Solar Panel Cost
The cost of solar panels has fallen dramatically over the last decade and solar systems now offer homeowners more value than ever before. Solar panels are only one component of an overall solar system, so there are other solar installation costs to consider.
Homeowners with high electricity bills can save tens of thousands of dollars by going solar, but you should be prepared for a high upfront cost of $15,000 to $20,000 for about 20 panels. However, most homeowners can break even within 6 to 10 years, depending on the size of their home, their electricity bill and their payment method.
In this article you will learn about the cost of solar panels, what affects the cost of solar panels, how much you can save on solar panels and how to pay for solar panels.
How Much Do Solar Panel Cost?
Most homeowners pay between $15,000 and $20,000 for solar panels, but the total cost of a solar panel installation can range anywhere from $10,000 to $30,000.
In general, If you live in an area that receives a lot of sunlight, has high traditional energy costs and offers generous solar incentives, you stand to save the most when switching to solar. However, most people that go solar see savings on their monthly electric bill regardless.
How much your solar installation will cost and how long it will take to break even on your panels depends on several factors, like where you live, how much energy your household uses and which solar company you choose.
What Affects Solar Panel Cost?
1.Solar panel cost according to the size of the solar system
The size of the solar system dramatically determines how much you pay for solar panels.
2kW solar system size costs around $2,800 – $5,600
3kW costs around $2,900 – $6,950
4kW costs around $3,400 – $7,900
5kW costs around $3,500 – $9,500
10kW costs around $7,600 – $14,100.
2.Solar panel cost according to the location:
The location of your home plays a crucial role in how much money solar panels can save you. You will find that solar energy is more costly in areas further from the equator. Whereas in sunny areas the cost is lower, making it a more economical option in these areas.
3.Solar panel cost according to solar companies
The cost of solar panels is dependent on the solar panel company you choose. From the solar equipment system itself to installation costs and add-ons, the price will vary from company to company and the first step is to consider your options for the best solar companies.
4.Types of Solar Panels
The type of solar panel you order will influence your total price. Below is a breakdown of the three most popular types of solar panels and their average price.
Monocrystalline: The most popular solar panel on the market today, monocrystalline panels offer the highest efficiency rate, at an average of 24%. However, they are also the most costly. The average cost for monocrystalline solar panels is $1 to $1.50 per watt. Therefore, a standard 6kW system costs between $6,000 and $9,000.
Polycrystalline: Polycrystalline panels are a more cost-effective option up front. However, they feature a lower efficiency rate than mono panels, at an average of 20%. The average cost for polycrystalline solar panels is $0.90 to $1 per watt, or $5,400 to $6,000 total.
Thin-film: Thin-film solar panels are less popular for residential solar systems. They tend to cost around $1 to $1.50 per watt.
5.Roof Features:
These solar panels generate the most energy on angled roofs that allow maximum sun exposure. On the other hand, a flat roof will require the construction of angled platforms, which will add to your labor costs and increase the overall cost of your solar system installation.
Your roof’s age and structural soundness will also influence the overall cost of solar panel installation. Repairing your roof or upgrading your roofing material to support panels will come at an additional expense ahead of installation and affect your total cost.
6.Labor:
Labor costs vary by location and are more expensive in areas with higher costs of living. Different solar providers also charge different prices. You can choose to pay more for a company with a better reputation, better reviews and a shorter installation time.
How Much Do Solar Panels Save?
Switching to a solar system can reduce your energy costs by 75% or more.
Though solar panels cost money upfront, they can save homeowners money in the long term. The question of how much solar panels will save you depends on several factors, including the hours of daily direct sunlight available, the angle of your roof and the size of your solar panel system. The most important factor in determining how much money solar panels will save you is your local electricity rates.Then, determine your current utility rate, keeping in mind that utility rates tend to increase by 2.2% each year .
How Can I Pay for Solar Panels?
Cash
If you can pay cash, it’s usually cheaper in the long run.But paying the full amount in one go becomes a burden for many people. But for those who can afford it it is still a very good way to pay and can save on many other expenses.
Solar Loans
Solar loans allow you to finance solar panels to help alleviate financial stress. Plus, you can have the panels installed and start using them to power your home right away with little to no money down. The payment plan will involve monthly payments over a period of time with interest added.
Lease
With a solar lease, you don’t own the equipment. Instead, you make monthly payments to use them for the duration of the lease term. Your leasing company is responsible for maintaining and repairing the solar panel system during this time.
Conclusion
The true cost of solar panels and whether they can help you save money. We feel that you have a general idea of this with this article. If you live in an area where electricity is expensive and the solar rating is right. And you can afford the initial investment, then installing solar panels on your home is worthwhile.
