Solar Panel Cost Guide in Germantown, MD (2024 Update)
- Germantown Solar Installation Cost: $13,851
- 25-Year Savings: $8,939
- Payback Period: 17.5 Years
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Average Cost of Solar Panels in Germantown
See how much it might cost to go solar in Germantown.
The average cost of a solar system in Germantown is 4 per watt.Using this figure, a typical 5.6-kW system would cost about $13,851 before the 0 federal solar tax credit is applied.
Keep in mind that the numbers above are only averages. The price you’ll end up paying for solar may look quite different based on your household energy consumption, the type of solar system you want to get, your solar contractor and more.Even with the large upfront cost, the average Germantown homeowner can save about $14,000 on their electricity bills over 20 years, which is one of the perks of solar.
You can click the button below to get connected with a top solar company in Germantown for a quote for your home.
Solar savings over time in Germantown
| Year | Return on Investment |
|---|---|
| 1 years | $-12,508 |
| 3 years | $-9,821 |
| 5 years | $-7,135 |
| 7 years | $-4,448 |
| 9 years | $-1,762 |
| 11 years | $925 |
| 13 years | $3,611 |
| 15 years | $6,298 |
| 17 years | $8,984 |
| 19 years | $11,671 |
| 21 years | $14,358 |
| 23 years | $17,044 |
| 25 years | $19,731 |
Top Solar Installers in Germantown
When going solar, many homeowners prefer to go with a solar installer since installing solar panels yourself can be a difficult project. Some solar companies, particularly local ones, can help you better understand incentives in Germantown, therefore optimizing your ROI.
If you’d like to start using solar energy but still aren’t sure which solar system installer to go with, here are our recommendations for providers in Germantown:
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 for Leasing
Sunrun
- Expansive service area
- Many financing options
- Some reported issues with customer service
- Some reported issues with door-to-door sales
Best Social Impact
Palmetto Solar
- Expansive service area
- Makes charitable contributions
- Certified B Corp
- No leases or PPAs
- Quality of installation may vary by location
See all of the solar companies in Germantown
Factors that Affect Solar Panel Costs in Germantown
The cost of installing a solar system in Germantown can vary by more than $10,000 from home to home. Your actual cost depends on several factors. The largest one is the size of the system you need, and other factors include the equipment you choose, financing options and the solar installer you choose.
Solar Equipment
When it comes to estimating the price of a solar panel system in Germantown, one of the most important factors is the size of the system you need. Solar systems are sized by kilowatts (kW) and are chiefly based on your home’s energy consumption, which you can determine by looking at past electricity bills. Your overall cost can increase by about $3,540 for each additional kilowatt you need.The type of solar equipment you choose can increase or decrease your cost by thousands or even tens of thousands of dollars. If you opt for the most efficient solar panel brands, you’ll end up paying more upfront than if you opted for the most affordable panels. On the other hand, more efficient panels could save you more in the long run on your electric bills. In addition, extra products, like solar batteries, can bump up your total well above the Germantown average.
Solar Financing Terms
Many homeowners find the average cost of solar in Germantown to be prohibitively expensive, even if the investment pays off over time. Fortunately, almost every solar installer in the area provides financing options. Solar loans greatly decrease upfront costs in most cases, but they also result in higher prices over time because of interest.While solar loans make switching to solar energy more accessible for Germantown homeowners, they can also add to the total you pay for your system, depending on your interest rate. If you make a larger down payment, though, you can avoid paying as much in interest.
Solar Panel Installation Company
Finally, the company you get to install your solar system can play a role in determining your pricing. Germantown’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 with an above-average cost. It’s best to do some research and go with the company that has the products, warranties and services you want and also fits within 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 | $3.68 | $15,463 | $5,766 | 18.2 years |
| 8 kW | $3.61 | $20,220 | $8,085 | 17.9 years |
| 10 kW | $3.54 | $24,780 | $10,602 | 17.5 years |
| 12 kW | $3.47 | $29,141 | $13,317 | 17.2 years |
| 14 kW | $3.40 | $33,304 | $16,230 | 16.8 years |
| 16 kW | $3.33 | $37,269 | $19,341 | 16.5 years |
| 18 kW | $3.26 | $41,036 | $22,651 | 16.1 years |
| 20 kW | $3.19 | $44,604 | $26,159 | 15.8 years |
How to Save on Solar Panels
The solar company you choose will be a major factor in determining not only your overall costs, but also the types of solar panel brands, warranties, and other equipment you have access to. When choosing a solar company, there are some important things you should take into account, including:
- Contract: Before signing a contract with a solar company, be sure to look it over completely so you understand the terms. Also, ask questions if you’re not sure about some of the terms, such as what the warranty covers and if there are any guarantees about energy production.
- Warranty: Each company may offer different types of warranties that provide different kinds of coverage. A 25-year, all-inclusive warranty is the gold standard.
- Installation Process: Homeowners should make sure they understand how exactly the installation process will be carried out, as well as important factors like the completion timeline.
- Solar Panel Brands: Homeowners will have different preferences for panels based on their roof configurations and how much efficiency they need. Although there are many options for which brand of solar panel you can get, not every company will have the exact one you may want or need, so make sure you peruse their list of offerings before deciding.
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 for Leasing
Sunrun
- Expansive service area
- Many financing options
- Some reported issues with customer service
- Some reported issues with door-to-door sales
Best Social Impact
Palmetto Solar
- Expansive service area
- Makes charitable contributions
- Certified B Corp
- No leases or PPAs
- Quality of installation may vary by location
EcoWatch's Germantown, MD Solar Cost FAQs
What is the average cost of installing solar panels in Germantown?
This is a tough question to answer exactly, because the cost depends on a variety of factors. Broadly speaking, it costs about $17,700 for a 5-kW system and $35,400 for a 10-kW system after the ITC is applied. It will cost more if you want extra solar equipment or higher quality panels, or if you have above-average energy consumption. On the other hand, you can spend less if you choose a smaller solar panel system or less expensive solar panels.
Is it better to lease or buy solar panels in Germantown?
Leasing solar panels can be an appealing choice, because it typically comes with low or $0 upfront payments. The drawback is that you won’t be able to save as much. If you lease, you don’t own the system, so you can’t claim any incentives and your home value won’t increase. Buying solar panels is a better option if you want to maximize your savings.
Can you sell solar power back to the grid in Germantown?
Most states have net metering programs of some kind. Through these, you can receive compensation for the extra power your system generates or or receive credits to put toward future utility bills. Currently there are just three states that don’t have any net metering laws: Alabama, Tennessee and South Dakota.
What solar power system size is right for my home?
To figure out how many solar panels you need, you need to know how much energy your home needs and how much sunlight your home gets. For a general estimate, however, since each panel can generally produce about 250 to 400 watt-hours per hour, the average house will need 20 to 35 panels.
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.