Yes, but in North Carolina it almost always means a $0-down loan, not a lease. State law (House Bill 589) bans third-party power purchase agreements and caps solar leasing so tightly that most homeowners are offered a no-up-front-cost loan instead. On a loan you own the system, keep Duke Energy net-metering credits, and there is no cash at signing. No up-front cost is not free: you still make monthly payments, and the 25D federal homeowner credit ended December 31, 2025.
North Carolina homeowners pay about 15.09 cents per kWh for electricity (EIA retail sales, residential NC, May 2026). That is close to the national average, but a full-size roof still runs a real power bill, which is why $0-down solar gets advertised hard here. The twist is that North Carolina is one of the few states where the usual $0-down playbook does not work the way the national ads suggest. Here the honest answer is a solar loan, because state rules choke off the lease and PPA options most companies lead with elsewhere. This page explains why you will be offered a loan, not a lease, what no up-front cost really costs, and how Duke Energy net metering shapes the math. For the wider state picture, see our North Carolina solar costs and incentives guide, and for the broader financing options, our no up-front cost solar hub.
Why North Carolina pushes you toward a loan, not a lease
North Carolina restricts the two financing paths that make $0-down easy in other states, so the loan is what is left. House Bill 589, the 2017 Competitive Energy Solutions for North Carolina law, set the rules that still govern rooftop solar financing here, and they cut two ways:
- Third-party PPAs are banned. A power purchase agreement, where a company owns the panels and sells you the power per kWh, counts as a retail sale of electricity that only your regulated utility may make. North Carolina prohibits third-party PPAs for residential solar, so this common $0-down structure is simply off the table (NC Sustainable Energy Association, HB589).
- Leasing is legal but capped near a standstill. HB589 did open a solar leasing program, but it capped total leased capacity at roughly 1 percent of the utility’s prior peak demand, and that cap has functioned close to a ban in practice. A limited number of companies have registered as approved lessors, so a true $0-down lease is available to only a fraction of homeowners in Duke Energy territory (NCSEA, solar leasing in North Carolina; NC General Assembly, HB589 summary).
With PPAs banned and leasing capped, the realistic no-up-front-cost route for most North Carolina homeowners is a $0-down solar loan. That is not a downgrade. On a loan you own the system from day one, which means you keep the Duke Energy net-metering credits and the property-tax exclusion instead of handing them to a third party. It also means you carry the debt and the upkeep, so the trade is ownership and its perks in exchange for a loan payment.
| Path | Available in North Carolina? | Who owns the panels | Who keeps net metering and incentives |
|---|---|---|---|
| $0-down solar loan | Yes, the common path here | You own it from day one | You, the homeowner |
| Solar lease | Legal but tightly capped by HB589, so rarely offered | A third-party company | The company that owns the system |
| PPA (per-kWh) | Banned for residential solar | Not available | Not available |
The short version: in North Carolina the loan is the practical $0-down option, and it happens to be the one that keeps the ownership perks with you. For the ownership case in dollars, see the financial case for whether solar panels are worth it, and for how the different financing routes compare, our solar financing and comparisons hub.
No up-front cost is not free: the honest tradeoffs
No up-front cost means no cash at installation, not no cost. A $0-down loan rolls the whole system price into monthly payments, and there are three tradeoffs an honest quote will not hide:
- You pay interest. A $0-down loan finances the full system, so the interest rate and term drive your real cost. A low advertised payment can hide a long term or a lender fee baked into the price, so ask for the annual percentage rate and the total of payments, not just the monthly figure.
- Payments can outlast the savings math. If your roof produces less than the sales estimate, or Duke’s net-metering credit is smaller than promised, your loan payment can sit above the bill you replaced. Compare the payment against your real power bill, not the pitch.
- The federal homeowner credit is gone. The 30 percent Residential Clean Energy Credit (Section 25D) ended for expenditures made after December 31, 2025, so a North Carolina homeowner who buys with a loan in 2026 cannot use it to offset the balance. A quote that still assumes a 30 percent credit is out of date.
None of that makes $0-down a bad deal. For many North Carolina homes a loan is the only way solar pencils out with no savings to tap up front. It just means you should compare the lifetime cost, not only the nothing-down headline. To see how the bill offset works, read how solar lowers your electricity bill.
