COST TO OWN THE SAME GEOTHERMAL SYSTEM
Cash, lease, or finance?
Start with the simple comparison. Change the timeframe or open the assumptions if you want to use numbers from your own proposals.
| 10-YEAR PATHCost comparisonSame installed system | PURCHASE PATHCash$61,497Illustrated 10-year cost to own | PREMIUMPATHLease$59,640Illustrated 10-year cost to own | PURCHASE PATHFinancing$87,389Illustrated 10-year cost to own |
|---|---|---|---|
| Upfront paymentCash due before monthly payments. | $50,033Full installed price | $0No money down in this example | $0Editable down payment |
| Monthly equipment paymentYear-one lease payment; calculated loan payment. | $0.00/moNo monthly equipment payment | $405.27/mo0% annual escalator | $633.53/mo8.99% APR · 10 years |
| Payments through year 10Does not include an end-of-period payoff. | $0Installed price shown upfront | $48,632Initial lease term | $72,222114 calculated loan payments |
| Ownership payoff at year 10Amount needed to own the equipment at the end of the period. | $0Owned from installation | $11,00722% residual | $3,703Estimated remaining loan payoff |
| Service and maintenanceUses the editable planning allowance for owner-paid years. | $11,464Owner-paid years 1–10 | $0Included through year 10 | $11,464Owner-paid years 1–10 |
| Parts, labor and service coverageCustomer agreements and manufacturer terms control. | Per manufacturer and contractor terms | Included through year 10Parts, labor, service and preventive maintenance | Per manufacturer and contractor terms |
| Financing interest paidLease payments are not separated into principal and interest. | $0 | — | $25,892Estimated through year 10 |
| Illustrated 10-year cost to ownIncludes the payoff needed to own the system at the end of this period. | $61,497 | $59,640 | $87,389 |
What changes in the 15-year path?
The lease payment drops 25% for five years, then the illustrated end purchase is added. Labor warranty and the service contract are not included during years 11–15, so the owner-paid service allowance is included.
Educational illustration only. The customer-specific lease, lender disclosures, warranty documents, tax treatment, and signed installation proposal control.
Palmetto’s July 17, 2026 guide describes annual renewal for up to five years, a three-year opt-in renewal at 75% of the final-year payment, declining buyout percentages after year 10, and a $1,000 purchase option at year 15. Confirm the exact customer agreement before using the defaults as a proposal.