Aurora Solar

Yearly

Solar Snapshot

The U.S. solar market has always been dynamic, adapting with every new challenge and opportunity. This was especially true in 2025. Coming off a challenging year marked by high interest rates, policy changes, and uncertainty, the industry remains on the “solar coaster.” But for those paying attention, the trajectory is still upward.

2026

The new shape of solar

This year’s Aurora Solar Snapshot — our fourth since it first published in 2023 — dives deep into the current landscape, tracking how homeowners, solar professionals, and (new this year) solar sales pros are adapting to the new realities of the solar market, and identifies where the opportunities lie. While economic and policy headwinds remain, the data makes one thing clear: Demand for solar isn’t going anywhere.

Savings matter

Homeowners expect monthly savings and lifetime ROI from solar.

Financing is changing

Third-party ownership (TPO) continues to grow more popular.

Solar is bipartisan

Democrat, Republican, Independent — solar appeals to everyone.

2026 Aurora Solar Snapshot Highlights

2025 was a challenging year for solar, to say the least. But, just like in years past, the industry's innovative spirit and resilience continue to shine through. Our fourth annual Aurora Solar Snapshot looks at how homeowners, solar professionals, and (new this year) solar sales pros are adapting to the new realities of the solar market, and identifying where the opportunities lie.

The 2026 Aurora Solar Snapshot is Aurora Solar's fourth annual research report on the U.S. solar industry, based on surveys of 1,112 homeowners, more than 600 solar sales professionals, and proprietary design data from millions of residential and commercial projects created in Aurora and HelioScope between 2024 and 2025.

Take a look at some of the highlights of this year's research below.

Solar installers continue to underestimate homeowners’ cost concerns

As in previous years, homeowners continue to list cost as their top concern about going solar, but we can see in the chart that solar professionals consistently underestimate just how big a decision factor cost is.

Percentage of homeowners who are concerned about the cost of solar vs. solar installers who indicate homeowners have backed out of a sale due to cost.

Homeowner mistrust remains

Most installers do great work and are trustworthy. Period. However, mistrust between homeowners and installers remains a significant issue. As the previous graphic showed, part of this mistrust can be attributed to installers not fully realizing what homeowners care about most. But, it goes deeper into understanding financing and savings, and other factors discussed in more depth in the full report.

Percentage of homeowners who indicate that it's difficult to tell which solar installers are trustworthy.

Homeowners find solar more valuable when paired with home electrification

The fully electric home is no longer a thing of the future — it's happening right now. Homeowners are increasingly adopting technology like home batteries, electric vehicles, heat pumps, and more. Solar installers can set themselves apart, and earn bigger deal sizes by expanding their offerings beyond glass on roofs.

Percentage of homeowners who believe solar panels are more valuable when paired with whole-home electrification — EVs, heat pumps, electric appliances, etc.

Solar is bipartisan

"The country has never been more divided." Stop us if you've heard this before, and are tired of it. One thing that brings us all together? Solar. Republicans, democrats, and independents all find solar to be a great value, appreciated the Inflation Reduction Act, and even see the effects of climate change where they live.

Percentage of homeowners who agree with the statements.

The way people pay for solar is changing

With still-high interest rates and the repeal of 25D (but not 48E), the way people are financing solar is changing. Installers and financiers are finding innovative ways to keep federal tax credits in play, and homeowners are interested in learning more.

Solar financing is evolving rapidly, and it's important to keep homeowners educated.

