Thinking about solar for your home or small business? You have two common options: community solar and rooftop solar. Each has different needs and benefits.

Community solar in plain terms

The U.S. Department of Energy defines community solar as a solar project or purchasing program where the benefits flow to many customers in a geographic area. That can include homes, businesses, and nonprofits. Subscribers usually receive a credit on their electric bill for their share of the project’s production, even though the panels are off-site.

With community solar, nothing is installed at your home. No panels, no roof work, no equipment. Your utility keeps delivering electricity on the same wires. You can learn how programs work in our Community Solar 101 guide.

Rooftop solar in plain terms

Rooftop solar means panels sit on your roof. You can own the system or lease it. The equipment connects to your home’s electrical system.

If you own the system, you are responsible for upkeep. If you lease, the lease may include service. Work with a qualified installer to design the system for your roof.

Ownership and upfront needs

Here is how the two options differ on control and basic requirements:

  • Community solar

    • You subscribe to a share of an off-site project. You do not own the panels.
    • You need an electric account in your name with a participating utility.
    • Renters can join. Condos and small businesses can join too.
    • Your subscription supports local solar energy.

  • Rooftop solar

    • You own or lease equipment on your roof.
    • You choose the brands, layout, and installer.
    • You need a suitable roof with enough sunny space and in good condition.

Maintenance and home impact

  • Community solar: There is no equipment at your home. You have no roof changes or site work. The utility service to your home stays the same.
  • Rooftop solar: Panels and other hardware sit on your roof. You handle maintenance or have a contract for it. If your roof needs replacement soon, timing matters.

Billing and how community solar savings work

Community solar affects your bill in a specific way:

  • You get credits on your utility bill for your share of the project’s production.
  • You pay for your subscription. Subscribers usually pay less for the subscription than the credits are worth.
  • Credits cover part of the bill. Any discount applies to the credits, not the whole bill.
  • Savings depend on the state, the utility, and the project.

This setup is different from rooftop systems, which sit on your home and are part of your property. For a deeper look at how bill credits and subscriptions work, see Community Solar 101.

If you want to see whether community solar is available for your account, use our quick form to check your eligibility.

Who each option tends to fit

Every home and business is different. These simple guides may help:

  • Community solar may fit you if:

    • You rent or live in a condo.
    • Your roof is shaded, small, or needs work.
    • You prefer not to install equipment at your home or site.
    • You want to support local solar energy while keeping your current utility service.
    • You have an electric account in your name with a participating utility.

  • Rooftop solar may fit you if:

    • You own your home or building and plan to stay for a while.
    • Your roof has good sun and enough space.
    • You want direct control over equipment on your property.

  • Either could fit you if:

    • You want to support solar in your community.
    • You have regular electric usage and value predictable options.

How to decide what fits your home

Start with these questions:

  1. Do you own or rent? If you rent, community solar can be a strong option.
  2. Is your roof sunny and in good condition? If not, consider community solar.
  3. Do you want equipment at your home? If no, community solar requires none.
  4. Do you want control over hardware and design? If yes, rooftop may fit.

You do not have to pick only one forever. Many households start with community solar now and consider rooftop later when the roof is ready. Others choose rooftop first. The right choice depends on your home, goals, and timing.

Both options can work well for different needs. Use this guide to weigh what matters most to you: roof, maintenance, control, and enrollment requirements. Pick the option that fits your situation today, and revisit as your needs change.