June 16, 2025: Currently, homeowners can benefit from the 30% residential Investment Tax Credit (ITC), which makes solar panel installation more affordable. But this key incentive could soon be eliminated as part of the budget bill now under consideration in Congress—nearly nine years earlier than originally planned.
According to Charlie Hadlow, President and COO of solar marketplace EnergySage, the potential removal of the ITC could mean losing out on up to $9,000 in savings. He warns that only solar systems fully installed and operational by year-end will be eligible for the current 30% credit.
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Despite the uncertainty, experts say that going solar still makes strong financial sense. “Even without the ITC, solar is a smart investment,” said Emily Walker, Director of Content at EnergySage. The company estimates that homeowners can save up to $100,000 over the lifetime of their solar panels. Most systems pay for themselves in 7–8 years and then continue generating nearly free electricity for decades.
Besides the savings, solar panels can increase your home’s value, reduce your reliance on the grid, and shield you from future utility rate hikes. Plus, there’s the added benefit of reducing your carbon footprint and supporting clean energy.
EnergySage also offers a free mapping tool that shows average solar panel costs and incentives across U.S. states—helping homeowners compare quotes and make informed decisions.
With the clock ticking on federal incentives, now might be your best shot at locking in long-term savings and going green.