Article by:
Austin Young
Alana Steele
Topics:
Policy
Published:
June 2, 2025
Back to all articles

Solar Tax Credits Are Changing, Here’s What Real Estate Owners Need to Know

The solar industry is once again on the edge of transformation, and for multifamily and industrial real estate owners, this shift could significantly impact your ability to capture long-term value from clean energy investments.

While nothing is final yet, proposed legislation from Congress could accelerate the phase-out of the federal Investment Tax Credit (ITC), one of the most powerful financial tools for real estate owners looking to deploy onsite solar. If you’ve been considering solar for your portfolio, now is the time to pay attention and take action.

What’s Happening With Solar Tax Credits?

The House of Representatives recently passed the One Big Beautiful Bill Act that would scale back the solar Investment Tax Credit (ITC)within 60 days of passage, faster than the multi-year phase-out originally planned. However, before this becomes law, the Senate will draft its own version, which may include significant changes, given that several Republican Senators support the ITC. After that, both chambers must reconcile the differences in their two versions of the Act to agree on final language. 

President Trump, whose administration is closely aligned with the bill’s priorities, has publicly stated he wants the legislation on his desk by July 4, 2025. However, most policy analysts believe a more realistic timeline is before Congress breaks for its August recess (which begins August 2). That leaves a narrow and uncertain window, but the writing is on the wall: change is coming soon.

Why This Matters to Real Estate Owners

If the final legislation mirrors language from the current House version, it may include a “grandfather clause”,  a provision that protects solar projects from future tax credit reductions if they begin construction within a short time (currently proposed as 60 days) after the bill is enacted.

That means there may be a critical advantage for projects that are construction-ready by late Q3 or early Q4 2025. Waiting too long could mean missing out on the most generous version of the solar ITC that owners have enjoyed in years.

What You Can Do Now:

Step 1: Get Your Portfolio Evaluated, For Free

To support the real estate community during this period of uncertainty, Ivy Energy is offering a no-cost portfolio analysis and solar feasibility study for multifamily and industrial property owners, now through August 31, 2025.

This timeline ensures that, if the bill is passed this summer, you'll have the data, strategy, and project roadmap needed to move into construction quickly and lock in maximum ITC benefits.

Step 2: Understand the Value of Solar for Your Properties

Our analysis doesn’t just offer you policy insights; it also provides you with profit potential. You’ll walk away with:

  • Identify which buildings in your portfolio will yield the most significant ROI
  • Forecast new revenue and savings from tenant solar billing
  • Model scenarios to lock in existing ITC benefits
  • Plan now for your 2026 capital budget

Step 3: Act With Confidence, Not Uncertainty

This isn’t a time for knee-jerk decisions. It’s a time to prepare strategically so you’re ready no matter what Congress decides. Ivy Energy’s software and advisory services are designed to make solar adoption seamless, from site evaluation through tenant billing and building performance reporting.

Why Ivy Energy

At Ivy, we specialize in helping real estate portfolios turn energy into an asset. Our patented Virtual Grid™ software enables real estate owners to:

  • Deploy solar assets with no disruption to operations
  • Automate solar energy distribution equitably with tenants
  • Increase NOI by monetizing solar through the rent ledger
  • Report on building performance and sustainability metrics

Advisory Support With Real Policy Expertise

Ivy’s policy team stays on top of every legislative detail, ensuring you don’t miss eligibility or timing windows, with no guesswork and no wasted opportunities. We’re already helping some of the nation’s largest multifamily and industrial owners transform energy from a line item into a revenue stream. If you're interested in increasing NOI + asset value,  progressing sustainability goals, and lowering your tenants utility cost then let's set up a meeting.

Get Started Before the Clock Runs Out

The time to act is now. Whether this bill passes in July or August, the opportunity to lock in the best version of solar incentives may soon be lost. To help real estate owners act proactively, Ivy Energy is offering a free portfolio analysis and solar feasibility study — now through August 31, 2025.

This allows time for:

  • Project evaluation and prioritization
  • Financial modeling and tax credit strategy
  • Preparation for construction in case legislation passes this summer

Request your free portfolio analysis now and secure your opportunity to lock in the best solar incentives before they change.

[Book Your Free Analysis →]