Solar Panel Cost Guide in Austin, MN (2024 Update)
- Austin Solar Installation Cost: $20,157
- 25-Year Savings: $20,501
- Payback Period: 14.5 Years
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Average Cost of Solar Panels in Austin
We break down average solar pricing in Austin.
The average cost of a solar panel system in Austin is 4 per watt.To account for the typical energy usage of the average home in Austin, most homeowners require a 7.1-kilowatt system. Using the per-watt figure above, a solar installation costs about $20,157, or $28,825 before the federal solar tax credit of 0 is applied.
Remember that the numbers above are only averages. The price you’ll pay for solar will differ based on your household energy needs, the type of solar system you choose, your solar contractor and more.Many homeowners find installing a solar system is a fruitful investment. The average homeowner in Austin can save around $18,000 on their power bills over 20 years.
Click the button below to get connected to a vetted solar installer in Austin for a personalized estimate.
Solar savings over time in Austin
| Year | Return on Investment |
|---|---|
| 1 years | $-18,878 |
| 3 years | $-16,319 |
| 5 years | $-13,760 |
| 7 years | $-11,201 |
| 9 years | $-8,642 |
| 11 years | $-6,083 |
| 13 years | $-3,524 |
| 15 years | $-966 |
| 17 years | $1,593 |
| 19 years | $4,152 |
| 21 years | $6,711 |
| 23 years | $9,270 |
| 25 years | $11,829 |
Top Solar Installers in Austin
Although it's possible to install solar panels on your own, it involves extra effort and expertise. Because of that, most homeowners choose to hire a solar panel installer. The payback period of solar panels will vary based on factors like your roof configuration and energy needs, but working with a solar installer can shorten it. Your provider will be able to help you get the most out of incentives available in your area.
Working with a licensed solar installer can make going solar easier. Here are our recommendations:
See all of the solar companies in Austin
Factors that Affect Solar Panel Costs in Austin
For many Austin homeowners, the decision to install a solar energy system comes down to cost. However, the range of solar installation costs can be quite wide in Austin, with typical prices between $20,000 to $40,000. There are several factors that significantly influence the price you’ll pay, which we'll go over below.
Solar Equipment
The cost of solar panels 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 that have greater efficiency or power generation require better technology and/or more equipment, both of which can raise costs. For each additional kilowatt you need, your cost can go up by about $4,030.The brand of solar panels and equipment you choose is another factor that will considerably affect costs. Solar panels that have higher efficiency, like monocrystalline panels, tend to be more costly. Furthermore, solar equipment is more than just the solar panels themselves. You’ll also need to make decisions 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 searching for a solar system that falls within your budget.
Solar Financing Terms
Many homeowners find the average cost of solar in Austin to be prohibitively expensive, even if the investment pays off over time. Thankfully, nearly every solar company in the area offers financing options. Solar loans greatly decrease upfront costs for most homeowners, but they also lead to higher prices over time because of interest.However, the interest on solar loans also increases your all-in costs, so it’s vital to keep that in mind as well. You can always reduce the total you pay in interest and sometimes even your APR by putting more money down.
Solar Panel Installation Company
Finally, the company you opt for to install your solar system can play a part in determining your pricing. Austin’s solar companies all have different labor costs and add varying upcharges to equipment. Additionally, some companies in Austin have more knowledge about local solar incentives and can help you take advantage of additional rebates or tax exemptions. Though, they may charge more for walking you through the whole process. Even if they cost more upfront, they could end up saving you more money in the long run.
Solar Panel Cost Data by System Size
| System size | Cost per system watt | Solar system cost | 25-Year savings | Payback period |
|---|---|---|---|---|
| 6 kW | $4.19 | $17,603 | $11,540 | 15.1 years |
| 8 kW | $4.11 | $23,019 | $15,838 | 14.8 years |
| 10 kW | $4.03 | $28,210 | $20,361 | 14.5 years |
| 12 kW | $3.95 | $33,175 | $25,111 | 14.2 years |
| 14 kW | $3.87 | $37,914 | $30,086 | 13.9 years |
| 16 kW | $3.79 | $42,428 | $35,286 | 13.6 years |
| 18 kW | $3.71 | $46,716 | $40,712 | 13.4 years |
| 20 kW | $3.63 | $50,778 | $46,365 | 13.1 years |
How to Save on Solar Panels
Since the brand of solar panels and the company you choose has an impact on your costs and your system’s efficiency, production, and durability, it’s important to select the right ones for you. Here are some things to keep in mind to help with your decision:
- Solar Panel Brands: Different companies offer different brands and models of panels. If you want a specific brand, make sure the solar installer you’re considering has it.
- Warranty: A comprehensive, 25-year warranty can help keep your solar panel system running smoothly and save you money on part replacement and repairs.
- Installation Process: An important thing to understand when adopting solar energy is the installation process itself. Be sure to clarify any details you need to know with your solar company, such as what permits you should acquire and how long the project will take.
- Contract: Before you sign a contract with a solar installer, make sure you read it through completely so you understand the terms. Also, ask questions if you’re not certain about some of the terms, such as what the warranty covers and what services you can expect from them.
EcoWatch's Austin, MN Solar Cost FAQs
What is the average cost of installing solar panels in Austin?
This is a difficult question to answer precisely, because the cost depends on a few different factors. Broadly speaking, it costs about $20,150 for a 5-kW system and $40,300 for a 10-kW system after the ITC is applied. You can expect to pay more if you want other solar equipment or higher quality panels, or if you have above-average energy needs. On the flip side, you can spend less if you go with a smaller solar panel system or less expensive solar panels.
Are solar panels free in Austin?
You can’t get solar panels for free in Austin. However, you may still be able to get them on a lower budget. You can lease solar panels for a low upfront cost or, if you’d rather own your solar panels, you can finance them with a solar loan.
Can solar panels eliminate my power bills?
It is possible to eradicate your electricity bills with solar panels, but for most homeowners in Austin, that will require at least a 10-kW system. Not all homes can accommodate that size system, so you’ll want to check with a local solar installer to see how many panels can fit on your roof.
What solar power system size is right for my home?
The exact number of solar panels you need depends on your household energy needs and the amount of sunlight your roof gets. You can take a look at your energy bills for the past year to get an idea of the solar system size you'll need. The average household has to install between 20 and 35 panels to account for their typical energy usage.
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.