The residential federal tax credit is gone, but going solar is still one of the smartest financial moves a Texas homeowner can make. New ownership structures and state-level benefits keep the savings real — here is what you need to know.
See Your Options
Different ownership and financing structures unlock savings in different ways - these are the ones we talk through most often.
In some project structures, a financing partner owns the system during the early years and can use incentive value that a homeowner can no longer claim directly. Those savings can then be reflected in the pricing presented to you.
Some utilities offer meaningful battery incentives when storage is paired with solar - Up to $8,500. Depending on your provider and territory, that rebate can trim a noticeable amount from the upfront project cost before the system even starts generating long-term savings.
Some homeowners want to purchase outright, others prefer monthly payments, and some are better served by prepaid or third-party ownership structures. We compare the options side by side so the final setup actually fits your budget and risk tolerance.
Starting in 2026, the 30% federal residential solar tax credit is no longer available to homeowners who own their systems outright. Systems had to be placed in service by December 31, 2025 to qualify for the homeowner-claimed credit.
That does not mean the savings disappeared. Through Power Purchase Agreements (PPAs) and prepaid solar arrangements, a qualified third-party owner can still access federal incentive value — and that benefit gets reflected in lower pricing for you. The result is a system on your roof producing clean energy at a rate that beats the utility, with none of the tax paperwork.
Utility rates in Texas have climbed steadily for years. Solar gives you a fixed energy cost you can count on — no more surprises when the bill shows up.
Every panel on your roof displaces energy that would have come from natural gas or coal. It is a direct, measurable step toward reducing your household carbon output.
Texas weather is unpredictable. Add battery storage and your home keeps running through blackouts, storms, and rolling grid events — no generator required.
Homes with solar consistently sell for more. And in Texas, that added value is 100% exempt from property taxes — so the return goes straight into your equity.
A prepaid PPA is designed to give you most of the benefits of owning a solar system while letting a qualified partner handle the parts that unlock federal incentives. Here is how the arrangement typically works:
The bottom line: you get solar at a reduced cost, the partner handles the incentive logistics, and you end up with full ownership in a few years.
The 30% residential Investment Tax Credit (ITC) expired for homeowner-owned systems placed in service after December 31, 2025. That means you can no longer claim it directly on your personal return for new installations.
The credit still exists for qualifying commercial and third-party owners, though — which is exactly why PPA and prepaid structures remain a viable way to access that value. These arrangements are expected to continue through at least 2027.
In deregulated parts of Texas, many retail electricity providers offer solar buyback plans. Surplus energy your panels produce gets exported to the grid and shows up as a credit on your bill. Some providers match kilowatt for kilowatt; others offer a slightly lower export rate.
During peak production months, your electric bill can shrink to almost nothing. We compare every available plan in your service area and recommend the one that puts the most money back in your pocket. Pair with battery storage to keep excess energy for after sunset.
Solarize is built for this new chapter in solar. Whether you want a $0-down PPA where you pay monthly, a prepaid arrangement where you lock in pricing and gain ownership in a few years, or a traditional cash purchase — we walk you through every option side by side.
The numbers still work. The savings are still real. The only thing that changed is the mechanism — and we have already adapted. Talk to our team today.
Three steps from first call to powering your home
We review your utility bills, assess your roof, and design a system sized to your energy needs — including battery storage if you want backup power.
We present every option side by side — PPA, prepaid solar, loan, or cash — with transparent pricing so you pick what fits your budget.
Our crew handles permits, HOA coordination, installation, and utility activation. Most systems are up and producing energy within a few weeks.
A Power Purchase Agreement means a partner installs and owns the solar system on your roof while you simply buy the energy it produces — usually at a lower rate than your utility charges. You get solar with no equipment cost, no maintenance, and immediate savings on your electric bill.
With a prepaid PPA, you make one large payment (around 70% of the system cost) but a third party retains ownership initially. That owner can capture federal incentives you would not otherwise qualify for, and passes those savings into your price. After roughly six years, ownership transfers to you — so you end up with the system for less than a direct purchase would cost.
Not directly — the homeowner-claimed credit expired at the end of 2025. But the incentive still exists for commercial and third-party system owners. PPA and prepaid structures let homeowners benefit indirectly because the owner captures the credit and reflects it in lower system pricing for you.
Texas exempts solar equipment from state sales tax (6.25%) and fully exempts the added home value from property taxes. There is no statewide rebate program, but some local utilities offer their own incentives. We check your specific area during every proposal so nothing gets left on the table.
Ownership typically transfers after the federal incentive recapture period, which is around six years. Once the transfer happens, the system is fully yours with no ongoing payments. You continue generating free electricity for the remaining 20+ years of the system's life.
Texas has a deregulated energy market, and many retail providers offer buyback plans for solar customers. When your panels produce more than you use, the excess goes to the grid and you get credited on your bill. Credit rates vary by provider — we help you compare plans and choose the best one for your area.
Get a free savings estimate that includes every incentive and financing option available to you.
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