Solar Panel Cost Guide in Indianapolis, IN (2024 Update)
- Indianapolis Solar Installation Cost: $25,331
- 25-Year Savings: $21,991
- Payback Period: 16.4 Years
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Average Cost of Solar Panels in Indianapolis
We break down average solar pricing in Indianapolis.
The average cost of a solar panel system in Indianapolis is 4 per watt.The average solar panel system size in Indianapolis is around 8.8 kilowatts, meaning a cost of about $25,331 for a solar installation, or $36,223 before the 0 federal solar tax credit is applied.
The actual price you pay can go higher or lower than the average in Indianapolis based on several factors, such as the brand of solar panels you choose and the solar installer you hire.But, once you've paid the upfront cost of installation, the ROI for most homeowners is typically fruitful, with a net average savings of about $17,000 over 20 years on electricity bills.
To get a free estimate from a top solar installation company in Indianapolis, you can click the button below.
Solar savings over time in Indianapolis
| Year | Return on Investment |
|---|---|
| 1 years | $-24,046 |
| 3 years | $-21,476 |
| 5 years | $-18,907 |
| 7 years | $-16,337 |
| 9 years | $-13,768 |
| 11 years | $-11,198 |
| 13 years | $-8,628 |
| 15 years | $-6,059 |
| 17 years | $-3,489 |
| 19 years | $-919 |
| 21 years | $1,650 |
| 23 years | $4,220 |
| 25 years | $6,789 |
Top Solar Installers in Indianapolis
Although you can install solar panels on your own, it requires extra labor and expertise. Because of that, most homeowners choose to hire a solar panel installer. The expertise that solar companies provide can be useful as well, especially if you don’t quite know what type of solar equipment you need.
You can get a free estimate from a local solar installer on how much solar panels could cost for your home. Here are some nearby:
Best National Provider
SunPower
- Most efficient panels on the market
- National coverage
- Cradle to Cradle sustainability certification
- Great warranty coverage
- Expensive
- Customer service varies by local dealer
Best Solar Financing
Blue Raven Solar
- Industry-leading in-house financing
- Competitive pricing
- Excellent reputation
- Doesn't offer solar batteries
Best Technology
Tesla Energy
- Price-match guarantee
- Sleek, efficient, and durable solar panels
- Best solar battery on the market
- Some reported issues with customer service
- Customer service varies by local dealer
See all of the solar companies in Indianapolis
Factors that Affect Solar Panel Costs in Indianapolis
For many Indianapolis homeowners, the decision to install a solar energy system depends on cost. However, the range of solar installation costs can be quite wide in Indianapolis, with typical prices between $20,000 to $40,000. There are several factors that considerably influence the price you’ll pay, which we'll go over below.
Solar Equipment
The cost of solar panel systems varies by thousands of dollars due to a variety of factors. One of the major factors is the system size, which is measured in kilowatts (kW). Solar power systems with better efficiency or power generation require better technology and/or more equipment, both of which can increase costs. For each additional kilowatt you need, your cost can go up by about $4,100.The brand of solar panels and equipment you choose is another factor that will greatly affect costs. Solar panels that have higher efficiency, like monocrystalline panels, tend to be more costly. Furthermore, solar equipment goes beyond just the solar panels themselves. You’ll also need to think about the kind of racks used to mount the panels, inverters, solar batteries, etc. It’s important to take all of this into consideration when looking for a solar system that falls within your budget.
Solar Financing Terms
Solar panels can save you money on power bills over many years, but they can also be a big investment. That’s why many Indianapolis homeowners decide to finance their solar panel systems to make going solar more affordable.You’ll have to consider the long-term cost of loans, including the amount of interest you’ll pay over the length of the loan. If you can only get a high-interest loan, then your total can be hundreds or even thousands of dollars more than the principal cost. Making a larger down payment or getting a solar loan with a low APR could reduce your costs significantly.
