Dealer or manufacturer-arranged financing
Many installers offer financing arranged through a third-party lender at the point of sale, typically structured as fixed monthly payments over a set term. Specific lenders and promotional terms (like deferred-interest periods) change over time and vary by installer, so the terms offered by the specific professional you're working with are what matter — not a generic industry figure.
Home equity loan or HELOC
Borrowing against home equity typically carries a lower interest rate than an unsecured personal loan, since the loan is secured by the home. The tradeoff is that the home itself is collateral, and there's usually more paperwork and a longer approval process than dealer financing or a personal loan.
Personal loans
An unsecured personal loan doesn't require home equity or collateral and generally has a faster approval process, but typically carries a higher interest rate than a home-equity option. This tends to suit homeowners who want to avoid using their home as collateral or who don't have significant equity built up yet.
PACE financing (where available)
PACE (Property Assessed Clean Energy) programs let eligible homeowners finance a standby generator with no money required upfront, repaid as a line item on the property tax bill rather than a traditional loan. Availability depends on whether the specific state and local jurisdiction participates — Florida and California both have active programs that explicitly list standby generators as eligible. A real tradeoff worth understanding before choosing this option: because the balance is tied to the property (not the individual), a buyer or their mortgage lender may require the remaining balance to be paid off at the time of sale.
Frequently asked questions
Sources
- Florida PACE — One of the state-level PACE (Property Assessed Clean Energy) financing programs that explicitly lists standby generators as an eligible improvement.