The Solar Clock Is Ticking: Why Right Now Is the Best Time to Go Solar
Well, the news just dropped: Congress is floating a new proposal to start phasing out the solar Investment Tax Credit (ITC) beginning in 2026, with a 6% reduction right out of the gate. If it passes—and let’s be honest, it’s got momentum—it means the days of the full 30% tax credit are numbered.
Now, before you start panic-Googling, let’s unpack what this actually means—and why this spring and summer might be your golden window to make the leap to solar.
A Tax Credit Sunset—and the Calm Before the Storm
For years, the 30% federal solar tax credit has been the crown jewel of solar economics. It’s helped homeowners and businesses make the switch while keeping payback periods short and ROI high. But with this new proposal, we’re looking at the first reduction in nearly a decade.
Starting in 2026, the credit would drop to 24%, and continue to decline from there. Translation? Every year you wait, you could leave thousands of dollars on the table.
And here’s the kicker: if this passes, there’s going to be a mad dash at the end of the year. People will hear about the credit reduction and scramble to get installed before December 31st, hoping to sneak under the wire.
But here’s what many don’t realize…
Installation Backlogs Are a Real Thing
Most homeowners think, “If I sign a contract in November, I’ll be fine.” Unfortunately, that’s not how it works. Solar isn’t a plug-and-play appliance. Permitting, utility approvals, equipment procurement, and actual installation all take time—and that timeline stretches dramatically when the whole country is rushing to beat a deadline.
Fall 2025 is going to be a bottleneck. And I can already tell you—some folks who sign in September or even October are going to miss the install window and lose out on the full 30% credit.
You don’t want to be one of them.
Domestic Supply Is Strong—for Now
On top of the tax credit timing, we’re also watching the panel supply situation closely.
Thanks to years of investment in American manufacturing, we’re in a strong spot right now. Domestic solar panel supply is healthy, and it’s helping insulate us from the volatile global trade environment—especially the latest tariffs on Chinese panels.
But as more and more installers shift to U.S.-made panels (which we’ve proudly used for years), demand is about to spike. And when that happens? Prices rise. Lead times stretch. Options narrow.
The smart move? Lock in your panels and your installation now—before that demand tsunami hits.
Real Talk: Summer Is the Sweet Spot
If you’ve been sitting on the fence, this is your moment. Not in a salesy, “act now” kind of way—but in a real, data-backed, kind of way.
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You still have access to the full 30% federal tax credit.
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Installers still have calendar space for summer 2025 installs.
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Domestic panel supply is steady and still affordable.
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And you’re ahead of the inevitable year-end crunch.
You win on all fronts.
Final Thought: The Future of Solar Is Still Bright
Yes, the tax credit might be sunsetting—but solar isn’t going anywhere. The economics still make sense. Utility rates keep rising. The climate crisis isn’t taking a coffee break.
But if you want to maximize your savings, take full advantage of today’s incentives, and avoid the chaos of the upcoming rush, the time to act is now.
Let’s make this summer your solar summer.
Want help navigating it all? We’re happy to walk you through the process and make sure you’re set up before the rush starts. Let’s talk now—your future self will thank you.