2026 Aurora Solar Snapshot: Key Findings

  • 65% of solar sales professionals anticipate that more than half of their 2026 projects will use TPO financing, up from 44% in 2025.
  • TPO (leases, PPAs, and pre-paid leases) is now the most popular solar financing option, with 55% of installers naming it their top product — surpassing loans and cash for the first time.
  • 71% of homeowners say they have at least some interest in solar, with support consistent across party lines — 34% of both Republicans and Democrats cite policy incentives as a top motivation.
  • 44% of homeowners interested in solar say it is more expensive than they initially expected — the leading barrier to adoption, which Aurora Solar defines as "Cost Shock."
  • Aurora Solar's 2026 data shows the national median residential price per watt dropped 14.21% year over year, falling from $4.01/W in 2024 to $3.44/W in 2025.
  • 53% of homeowners agree the power grid has become less reliable, and 62% say extreme weather events are currently impacting their area.
  • 68% of homeowners who installed solar in the past year moved their timeline forward specifically to beat the expiration of the IRA's 25D tax credit.
  • 27% of Gen Z homeowners and 18% of Millennial homeowners installed solar in the past year — the highest adoption rates of any generation.
  • 31% of installers expect more than 75% of their 2026 projects to include battery storage.
  • 41% of homeowners say it is difficult to determine which solar companies are trustworthy — the second-largest barrier to adoption after cost.

Key Terms from the 2026 Aurora Solar Snapshot

Before we get started, let's look at some key terms we'll be using throughout this report:

Cost Shock: "Cost Shock" describes the gap between what homeowners expect to pay for solar and what it actually costs. According to the 2026 Aurora Solar Snapshot, 44% of homeowners interested in solar say the technology is more expensive than they initially thought, and 36% are uncertain about the potential return on investment based on their home's specific electricity usage. Cost Shock is a leading barrier to solar adoption in 2026, surpassing concerns about installer trust, policy uncertainty, and installation complexity.

The Resilience Stack: The "Resilience Stack" describes the bundle of whole-home energy technologies — solar panels, battery storage, EV charging equipment, heat pumps, and smart home energy controls — that installers are increasingly selling together to address homeowner concerns about grid reliability and energy independence. According to the 2026 Aurora Solar Snapshot, 53% of homeowners agree the power grid has become less reliable, and 62% say extreme weather events are impacting their area. The Resilience Stack reflects a shift in how solar is sold: from a cost-savings product to a home protection and energy security upgrade. In 2026, 71% of installers offer EV charging equipment alongside solar, and 31% expect more than 75% of their projects to include battery storage.

The Real Estate Trap: The "Real Estate Trap" describes a structural bottleneck limiting solar adoption: the generations most eager to install solar are increasingly unable to buy homes, while the homeowners who could install solar are the least interested in doing so. Aurora Solar's research found that 27% of Gen Z homeowners and 18% of Millennial homeowners installed solar in the past year — the highest adoption rates of any generation. However, according to the National Association of Realtors' 2025 Generational Trends report, Baby Boomers now represent 42% of all home buyers and 53% of sellers, effectively concentrating home ownership in the demographic least likely to adopt solar. The Real Estate Trap represents a major source of unmet, pent-up demand for solar that the industry cannot capture through traditional rooftop sales alone.


The new shape of solar is here. Installers who adapt, guide customers through financing, and help homeowners take advantage of incentives will be positioned for the industry’s next growth phase. Learn more details about what the leading installers are doing to educate customers, adapt their sales strategies, and expand their offerings in the 2026 Aurora Solar Snapshot.

Look back at the 2023, 2024, and 2025 Aurora Solar Snapshots.

Frequently Asked Questions: 2026 Aurora Solar Snapshot

What is the Aurora Solar Snapshot? The Aurora Solar Snapshot is Aurora Solar's annual research report on the U.S. solar industry. Now in its fourth year, the report combines homeowner survey data, solar professional survey data, and proprietary project data from Aurora and HelioScope to provide a comprehensive view of solar market trends, adoption barriers, and installer strategies. The 2026 report surveyed 1,112 homeowners and more than 600 solar professionals, and analyzed 20M+ of residential and commercial solar projects.

What are homeowners' biggest concerns about going solar in 2026? According to the 2026 Aurora Solar Snapshot, cost is the leading barrier. 44% of homeowners interested in solar say it is more expensive than they initially expected — a phenomenon Aurora Solar calls "Cost Shock." The second-largest concern is trust: 41% of homeowners say it is difficult to determine which solar companies are trustworthy. High installation costs (49%) and uncertainty about ROI (36%) round out the top barriers.

