The next chapter in solar sales

By Dani Sheehan. 

Even as federal tax credits wind down, solar remains one of the most powerful ways for homeowners to cut long-term energy costs and protect against future uncertainty. 

The recently passed H.R. 1, the One Big Beautiful Bill Act, includes major updates to solar and clean energy tax credits that will shape how our industry sells, sources and installs systems over the next few years. Here’s what you need to know about the solar tax credit changes and how to guide homeowners past the short-term deadline and toward the long-term value of solar. 

An overview of the changes 

Under Section 25D, homeowners can still receive a 30% federal tax credit on eligible clean energy improvements, including solar panels, battery storage, solar water heaters and geothermal heat pumps. 

What’s new: If a homeowner pays for their system in full in 2025, they can lock in the credit even if the installation happens later. After 2025, this credit disappears for new residential projects.  

Solar isn’t just about incentives 

The end of the residential tax credit means households will lose out on $6,000-$9,000 in upfront savings. That’s significant – but it doesn’t change the fact that the U.S. faces a massive energy challenge. Electricity demand in the U.S. is climbing rapidly, fueled by AI data centers, electric vehicle adoption and increased technology in homes requiring the use of electricity to operate. Utilities are racing to expand capacity, and those costs will be passed directly to homeowners, with average bills projected to rise $83-$152 per year over the next decade. Distributed rooftop solar is the fastest and most cost-effective way to deliver new electricity, and without it, the grid becomes more vulnerable to brownouts and rolling blackouts.  

This is an opportunity to shift the conversation: solar is no longer purely a tax-driven decision. It’s a solution to the nation’s growing energy challenges. 

Energy independence: The new homeowner value proposition 

Even without the federal credit, solar remains a long-term cost-saving investment. While the credit shortened payback timelines, the underlying math still favors homeowners: 

• Systems typically deliver decades of predictable, stable energy costs, insulating households from utility rate hikes.  
• For many homeowners, the decision also aligns with bigger values: energy independence, sustainability and resilience in the face of uncertainty. 

Adding battery storage is also a strong selling point. Storage systems are becoming more affordable — they continue to qualify for standalone tax incentives and rebates — and they give homeowners the ability to bank energy for nighttime use or outages. 

Strategies for selling solar post-2025 

The end of the federal credit changes the sales conversation, but it doesn’t end the opportunity. You can still position solar as a strong value by: 

• Helping homeowners move quickly. The ITC is still available through 2025, and installer capacity is already tightening. Encourage customers to act soon to lock in additional savings while the tax credit is still in place. 
• Highlighting state and local incentives. While the federal tax credit ends, many state and local incentives will remain intact past 2025. Help your customers make informed decisions based on where they live. 
• Focusing on long-term value. Solar is no longer a tax-driven decision – it's a cost stability decision. Emphasize security, stability and sustainability with your homeowners. 

The need for power isn’t going to go away when the ITC ends. Homeowners still need affordable, reliable energy and rooftop solar remains the fastest way to deliver it. 

Don’t stop talking about solar. Instead, shift the conversation and give homeowners control over their energy future.