Solar panels cost about $30,000 on average—but often pay for themselves several times over through 25-30 years of electricity savings.
If you’ve been putting off solar because of sticker shock, this might change your mind: Most homeowners save $37,000 to $148,000 over 25 years. While your neighbors watch their utility bills climb year after year, your panels generate free electricity for decades.
The typical home requires about 12 kilowatts (kW) of solar energy to meet its electricity needs, which costs an average of $29,649 before incentives, according to EnergySage data. Depending on where you live, state and local programs can knock thousands off that price, and if you finance with a loan, many homeowners see immediate positive cash flow when their energy savings exceed their monthly payment.
Understanding solar costs means looking beyond sticker prices. Right now, systems average about $2.53 per watt before incentives. But this number varies depending on your location, roof characteristics, and the equipment you select. Your state’s averages matter more than national numbers, and factors like shading, roof complexity, and local incentive programs all play a role in your final price.
