Solar Panel Cost Guide in Dothan, AL (2024 Update)
- Dothan Solar Installation Cost: $21,234
- 25-Year Savings: $32,927
- Payback Period: 11.1 Years
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Average Cost of Solar Panels in Dothan
Let’s have a look at the average cost of solar panels in Dothan.
The average cost of a solar panel system in Dothan is 3 per watt.The average Dothan homeowner needs a 8.7-kilowatt system, which would cost about $21,234 with the federal tax credit, or $30,365 before the 0 tax credit is applied.
Remember 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 use, the type of equipment you choose, your solar contractor and more.But, after you've paid the initial cost of installation, the return on investment for most homeowners is usually good, with a net average savings of about $21,000 over 20 years on electricity bills.
Click the button below to get connected to a top solar company in Dothan for a customized estimate.
Solar savings over time in Dothan
| Year | Return on Investment |
|---|---|
| 1 years | $-19,456 |
| 3 years | $-15,900 |
| 5 years | $-12,344 |
| 7 years | $-8,788 |
| 9 years | $-5,232 |
| 11 years | $-1,677 |
| 13 years | $1,879 |
| 15 years | $5,435 |
| 17 years | $8,991 |
| 19 years | $12,547 |
| 21 years | $16,103 |
| 23 years | $19,659 |
| 25 years | $23,215 |
Top Solar Installers in Dothan
When switching to solar energy, many homeowners opt to use a solar company since DIY solar panel installation can be a difficult project. Because solar panels are exposed to the elements every day, warranties and repairs from your solar company can help you get the most out of your investment in solar panels by reducing potential costs down the line.
Working with a professional solar installer can help you make the most of your investment in solar. Here are our recommendations:
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 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 Dothan
Factors that Affect Solar Panel Costs in Dothan
Cost is often one of the most important factors for homeowners wanting to invest in solar. There are a few key factors that determine your overall cost in Dothan: solar equipment and system size, financing options and the solar installation company you choose. We’ll cover each of these briefly below.
Solar Equipment
One of the most important factors to consider when it comes to the cost of installing solar panels is the size of the solar system, which is measured in kilowatts (kW). The more power your household consumes, the larger your system will likely need to be. You can expect to pay around $3,490 per kilowatt in Dothan.The type of solar panels and equipment you get is another factor that will significantly impact costs. Solar panels that are more efficient, like monocrystalline panels, tend to come at a higher price. Plus, 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 researching a solar system that’s in your budget.
Solar Financing Terms
If paying for a solar system out of pocket is difficult, solar loans are a solid option because they reduce your upfront costs and let you pay for your system over a term of, on average, between five and seven years.When trying to figure out your overall cost, you should also calculate the interest you’ll pay if you choose to go with a solar loan. Also, paying more upfront can reduce the total interest paid over time.
Solar Panel Installation Company
The solar panel installation company you select will influence your total cost to go solar. Different companies will bill different amounts for the equipment and labor.Some companies only sell products with high efficiency and therefore a higher price point — like Maxeon solar panels from SunPower or Tesla Powerwall batteries — so choosing those installers will generally cost more. It’s best to do some research and decide on the company that has the products, warranties and services you’re looking for and also is 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 | $3.63 | $15,244 | $17,775 | 11.5 years |
| 8 kW | $3.56 | $19,935 | $24,091 | 11.3 years |
| 10 kW | $3.49 | $24,430 | $30,602 | 11.1 years |
| 12 kW | $3.42 | $28,730 | $37,309 | 10.9 years |
| 14 kW | $3.35 | $32,834 | $44,212 | 10.7 years |
| 16 kW | $3.28 | $36,743 | $51,309 | 10.4 years |
| 18 kW | $3.21 | $40,456 | $58,602 | 10.2 years |
| 20 kW | $3.14 | $43,974 | $66,091 | 10.0 years |
How to Save on Solar Panels
There are a lot of solar installers to choose from, all of which offer different warranties, solar panel models and price points. To help you pick the right company for you, here are some tips to keep in mind:
- Installation Process: Make sure you’re on the same page with the company with regard to how the installation process will go and what you need to do before your solar panel system is installed, such as updating your electrical system or roof.
- Warranty: An all-inclusive, 25-year warranty can help keep your solar system running for a long time and save you money on part replacement and repairs.
- Contract: Read the contract terms closely to make sure you understand how much it will cost, completion timeline rebates and warranties.
- Solar Panel Brands: The kind of solar panel you’d like to get plays a role in which company you should opt for, since different companies have different panels.
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 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 Dothan, AL Solar Cost FAQs
What is the average cost of installing solar panels in Dothan?
This is a difficult question to answer exactly, because the cost depends on a variety of factors. Generally speaking, it costs about $17,450 for a 5-kW system and $34,900 for a 10-kW system after the ITC is applied. It will cost more if you want additional solar equipment or more efficient panels, or if you have higher-than-average energy needs. Conversely, you can spend less if you go with a smaller solar panel system or less expensive solar panels.
Should I lease or buy solar panels in Dothan?
Leasing solar panels can be an option if you can’t afford to pay upfront or secure a solar loan, but since you don’t own the system, you don’t have access to many solar incentives. Also your property value won’t increase, so you’ll have less savings over time. If you can afford to buy a solar system upfront, then buying is the better option if you want the most savings from going solar.
Is it worth going solar in Dothan?
Solar panels can be a good investment for most homeowners, but they might not be worth it for everyone. If your home doesn't get a lot of direct sunlight and/or your electricity bills are already reasonably low, solar panels might not be for you.
How long do solar panels last in Dothan?
Though the average lifespan of solar panels is 25 to 30 years, that doesn't mean they stop working completely at that time. What this means is the amount of energy they produce will have decreased significantly after that point. You can decide to replace them after having them for that long or you can keep using them at a lower efficiency.
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.