How Duke Energy net metering and the rate make a $0-down loan cash flow
On a loan you keep every net-metering credit. Because you own the system, the credit is yours, and in North Carolina it still does real work. Duke Energy now enrolls new residential solar customers on either the transitional Net Metering Bridge Rate or the newer Residential Solar Choice time-of-use plan. The Bridge Rate carries a small minimum bill and credits your exports, and Duke has said it will stop accepting new Bridge Rate applicants after 2026, so the enrollment window matters for anyone weighing a 2026 install (NCSEA, Duke net-metering changes; NC Public Staff, net metering). Systems of 15 kW or larger also pay a grid access fee, so most home systems stay under that line. For the full formula and the deadline detail, see North Carolina net metering in 2026, and for the mechanics generally, how net metering credits your solar exports.
According to MySolarFY’s analysis (August 2026), a 6 kW rooftop system in Charlotte produces about 8,494 kWh a year (NREL PVWatts v8), which at North Carolina’s residential rate of about 15.09 cents per kWh offsets roughly $1,280 of grid electricity in year one. That is the number a $0-down loan payment has to beat to put cash in your pocket, and it is why owning the system, and its net-metering credits, matters more here than in a lease state. The table below is our own estimate for a typical system in Duke territory; treat every figure as a starting point and get real quotes for your roof.
| North Carolina solar money fact | Value (as of 2026) | Source |
|---|---|---|
| Residential electricity rate | About 15.09 cents per kWh (May 2026) | EIA |
| Typical 6 kW production (Charlotte) | About 8,494 kWh per year | NREL PVWatts (MySolarFY estimate) |
| Year-one bill offset if you own | About $1,280 | MySolarFY estimate |
| Net metering (new customers) | Duke Bridge Rate (closing to new applicants after 2026) or Residential Solar Choice TOU, with a minimum bill | NC Public Staff |
| Federal homeowner credit (25D) | Ended December 31, 2025; not available in 2026 | IRS |
MySolarFY estimate, August 2026. The $1,280 year-one offset assumes a 6 kW system in Charlotte at about 8,494 kWh per year (NREL PVWatts v8) against North Carolina’s roughly 15.09 cents per kWh residential rate (EIA, May 2026), before any Duke minimum-bill or time-of-use adjustment. No 25D credit is included, since it ended after December 31, 2025. Your quote, roof, usage, and Duke rate plan will move the number.
See which $0-down solar options are available at your North Carolina address
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Submitted securely and used to match you with licensed installers in your area. Options vary by address, and most North Carolina homeowners are offered a $0-down loan rather than a lease.
What ended federally, and what it means for a North Carolina homeowner
No, a 30 percent federal homeowner credit is no longer available. The Residential Clean Energy Credit (Section 25D) ended for expenditures made after December 31, 2025, under the One Big Beautiful Bill Act, so a North Carolina homeowner who buys solar with cash or a $0-down loan in 2026 cannot claim it (IRS OBBB FAQ; SEIA). Because North Carolina steers you to a loan, this hits directly: without the credit, the payback rides entirely on the bill offset and your loan terms, so run the numbers with no credit in them.
One federal credit still exists, and in a lease state it is not the homeowner’s to claim. A separate commercial credit, Section 48E, is claimed by the business that owns a leased or PPA system, not by the homeowner, and it runs for projects placed in service through 2027 with a begin-construction safe harbor by July 4, 2026 (IRS Clean Electricity Investment Credit; SEIA tax policy). In North Carolina, where PPAs are banned and leasing is rare, most homeowners never touch a third-party structure at all, so 48E stays with whatever lessor does operate here. The 25D homeowner credit, by contrast, ended after December 31, 2025. For the full timeline, see what the federal solar tax credit change means in 2026.
The rest of North Carolina’s $0-down picture
A few North Carolina specifics round out the decision, and several are about what the state does not offer:
- No state solar tax credit. North Carolina’s 35 percent renewable-energy tax credit expired at the end of 2015 and has not been renewed, so there is no state income-tax credit to claim on any financing path in 2026 (DSIRE, North Carolina).
- Property-tax exclusion for the home value. North Carolina excludes the added value of a residential solar energy system from your property assessment, so going solar does not raise your property tax. On a rare lease the third-party owner, not you, would hold that benefit (DSIRE, NC property-tax abatement).
- The Bridge Rate deadline. Duke plans to stop enrolling new customers on the Net Metering Bridge Rate after 2026, so the net-metering terms you can lock depend on when you interconnect. Confirm the current rider with Duke before you sign (NC Public Staff).
- Duke serves most of the state. Duke Energy Carolinas and Duke Energy Progress cover most North Carolina homes, and each has its own rate schedule, so check which one bills you. See our Duke Energy North Carolina solar guide for the utility-specific detail.