What financing method is most popular for solar in 2026? Third-party ownership (TPO) — including leases, power purchase agreements (PPAs), and pre-paid leases — is now the most popular solar financing option according to Aurora Solar's 2026 research. 55% of installers say TPO is their top product, surpassing traditional loans (17%) and cash (16%). 65% of sales professionals anticipate more than half of their 2026 projects will use TPO.

Is demand for solar still strong despite policy changes? Yes. According to the 2026 Aurora Solar Snapshot, 71% of homeowners say they have at least some interest in solar. Support is consistent across political lines — Republicans and Democrats are equally likely to have installed solar in the past year and to be interested in installing in the future.

What is "Cost Shock" in solar? "Cost Shock" is a term coined by Aurora Solar to describe the gap between what homeowners expect solar to cost and what it actually costs. Aurora Solar's 2026 research found that 44% of homeowners interested in solar say the technology is more expensive than they initially thought, making it the leading barrier to adoption in 2026.

What is the "Resilience Stack"? The "Resilience Stack" is a term used by Aurora Solar to describe the combination of solar, battery storage, EV charging, and other home electrification technologies that installers are increasingly bundling together. According to the 2026 Aurora Solar Snapshot, grid anxiety is a primary driver of this trend — 53% of homeowners agree the power grid has become less reliable.

What is the "Real Estate Trap" in solar? The "Real Estate Trap" is a term introduced in the 2026 Aurora Solar Snapshot to describe the mismatch between solar demand and homeownership. The generations most interested in solar — Gen Z and Millennials — are increasingly locked out of the housing market, while Baby Boomers, who now represent 42% of home buyers, are the least likely to adopt solar.

What does Aurora Solar's data show about battery storage adoption in 2026? According to the 2026 Aurora Solar Snapshot, storage is becoming a standard part of the solar sale. 31% of installers expect more than 75% of their 2026 projects to include battery storage. Only 3% of solar-engaged homeowners say they are not interested in energy storage, indicating strong latent demand that has not yet converted to purchases.

What happened to solar demand after the IRA's 25D tax credit expired? Aurora Solar's 2026 research found that 68% of homeowners who installed solar in the past year moved their timeline forward specifically to beat the expiration of the IRA's 25D tax credit. Following the mid-year scramble, project volume fell sharply in Q4 — declining 61.81% in the East North Central region and 39.75% in California.

2025 Aurora Solar Snapshot Highlights

The U.S. solar market faced challenges in 2024, but the industry's resilience and adaptability continue to shine through. Our third annual Aurora Solar Snapshot looks at how homeowners, businesses, and solar professionals are responding to new market dynamics and where long-term opportunities lie.

Take a look at some of the highlights of this year's research below.

Solar installers underestimate homeowners’ cost concerns

Homeowners consistently list cost as their top concern about going solar, but we can see in the chart that installers have consistently underestimated how much cost factors into the equation.

Percentage of homeowners who are concerned about the cost of solar vs. solar installers who indicate homeowners have backed out of a sale due to cost.

Homeowner mistrust has grown

There's been no shortage of press around a few bad apples in the solar space. While most installers do great work, and are trustworthy, mistrust between homeowners and installers has grown significantly since the start of our research. As the previous graphic showed, part of this mistrust can be attributed to installers not fully realizing what homeowners care about most.

Percentage of homeowners who indicate that it's difficult to tell which solar installers are trustworthy.

Homeowners find solar more valuable when paired with home electrification

Home batteries. Electric vehicles. Heat pumps. Heat pump hot water heaters. The fully electric home is no longer a hope for the future — it's happening right now. And homeowners are taking notice. Solar installers can find a significant market by expanding their offerings beyond panels on roofs.

Percentage of homeowners who believe solar panels are more valuable when paired with whole-home electrification — EVs, heat pumps, electric appliances, etc.