Solar Panel Installation Company
Finally, the company you hire to install your solar panels can impact the cost. Indianapolis’s solar companies all have different labor costs and add varying upcharges to equipment. Some companies only sell high-quality, high-efficiency and high-price products — like Maxeon solar panels from SunPower or Tesla Powerwall batteries — so choosing those installers will generally come at a higher cost. It’s best to do some research and go with the company that offers the products, warranties and services you’re looking for and also fit into your budget.
Solar Panel Cost Data by System Size
| System size | Cost per system watt | Solar system cost | 25-Year savings | Payback period |
|---|---|---|---|---|
| 6 kW | $4.26 | $17,909 | $8,297 | 17.1 years |
| 8 kW | $4.18 | $23,419 | $11,521 | 16.8 years |
| 10 kW | $4.10 | $28,700 | $14,976 | 16.4 years |
| 12 kW | $4.02 | $33,751 | $18,660 | 16.1 years |
| 14 kW | $3.94 | $38,573 | $22,573 | 15.8 years |
| 16 kW | $3.85 | $43,165 | $26,716 | 15.4 years |
| 18 kW | $3.77 | $47,527 | $31,089 | 15.1 years |
| 20 kW | $3.69 | $51,660 | $35,691 | 14.8 years |
How to Save on Solar Panels
Since the kind of solar panels and the installation company you choose significantly impacts your costs and your system’s efficiency, production, and durability, it’s important to select the right ones for you. Here are some tips to keep in mind to help with your decision:
- Reputation: Make sure your solar company has a good reputation by verifying it has certifications and licenses, checking how long it's been in business and reading reviews by previous customers and solar experts like the EcoWatch team.
- Contract: It’s important to look over your solar installer’s contract closely to understand what services they will provide, what the warranty covers and what expectations you should have about the installation process.
- Solar Panel Brands: Homeowners will have different preferences for panels depending on their roof configurations and energy needs. Even though there are many options for which type of solar panel you can get, not every company will have the exact one you may want or need, so be sure to peruse their list of offerings before deciding.
- Installation Process: When making the switch to solar, it’s necessary to maintain an open line of communication with your solar panel company. Make sure you understand how the installation process works and the project completion timeline.
Best National Provider
SunPower
- Most efficient panels on the market
- National coverage
- Cradle to Cradle sustainability certification
- Great warranty coverage
- Expensive
- Customer service varies by local dealer
Best Solar Financing
Blue Raven Solar
- Industry-leading in-house financing
- Competitive pricing
- Excellent reputation
- Doesn't offer solar batteries
Best Technology
Tesla Energy
- Price-match guarantee
- Sleek, efficient, and durable solar panels
- Best solar battery on the market
- Some reported issues with customer service
- Customer service varies by local dealer
EcoWatch's Indianapolis, IN Solar Cost FAQs
What is the average cost of installing solar panels in Indianapolis?
The average cost of solar panels in Indianapolis is about $20,500 for a 5-kW system and $41,000 for a 10-kW system before the ITC, but the real cost will depend on certain factors such as the type of solar panels you want, what size system you need and how much energy you use.
What other factors should I consider aside from cost when buying solar panels?
The initial cost is a crucial factor to consider, but whether it’s the most important for you depends on your reasons for going solar. In places where rooftop space is limited, efficiency can trump the cost. Other factors that are important to consider are the quality and durability of your solar panels.
Is switching to solar power worth it?
Solar panels can be a fruitful investment for most homeowners, but they might not be worth it for everyone. If your home doesn't get enough sunlight and/or your energy bills are already fairly low, solar panels might not be for you.
How often do you have to replace solar panels?
On average, solar panels can last about 25 to 30 years. Some even last up to 50 years, but their efficiency decreases by about 0.8% each year. You can choose to replace them sooner if you want to maintain a larger amount of energy production.
Our goal is to reach as many people as we can with sensible solutions like solar energy. Our team of full-time local researchers collects solar price and installation data for every city in America then compiles it to create these digestible city guides. If you want to read our solar expert's opinion on the top solar companies featured here, follow this link.
Company research was conducted by Melissa Smith and Karsten Neumeister. Local data analysis was conducted by James Savino. See something we missed or could do better? Email the editor.