The cost of solar panels is always a hot topic of discussion. How much do they cost? What are the benefits? How long will it take for me to recoup my investment? Below is the answer to all of those questions and more! You can get a breakdown of the average cost of solar panels for a house, as well as the benefits you can expect to see from making the switch to solar energy.
To start with, the average cost of solar panels for a house is between $15,000 and $30,000. This range mainly depends on the size of your home and how much energy you use. However, a few other factors can affect the price, such as the type of solar panels you choose and whether or not you want to lease or buy them.
This cost can be broken down into the following
The cost of the solar panels
This cost will be the most significant portion of your investment. Solar panels typically range in price from $0.50 to $0.70 per watt. So, for a standard 200-square-foot roof, you can expect to pay between $15,000 and $21,000 for the panels. The overall cost mainly depends on the type of panels you select and the panels’ efficiency.
The cost of installation
Installation cost of solar panels typically ranges from $0.70 to $0.95 per watt. So, for a standard 200-square-foot roof, you can expect to pay between $14,000 and $19,000 for installation. However, the cost depends on the company you use. The size of your roof is also key, as well as any obstacles that need to be overcome during installation (such as trees or other buildings in the way).
The cost of permits and inspections
This cost will be the third-largest portion of your investment. A permit helps if something goes wrong during the installation process. It also allows you to inspect your system to ensure it is up to code. Permits are not always required, but if they are, they can add a high cost to your project. Permits and inspections typically range from $500 to $2000. So, for a standard 200-square-foot roof, you can expect to pay between $1000 and $4000 for permits and inspections.
The cost of maintenance
This cost is ongoing and will be the fourth-largest portion of your investment. Solar panels require very little maintenance, but it is still essential to have someone check on them periodically. The cost of care is typically between $0 and $100 per year. So, for a standard 200-square-foot roof, you can expect to pay between $0 and $200 per year for maintenance.
The cost of insurance
This cost is also ongoing. Homeowners’ insurance typically covers solar panels, but it is still essential to check with your insurer to be sure. Insurance typically costs between $0 and $200 per year. So, for a standard 200-square-foot roof, you can expect to pay between $0 and $400 per year for insurance.
The cost of batteries (if needed)
Batteries are not always necessary, but if you live in an area with unreliable grid power or want to be completely off-grid, batteries will be an essential part of your solar setup. Batteries typically cost between $100 and $200 per kilowatt-hour (kWh). So, for a standard home solar system, you can expect to pay between $2000 and $4000 for batteries.
The cost of inverters (if needed)
The inverter is a crucial component of any solar panel system. It converts the DC power from the solar panels into AC power, which your home can use. Inverters are also not always necessary, but if you live in an area with unreliable grid power or want to be completely off-grid, inverters will be an essential part of your solar setup. Inverters typically cost between $0.50 and $0.70 per watt. So, for a standard home solar system, you can expect to pay between $1000 and $3000 for inverters.
The cost of net metering
Net metering is the process of selling excess electricity back to the grid. In some states, this can offset the cost of your electric bill. In others, it can provide you with a small profit. The cost of net metering varies by state. It is not always available, but if it is, it can save you a significant amount of money on your electric bill. Net metering typically costs between $0 and $50 per month.
Other miscellaneous fees
A few other fees may be associated with your solar project. These include HOA approval fees, interconnection fees, and site assessment fees. These fees typically range from $0 to $500. They are often one of the smaller costs associated with your project and do not significantly impact the overall cost.
The cost of financing (if needed)
This cost is only applicable if you decide to finance your solar project. If you do, you can expect to pay between 0% and 21% interest on your loan. The terms of your loan will affect your monthly payments. So, for a standard 200-square-foot roof, you can expect to pay between $50 and $200 per month for financing. The terms will also affect the amount of interest you pay. Solar loans typically have terms ranging from five to 20 years.
The payback period
This is the amount of time it will take for you to recoup your investment. Usually, the payback period is between four and eight years. However, this number will vary depending on the cost of solar panels, electricity, sunlight, and the incentives available in your area. Most local and state governments offer solar energy incentives, so check what is available in your area.
Now that you know the average cost of solar panels for a house, you can make an informed decision about whether or not solar is right for you. Solar is a big investment, but it is an investment that will pay off in the long run. With solar, you can save money on your electric bill and do your part to help the environment.
It is a significant investment, and it is worth considering for your home. If you have any questions, feel free to contact a solar expert. They will be able to help you figure out if solar is right for you and give you a more accurate estimate of the cost of your project.