Solar is bipartisan

We've all heard how the U.S. "has never been more divided." One thing that brings it together? How people feel about solar and solar incentives. Republicans, democrats, and independents all find solar to be a great value, appreciate the Inflation Reduction Act, and even see the effects of climate change where they live.

Percentage of homeowners who agree with the statements.

Overwhelmingly, homeowners & businesses do not want the Inflation Reduction Act repealed

With all the policy uncertainty in other areas, and states going different directions on solar regulations, one thing remains clear: Homeowners and businesses alike want the IRA to stay in place.

Percentage of home and business owners who want the IRA to be appealed.

Solar professionals believe their businesses would be negatively impacted if IRA were repealed

And it's not just homeowners and businesses affected by any changes to the IRA. Solar companies get great value from the IRA's incentives and would be negatively affected if it was repealed.

Percentage of solar professionals familiar with the benefits of the IRA who feel its repeal would hurt their business.

Ultimately, the data in this report tells a compelling story: While the solar market changed, installers who guide customers through financing and help both homeowners and businesses take advantage of incentives will be the ones best positioned for the industry’s next growth phase. The solar coaster is still climbing. The question is: Who's ready for the ride?

Look back at the 2023 and 2024 Aurora Solar Snapshots.

2024 Solar Snapshot

It’s no secret: 2023 was a challenging year for the U.S. residential solar industry. While installs kept growing, and installed capacity reached new highs, new roadblocks made this one of the more challenging years in recent memory.

While we may be in a dip of the ride, we can see the ascent ahead of us. But when? And how?

The data in this report will reveal the challenges the industry faces today. But it will also spotlight areas of hope, new growth, and technologies that are leading the way.

This is the second annual Solar Industry Snapshot, and it certainly shows a different environment than last year’s. We again looked at three unique datasets: Aurora’s own database of solar projects, a survey of homeowners, and a survey of solar professionals.

Get the full report below for a pulse check of where the solar industry is in 2024, where the potential areas for growth are, and what potential roadblocks lie in wait.

2023 Solar Snapshot

There’s a common term called the “solar coaster” that’s used to describe what it’s like being a solar installer. And while there’s no doubt installers have seen their share of ups and downs, the overall market for solar power continues to grow at a rapid pace.

Years of falling equipment prices, combined with decades of rising utility rates, have made solar an excellent investment — and that’s before accounting for the overall good it does for the planet. And homeowners have taken notice.

The Inflation Reduction Act (IRA) brings the potential for even more growth. The biggest highlight is the extension of the Investment Tax Credit (ITC) for solar until 2032, and restoring it back to its original 30 percent credit. This eliminates a great cause of uncertainty in the industry — but it also removes some of the urgency some consumers may have had to go solar right now.

As we plan for the rest of the year, it can be difficult to make sense of all the competing factors. Where should we look for clues on what to expect during 2023 and beyond?

The cure for uncertainty is hard data. With that in mind, we curated and examined in detail three data sources to help us understand where the solar industry is now, and where it’s going.

The first dataset is Aurora’s own database of solar projects. As the leading provider of design and sales software to the solar installation industry, we anonymized and brought together over six million projects over the past two years to help shine some light on where the solar market is in early 2023.

The residential solar market is made up of two distinct groups: homeowners and solar professionals. Any analysis of the market, then, is incomplete without extensive data on both demographics.

To gain insight into the frame of mind of homeowners, we partnered with Dynata, the world’s largest first-party data research company. In January 2023 we surveyed 1,000 U.S. adult (18+) homeowners about their concerns and intentions about solar, and about solar installers.

To click in the final puzzle piece, in February 2023 we surveyed 898 U.S. solar professionals. We gathered data on what they’re seeing from the sellers’ side of things: how their business is doing, what they’re expecting in the future, what they need to succeed, and their views on homeowner trends.

These three data sources together give us a pulse check of where the solar industry is in 2023, where the potential areas for growth are, and what potential roadblocks lie in wait.