Rent-to-Own vs Outright Purchase: Flexibility vs Ownership for Solar in Malaysia
Compare Rent-to-Own and Outright Purchase to understand whether short-term flexibility or long-term ownership gives you the better value in going solar.
You’re ready to go solar – but should you Rent-to-Own (RTO) your solar panels, or make an Outright Purchase (OP)?
In this article, we’ll break down the pros, cons, and real-life scenarios so you can decide which financing path suits your home and lifestyle best.
What Is Rent-to-Own (RTO)?
Rent-to-Own works much like leasing a car – but for solar.
- How it Works: You pay a fixed monthly fee over 5–10 years.
- Ownership: You only own the system once the contract ends.
- Upfront Cost: RM0 upfront – you start enjoying solar from day one.
- Extras: Maintenance and warranty are usually included.
What Is Outright Purchase (OP)?
Outright Purchase is the traditional way of buying solar.
- How it Works: Pay in full.
- Ownership: You own your system immediately.
- Upfront Cost: High, as system is paid in full.
- Extras: Warranty and free first-year maintenance included.
Let's Compare
Who Should Choose Rent-To-Own?
- Families who want 0 upfront cost
- Homeowner who prefer all-in-one, hassle-free packages
- Those without access to credit cards or bank loans
- People comfortable with a long-term contract
Who Should Choose Outright Purchase?
- Homeowner with savings
- Those who want immediate ownership and control
- Families aiming for maximum long-term savings and ROI
- Buyers who want freedom to sell or upgrade anytime
Real-Life Example
For a 10 kW system worth RM 40,000
Rent-To-Own (10 years):
RM500–600/month, ownership after 10 years. Total cost is much higher due to extended payments.
Outright Purchase (Outright, one-time):
RM40,000 upfront, ROI in ~4 years.
Conclusions
At the end of the day, the right choice comes down to your budget, your financial goals, and how much flexibility you want.
Want to compare real numbers for your home? Speak to us at buySolar and get a free quote today!