Comparing states? See how a state that kept richer incentives handles the same question in no upfront cost solar in Massachusetts or no upfront cost solar in Connecticut, and for the statewide overview start with North Carolina solar costs, incentives, and net metering.
How to choose a $0-down loan without overpaying
The $0-down loan market has good lenders and aggressive ones. Rather than chasing a best list, screen any installer or loan offer against objective criteria:
- Get the APR and the total of payments in writing, not just the monthly number, since a long term or a lender fee baked into the price can erase the savings.
- Ask how the offer treats Duke net metering and confirm which rider, Bridge Rate or Residential Solar Choice, the estimate assumes.
- Compare the loan against a cash purchase so you can see the true cost of financing over the full term.
- Check NABCEP certification, North Carolina licensing, and a written production and equipment warranty.
- Be wary of any pitch that promises a lease, a PPA, or a 30 percent federal credit in 2026, since PPAs are banned here, leasing is rare, and the 25D credit has ended.
Because true leases and PPAs are scarce in North Carolina, the smart move is to compare more than one loan quote. For a fuller checklist, see the right questions to ask a solar installer. MySolarFY matches you with licensed installers that serve your North Carolina area so you can compare real local quotes side by side, and you can learn how MySolarFY works and how we choose installers.
Frequently asked questions
Can I really get solar in North Carolina with no money down?
Yes, usually through a $0-down solar loan. State law bans third-party power purchase agreements and caps solar leasing so tightly that most homeowners are offered a loan instead, and offers vary by address and lender, so verify what is available for your home. On a loan you own the system with nothing paid at installation, you keep Duke Energy net-metering credits, and you carry a monthly payment. No up-front cost is not free, and the 25D federal homeowner credit ended after December 31, 2025.
Why am I offered a loan instead of a lease in North Carolina?
Because of House Bill 589. North Carolina bans third-party PPAs for residential solar and limits leasing to roughly 1 percent of the utility’s peak demand, a cap that has worked close to a ban. Only a small number of registered lessors operate under it, so a true $0-down lease reaches very few homeowners. The financing path that is widely available is a $0-down loan, where you own the system and keep the incentives.
Is $0-down solar the same as free in North Carolina?
No. Solar is not free. No up-front cost means you pay nothing at installation, but you still pay every month on a loan, and you also pay interest. The panels are not free, and a pitch that says otherwise is not being straight with you. The honest comparison is the lifetime cost of the loan against a cash purchase, not the down payment.
Do I get the federal tax credit on a $0-down loan in North Carolina in 2026?
No. The 30 percent federal Residential Clean Energy Credit (Section 25D) ended for expenditures made after December 31, 2025, so no homeowner claims it in 2026, whether they buy with cash or a loan. North Carolina also ended its state solar tax credit back in 2015, so there is no state credit either. A separate commercial credit, Section 48E, belongs to the business that owns a leased system, not to a homeowner who buys with a loan. If a salesperson promises a 30 percent credit on a 2026 purchase, that is incorrect.
How does Duke Energy net metering affect a $0-down loan?
Because you own the system on a loan, you keep the net-metering credits. Duke enrolls new residential solar customers on either the transitional Net Metering Bridge Rate or the Residential Solar Choice time-of-use plan, both with a minimum bill, and Duke plans to stop accepting new Bridge Rate applicants after 2026. Those credits offset the bill your loan payment has to beat, so ask which rider your quote assumes and confirm the current terms with Duke before you sign.
Reviewed by the MySolarFY editorial team and current as of August 2026. Figures were verified against the linked North Carolina (NC Sustainable Energy Association, NC General Assembly, NC Public Staff), DSIRE, EIA, IRS, SEIA, and NREL PVWatts sources; see how we source and check our numbers. North Carolina net metering, the leasing cap, the property-tax exclusion, and loan terms all change over time, so confirm current terms with Duke Energy and your installer before you decide. MySolarFY does not provide tax or financial advice; consult a licensed professional about your own situation. Learn more about the MySolarFY team and how we work.
MySolarFY is a free service that matches homeowners with licensed solar installers. We are not an installer, financing company, or government program. “No up-front cost” refers to qualifying $0-down financing, most commonly a solar loan in North Carolina, where eligible homeowners may have no out-of-pocket cost at installation. Third-party power purchase agreements are banned for residential solar in North Carolina and solar leasing is capped under House Bill 589, so a lease is rarely available; on a loan you own the system and keep net-metering credits, but you carry monthly payments and interest. Homeowners do not get the federal residential credit that ended after December 31, 2025. Solar panels are not free and monthly payments apply. Eligibility, savings, incentives, and rates vary and are not guaranteed. See our full disclaimer.
