Solar Panel Cost Guide in Montgomery, AL (2025 Update)
- Montgomery Solar Installation Cost: $21,348
- 25-Year Savings: $35,083
- Payback Period: 10.7 Years
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Average Cost of Solar Panels in Montgomery
Let’s have a look at the average cost of solar in Montgomery.
While the national average of solar panels is $2.66 per watt, solar panels in Montgomery generally cost about 3.To cover the typical energy needs of the average home in Montgomery, most homeowners require a 8.7-kilowatt system. Using the figure above, a solar installation costs around $21,348, or $30,528 before the federal solar tax credit of 0 is applied.
Keep in mind 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 equipment you want, your solar contractor and more.Many homeowners find installing a solar panel system is a solid investment. The average homeowner in Montgomery can save around $22,000 on their electricity bills over 20 years.
To calculate your potential savings and connect with a local solar expert, click the button below.
Solar savings over time in Montgomery
| Year | Return on Investment |
|---|---|
| 1 years | $-19,510 |
| 3 years | $-15,833 |
| 5 years | $-12,157 |
| 7 years | $-8,481 |
| 9 years | $-4,804 |
| 11 years | $-1,128 |
| 13 years | $2,548 |
| 15 years | $6,224 |
| 17 years | $9,901 |
| 19 years | $13,577 |
| 21 years | $17,253 |
| 23 years | $20,930 |
| 25 years | $24,606 |
Top Solar Installers in Montgomery
Trying to install solar panels on your own can be a challenging project, which is why using a solar installation company is a good option for many homeowners. Plus, if you aren’t sure what type of solar panels and equipment you want, a solar company can help you find the right equipment for you after a site survey and consultation.
You can work with a local solar installer to get a free quote on how much your investment in solar could cost for your home. Here are some nearby:
See all of the solar companies in Montgomery
Factors that Affect Solar Panel Costs in Montgomery
Cost is usually one of the most important factors for homeowners who are considering investing in solar. There are a few primary factors that affect your total cost in Montgomery: solar equipment and system size, financing options and the solar installation company you choose. We’ll discuss each of these briefly below.
Solar Equipment
The size of the solar system you need for your household, which is measured in kilowatts, is the most important cost factor to consider. For every additional kilowatt you need, you can expect your total to increase by about $3,490. The solar equipment you choose can bring your price up or down by thousands or even tens of thousands of dollars. If you choose the most efficient solar panel brands, you’ll end up paying more upfront than if you opted for the most affordable panels. However, higher efficiency could save you more over time on your power bills. Additionally, extra products, such as solar batteries, can bring your total well above the Montgomery average.
Solar Financing Terms
Many homeowners find the average cost of solar in Montgomery to be too expensive, even if the investment pays off over time. Fortunately, nearly every solar installer in the area provides access to financing options. Solar loans substantially decrease upfront costs in most cases, but they also result in higher prices over time due to interest.While solar loans make switching to solar energy more accessible for Montgomery homeowners, they can also increase the total you pay for your system, depending on your interest rate. If you make a larger down payment, though, you can cut back on how much interest you have to pay.
Solar Panel Installation Company
The solar installer you choose to handle your switch to green energy can have an effect on your total costs. There are about 3 solar installation companies in Montgomery, and each can charge varying amounts for labor and equipment.The company’s size sometimes plays the most considerable role in your costs. Larger national companies, like SunPro and Sunrun, often have lower prices because of more resources and bulk pricing. Smaller local companies might be more costly, but they generally have better customer service and more customization options, and the occasional sale or discount can bring their pricing lower to compete with bigger names.
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 | $19,134 | 11.1 years |
| 8 kW | $3.56 | $19,935 | $25,903 | 10.9 years |
| 10 kW | $3.49 | $24,430 | $32,867 | 10.7 years |
| 12 kW | $3.42 | $28,730 | $40,027 | 10.4 years |
| 14 kW | $3.35 | $32,834 | $47,382 | 10.2 years |
| 16 kW | $3.28 | $36,743 | $54,933 | 10.0 years |
| 18 kW | $3.21 | $40,456 | $62,679 | 9.8 years |
| 20 kW | $3.14 | $43,974 | $70,621 | 9.6 years |
How to Save on Solar Panels
Since the type of solar panels and the installation company you choose greatly impacts your costs and your system’s durability and efficiency, it’s important to select the right ones for you. Here are some tips to keep in mind to help with your decision:
- Contract: When looking through your solar installer’s contract, ask questions about any terms you’re not sure of and make sure you understand what happens in scenarios like a system part breaking or the company going out of business.
- Installation Process: Make sure you’re on the same page with the company in regard to how the installation process will go and what you need to do before your solar panel system is installed, such as repairing your electrical system or roof.
- Solar Panel Brands: Different companies will have various brands and kinds of panels. If you want a specific brand, make sure the solar panel installer you’re considering has it.
- Reputation: Make sure your solar company has a good reputation by confirming it has certifications and licenses, checking its work history and reading reviews by past customers and solar experts like EcoWatch.
EcoWatch's Montgomery, AL Solar Cost FAQs
What is the average cost of installing solar panels in Montgomery?
This is a hard question to answer precisely, because the cost depends on a few different factors. Broadly 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 be more expensive if you want additional solar equipment or higher quality panels, or if you have higher-than-average energy usage. Conversely, you can spend less if you want a smaller solar panel system or cheaper solar panels.
What other factors should I consider aside from cost when buying solar panels?
Cost is a key factor to consider, but whether it’s the most important for you depends on your goals for going solar. In areas where rooftop space is limited, efficiency can trump the cost. Other factors that are important to take into account are the quality and durability of your solar panels.
Is going solar worth it?
Solar panels can be a beneficial investment for many homeowners, but they might not be worth it for everyone. If your home doesn't get a lot of direct sunlight and/or your energy bills are already pretty low, solar panels might not be for you.
How long do solar panels last in Montgomery?
Although the average lifespan of solar panels is 25 to 30 years, that doesn't mean they are completely unusable at that time. What this means is their energy production will have decreased significantly after that point. You can choose to replace them once you've had 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.