into alternating current power your home can use. They also install a disconnect switch, which lets you safely shut down the system if needed.
The crew will not turn the system on when they leave. Instead, they leave it disconnected until a government inspector approves it. This inspection checks that the wiring is correct, the equipment is properly grounded, and everything meets electrical code. Once the inspector signs off, the solar company connects the system to your home's electrical panel and to the grid. At that point, your system starts generating power and you begin using the electricity it produces.
Monitoring your system and understanding your electricity bill
Most modern solar systems come with a monitoring app that shows how much power your panels are producing in real time and how much you are using. You can see daily, monthly, and yearly production. This helps you spot problems — if production suddenly drops on a sunny day, something may be wrong and you can contact the company to check it.
Your electricity bill changes after solar is installed. If you own the system or are financing it, you will see two parts: the power you used from the grid (which may be zero or very low) and a credit for power you sent back to the grid. If you are leasing, your bill shows your lease payment to the solar company plus whatever grid power you still need. In either case, your total monthly cost for electricity should be lower than before.
Maintenance, warranties, and what happens over time
Solar panels require very little maintenance. They do not have moving parts, and rain usually cleans them. In dusty areas or places with heavy pollen, occasional rinsing with a hose keeps them efficient. If you own the system, you are responsible for this maintenance. If you lease, the solar company handles it.
Panels typically come with a 25-year warranty that covers defects and guarantees they will produce at least 80 percent of their original output after 25 years. The inverter usually has a 10 to 15-year warranty and may need replacement during the life of the panels. If you own the system, you pay for inverter replacement; if you lease, the company does. Most panels last 30 to 40 years, so they often outlive their warranty period.
What to do before you contact a solar company
Before you reach out, gather your past twelve months of electricity bills — the solar company will ask for them. Check your roof condition; if it needs replacement in the next five to ten years, do that before installing solar, because removing and reinstalling panels is expensive. Look at your roof direction and note any large trees or buildings that shade it during the day.
Research solar companies in your area by reading reviews on Google and the Better Business Bureau, and ask neighbors if they have solar and which company they used. Get quotes from at least two or three companies — prices and equipment vary, and comparing them helps you understand what is typical in your area. Do not feel rushed; reputable companies will not pressure you to decide the same day.
Frequently Asked Questions
Do I need a new roof before installing solar panels?
Not necessarily, but if your roof is more than 15 years old or showing damage, ask the solar company to assess it. If replacement is likely in the next five to ten years, it is usually cheaper to replace the roof first, then install panels, rather than remove panels later for roof work.
What happens to my solar system if the power goes out?
Grid-tied solar systems (the most common type) shut down automatically during a power outage for safety reasons — workers repairing power lines could be injured by electricity flowing from your panels. If you want power during an outage, you need a battery system, which adds significant cost.
Can I install solar panels myself?
Rooftop solar installation requires electrical permits, inspections, and connection to the grid — all of which require licensed electricians and inspectors. DIY installation is not practical and would likely violate local code. Ground-mounted systems in some cases allow more flexibility, but still require permits and professional electrical work.
What if I move or sell my house?
If you own the panels, they stay with the house and transfer to the new owner — this is usually a selling point. If you are financing, you can pay off the loan before selling or transfer the loan to the new owner if they agree. If you are leasing, the new owner takes over the lease payments, or you may be able to transfer the lease to them.
How much will my electricity bill actually decrease?
This depends on your system size, how much sun your roof gets, and your current electricity rate. The solar company's quote includes an estimate based on your location and past usage. Most homeowners see 50 to 90 percent reductions in their electricity bills, though some areas with less sun or higher system costs see smaller savings.