2026 Solar Panel Costs: Ultimate Guide to Pricing
Ultimately, many factors figure into the price per watt of a solar system, but the average cost is typically as low as $2.75 per watt. This price will vary
Solar panel costs average between $2.51 and $3.31 per watt. According to Solar Action Alliance, installers who buy in wholesale pay closer to 85 cents per watt. Solar panels are rated by kilowatt (kW). One kW equals 1,000 watts. After tax credits, a 2-kW system averages $4,381.
The location of your home affects solar pricing in a few ways: How sunny your area is: The less sunlight your home gets, the more panels you need to cover your energy needs, and the higher the price you'll have to pay
The average cost to install solar panels in the United States is about $12,000 after federal tax incentives. On the low end, you can install a smaller system for around $5,000, while a high-priced Tier 1 solar panel system can cost $40,000 or more. There are additional costs that go into an installation project beyond the price of panels.
Actual solar savings will depend on the system size, the cost of electricity, home energy usage, and what net metering policies are in place, but the average solar homeowner can expect their solar payback period to be between 8 and 11 years. After that, they'll be enjoying completely free solar electricity for at least 15 more years!
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