Navigating Solar Panel Agreements: What Seniors Should Know

In recent months, we have seen a growing number of concerns from homeowners—especially seniors—about contracts for solar panel systems. While solar energy can be a great way to reduce electricity costs and promote sustainability, it’s important to approach these agreements with care. Many issues we see stem from misunderstandings or misleading sales tactics that lead to costly, long-term consequences.

* A separate article explains what may happen if a homeowner does not make the payment required by the agreement.

The Promise Versus the Reality

The story often begins the same way: an uninvited salesperson promises a solar system that will drastically cut—or even eliminate— the homeowner’s electric bill. Sometimes it’s presented as being “free.” Understandably, this can sound like an easy decision: lower energy bills today and protection from rising costs tomorrow.

But after installation, some homeowners find the promised savings never arrive. In fact, their new monthly costs may end up being higher than their previous utility bills—and the contract may lock them in for 25 years or longer.

Other homeowners are surprised to learn they didn’t actually buy a solar system; they just leased it and that they’ll have to make a large payment just to keep it at the end.

No mater the issue, the common complaint we often hear is: “That is not what the salesperson told me..!”

Here’s the hard truth: verbal promises made by a salesperson may not match the agreement. And most solar contracts – even legitimate ones – include a clause that says the written agreement overrides all other discussions.

In other words, if it’s not written in the contract, it may not count or be enforceable!

What to Ask Before You Sign

If you’re considering a solar agreement, take these important steps:

Be wary of door-to-door sales: If someone shows up uninvited to sell you a solar system, you are under no obligation to engage. You wouldn’t agree to a new roof or pool installation from a stranger at your door—consider solar panel systems the same way.

Do your research: Get multiple bids, compare options, and check reputations. Look up reviews from the Arizona Attorney General’s Office, Better Business Bureau (BBB), and Arizona Registrar of Contractors, along with online feedback. Watch for patterns of complaints. If the company has a short business history that too could be a concern (this is no longer a new industry!).

Know the full deal: Ask and confirm in writing:

Is this a purchase or a lease?
What is the monthly payment? Can it Increase?
What happens if my roof needs repair before installation?
How long is the agreement?
Who pays for repairs and maintenance to the system?
What guarantees are there that the system will operate as promised?
What is the total paid over the term of the agreement?
Who owns the system when the contract ends?
Is there a buy out payment at the end if I want to keep the system?
If I don’t want to keep it – who pays to remove the system?
What happens if I want to move or sell my home before the agreement is over?

Get everything in writing: If the salesperson makes a promise, it must appear in the written contract—or it probably won’t be honored. Ask for a printed copy to review on your own, especially if the contract is electronic. If the company refuses and pushes you to sign quickly, consider that a major red flag and find another company.

Remember: “If it sounds too good to be true, it probably is.” There are many reasons—even legitimate ones—why a system might not save as much money as promised. If you can’t afford the system without the projected savings, you may be exposing yourself to serious financial risk.

If You Have Already Signed

Arizona law gives you three business days (including Saturday) to cancel a contract signed at your home. Act quickly: cancel in writing and keep proof of when and how you did so. If the cancellation period has passed, your legal options may be limited.

It’s important to take steps to protect your legal rights. If something feels wrong after signing a solar contract, consider the following actions:

File a complaint with the Arizona Attorney General’s Office
If you are a vulnerable adult and were taken advantage of – contact Adult Protective Services
Seek legal assistance from an attorney, legal aid organization, or consumer protection resource—acting early can help preserve your options
Leave an honest review—federal law protects your right to share truthful experiences

Solar energy can be a smart investment—but only if the terms are clear and reasonable. Take your time, ask the right questions, and don’t sign anything until you’re sure. Your home may be your most important asset. Protect it wisely.