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How Much Does It Cost To Install Solar Panels For House?

How much does it cost to install solar panels for house in the United States?

Installation of solar panels for a house varies according to the size, wattage, and features. The costs are typically calculated based on how much electricity is generated by each panel per year.

Average Cost of Solar Panels

The cost of a solar panel installation can vary based on factors such as where you live.

The federal tax credit should be taken into account when assessing how much the average installation will cost.

The average cost of a solar panel installation in 2022 ranges from $17,538 to $23,458 after taking into account the federal solar tax credit. On a cost per watt basis, solar panel prices in 2022 average $2.77/W.

Solar Panel Installation Cost

The installation process can be expensive, but it is typically worth it when you think about all the money that your solar panel system saves. Solar panels are a great resource, but before installing them on your roof, it is important to know how much they will cost.

Factors in Calculating Cost of Solar Panels

Geographical Location

Solar panels have a cost of installation, which varies greatly from geographical location to location. The price for installing solar panels in the United States is approximately $2.77 per watt and it costs an average of $17,538 to $23,458 to install enough panels in a typical home to generate 3,000 to 5,000 kilowatt-hours of electricity annually.

Installation and labor

There are various factors that will affect the cost of solar panels, including installation and labor. The price can vary depending on whether or not a homeowner wants to DIY install their own set of solar panels. For example, it is possible to buy a kit that includes all the supplies needed for installation and manuals in order to do so by oneself. But doing this will require some knowledge of wiring and electricity.

For those who do not feel comfortable doing it themselves, hiring a professional to install the solar panels for you will be necessary. The cost of this service may vary depending on where you live and whether or not the company you hire is licensed and insured.

Permits and inspections

The cost of solar panels for a house includes the costs associated with permits and inspections. All installations must pass inspection by an electrical professional before they are commissioned, which is one reason this process takes longer than most other installations.

On-grid vs. off-grid solar power systems

An on-grid solar power system connects to the utility grid and is used as a backup source of electricity during bad weather or other emergencies. These systems are often cheaper than off-grid systems, but they are more vulnerable to power outages. Off-grid systems do not connect to the utility grid and must be used in places where there is no access to public utility lines, or during power outages.

Roof vs. ground-mounted solar power systems

The first major difference between roof-mounted and ground-mounted solar power systems is the installation process. Roof-mounted panels are installed on the roof of a home, while ground-mounted systems require installation on the ground. This can make a big difference in the cost of installation. Roof-mounted systems are much easier to install, and therefore, less expensive than ground-mounted systems.

Type and Size of Solar Panels

There are three types of solar panel systems: monocrystalline, polycrystalline, and thin film. The size of the system also affects installation cost and efficiency.

The average system size can range from 2kW to 10kW with a variety of shapes/sizes according to energy needs and geographic location


The cost of solar panels, batteries, and other equipment for a system will depend on the size of the system. The larger the system, the more equipment is needed for installation.

The total cost of a solar panel installation largely depends on the size of the system and whether or not it includes an inverter.

Operational costs

Maintenance, monitoring, and inspections are the main costs in solar panel ownership. Annual maintenance can range from $300 to $700 on average.

Cost of Solar Panels by Type

Monocrystalline solar panels

The cost of monocrystalline solar panels is the most expensive, but they are able to provide the highest efficiency. Monocrystalline solar panels have a 20-year warranty and can last up to 25 years. The average cost for monocrystalline solar panels is $1 to $1.50 per watt.

Polycrystalline solar panels

Polycrystalline solar panels are one of the higher-performing and more expensive types of solar panels. A typical polycrystalline module costs around $0.90 to $1 per watt, depending on the manufacturer and size of the panel.

Thin-film solar panels

Thin-film solar panels, also known as amorphous silicon photovoltaic cells, are the cheapest and easiest to manufacture. They’re made of layers of silicon that have been chemically altered to reduce their thickness. The cost of solar panels can range between $1 and $1.50 per watt.

Additional Costs and Considerations

Size, Shape, and Condition of the Roof

cost to install solar panels for house

The size and shape of the roof can determine how much it will cost to install solar panels. For example, homeowners with a flat roof may not be able to use their entire roof for solar panels, but people with a pitched roof can. A small portion of the cost of solar panels is labor-related, so installers need to be paid for their time and expertise as well.

Shade and Sunlight Conditions

One thing that must be taken into account is shade and sunlight conditions. If the panels are shaded by trees or buildings, they will not work at all. They also need to get full, unobstructed sun in order to produce power.

If the panels are not installed correctly, they can be damaged by high winds and hail storms.

Federal and state incentives

State and federal incentives may offset the costs of installing solar panels for a home. Incentives are available in many states, including California, Colorado, Massachusetts, and New York. Federal tax rebates are also available for qualified solar installations.

Electricity use

If a person has an electric bill of $250 per month, they will save approximately $1,000 per year after their solar energy system is installed.

