Average Cost of Home Solar System Installation
The average cost of installing a home solar system varies greatly, depending on region and wattage. These costs do not include tax credits or incentives and are based on a 5kW installation. Costs for the Western region include Hawaii and Georgia, where the average installation cost is $2.85/watt. Other costs include permits, equipment, labor, monitoring and overhead. To determine the average cost of installing a solar system, you should consider the size and wattage of your roof, the size of the solar panels, and the cost of installation.
Installation costs
To find out the costs for installing a home solar system, you need to know how much energy your home uses. While the number of bedrooms is not the best indication, it does give you a good idea of the size of your home. Each household has different energy needs, so figuring out how much you use each month is the best way to get an idea of the costs for installing solar energy. Also, you should be aware that the wattage of the panels you choose will influence the cost.
Permitting costs
Permitting costs for a home solar energy system vary widely and often increase with electrical output. For example, if a home owner installed a three-kilowatt solar panel system, their permit fee would be $425 while a homeowner installing a two-kilowatt system would cost $816. The difference is largely due to the different size of the solar panels and the electrical work involved, which is usually less than $100.
Inspection costs
The initial installation and maintenance costs of a home solar system are relatively low. You may only need a professional to clean the panels once every five years. In contrast, yearly inspections may cost $200 to $300. Inspections are required to ensure that your system is safe and operating properly. Depending on the system size, you may need to pay more or less depending on the frequency. The cost of an inspection varies greatly, but you can expect to pay between $200 and $300 for a 2kW system.
Installer profit margins
There are many different components that make up the cost of a home solar system. The panels themselves cost between $2.67 and $3.43 per watt on average, and the cost of the entire system depends on the system size and energy consumption. Depending on your location, the size of the system will be smaller or larger, but the overall cost will be somewhere in the range of $15-$25k. This is before tax credits and installation costs.
Electricity rates
If you’re thinking about installing a home solar system to reduce your electric bill, you’ll need to consider the amount of energy your home consumes. For example, if you spend $150 per month on electricity, you’ll need a larger system than a home that consumes less than half that amount. The bigger the system, the larger your roof must be. Additionally, a south-facing roof will produce more electricity because you need fewer panels.