Financing options

Solar power is a great investment for the future, but it does require some money upfront. Fortunately, there are many options available to help you finance your solar installation project, including leases and loans.

If you plan to pay for your solar installation project with a loan, it is important that you have good credit and sufficient income. The federal government offers loans through the U.S Department of Energy’s Solar Energy System Loan Guarantee Program, which allows you to borrow money for solar installation from your local bank or credit union.

Cost of Solar Panels: DIY vs. Hiring a Professional

There are many factors to consider when deciding whether to install solar panels on your house. One of the most important considerations is cost: how much will it cost you to go DIY or hire a professional?

When it comes to materials, professionals can buy high-quality materials from the manufacturer, which saves money. Professionals also know all about tax credits and permits, whereas DIYers may not know much about them. This knowledge can save you time and money in the long run.

A professional has the knowledge and experience to develop a solar panel design and knows how to install it properly for warranties to be valid. Hiring a professional also guarantees that your installation will meet safety requirements and pass local inspections.

It’s worth noting that hiring a professional usually pays off in the long run – especially if you live in a state with good incentives like California or New Jersey.

DIY solar is a cheaper option than hiring a professional, but it’s not always the best option. For example, if you live in a state without good incentives, DIYing your solar panels may not be as cost-effective as hiring a professional. Additionally, weather conditions and home-building materials can play into the cost-effectiveness of this method.

Overall, whether you decide to go DIY or hire a professional, it’s important to do your research and figure out what will work best for your home and budget.

How does a solar panel installation work?

Solar panels are installed on a roof or in an open space. The solar panel installation is connected to the home’s electrical system, and the excess energy created by the panels is sent back into that electrical system. The following are the steps to a basic solar panel installation:

1. Choosing and ordering your equipment

The majority of solar panel installation companies will have a list of compatible panels on their website, which you can browse through before contacting the company. If you have an idea of the size, brand, and type of solar panel that you want to install, then it’s best to contact a company with such information.

2. Engineering site visit

Solar panel installation work is an investment in a cleaner future. The planning and engineering that goes into the production, design, and installation of your system can be overwhelming at first glance, but the benefits that come from having a solar power system are invaluable.

3. Permits and documentation

The process of getting permits and documentation is the same as for any other type of construction project. The cost of getting the documentation and permits will depend on where you live. In some places, this process can be free or very inexpensive while in other areas it can be quite expensive.

4. Solar installation: the big day

On the day of installation, a crew will come to your home and then assess what preparations are necessary. The workers will do things like:

  • Remove any plants or trees that might shade the panels
  • Install grounding wires and lightning rods
  • Install the panels on your roof
  • Connect the panels to an inverter, which will convert direct current (DC) electricity into alternating current (AC) electricity. The AC power will then be fed into your home’s electrical system and power your appliances.
  • Run wires from the inverter to a disconnect box, which is usually located in an area of your house that will be easy to access in case of repairs.
  • Run wires from the inverter to your main electrical panel, so that you can monitor and control the electricity being produced by your solar panels. This is called “interconnection.”
  • Have an electrician do a final inspection of the installation.

5. Approval and interconnection

After the design of your solar panel installation is approved, your home will need to be connected to an electric grid. This step must be done by a licensed electrical contractor that has been pre-qualified by your utility company.

How do you pay for a solar panel installation?

You can pay for solar panel installation in a few different ways. Some options are buying the system outright, leasing it, or getting a loan with some form of interest repayment schedule.

Reduce your solar costs with rebates and incentives

Solar panel installation costs can vary depending on the size of your home, what type, and how many panels you want to install. You should also factor in other expenses like permits or wiring upgrades. But you can reduce your total costs by looking for rebates and incentives.

The US Department of Energy offers a list of solar incentive programs that give you cash back or credits on the Federal income tax for installing solar panels on your home.

The federal solar tax credit: solar’s best incentive

The federal solar tax credit is one of the most important incentives for installing a residential solar system. In general, this means that as long as you buy and install your system in the same year, you can get 26% of the cost back as a tax credit.


Is it expensive to install solar panels?

The cost of installing solar panels will depend on how many you plan to install, your location, and whether or not the company that installs them is based in your area. The installation process can be complicated and time-consuming, which will drive up the cost.

How much does the installation of an off-grid system costs?

The installation of an off-grid solar panel system can cost between $18,050 – $74,000.

How much energy can I save with solar panels?

The amount of energy you can save by using solar panels depends on a variety of factors such as how much power your home uses, the type and size of your roof, and the size of your solar panels.

How long will my solar panels last?

The lifespan of a solar panel is typically 25-30 years.

Do solar panels work at night?

Solar panels don’t work at night because they rely on the sun for energy.

What is the ROI on Solar Panels?

For the average American thus far, the return on investment for solar panels is about 10%.

If you would like to know if we can install solar and put thousands of dollars in your pocket for doing it, use the form below to submit your electric bill for a no cost, no obligation evaluation.