Solar Panel Cost Guide in Alamo, CA (2023 Update)
- Alamo Solar Installation Cost: $5,818
- 25-Year Savings: $20,513
- Payback Period: 5.5 Years
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Updated September 15, 2023
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Average Cost of Solar Panels in Alamo
Let's take a look at the average cost of solar panels in Alamo.
Currently, the national average cost of solar panels is $2.66 per watt. However, in Alamo, the average cost of solar panels is 2.73 per watt. The average solar panel system size in Alamo is around 3.0 kilowatts, meaning a cost of about $5,809 for a solar installation, or $8,307 before the 30% federal solar tax credit is applied.
The actual price you pay can go above or below the average in Alamo based on several factors, such as the type of solar panels you choose and the solar company you hire. Many homeowners find going solar is a sound investment. The average homeowner in Alamo can save about $33,000 on their electricity bills over 20 years.
To see your potential savings and connect with a local solar company, click the button below.
Solar savings over time in Alamo
| Year | Return on Investment |
|---|---|
| 1 years | $-4,280 |
| 3 years | $-1,204 |
| 5 years | $1,872 |
| 7 years | $4,948 |
| 9 years | $8,023 |
| 11 years | $11,099 |
| 13 years | $14,175 |
| 15 years | $17,251 |
| 17 years | $20,327 |
| 19 years | $23,402 |
| 21 years | $26,478 |
| 23 years | $29,554 |
| 25 years | $32,630 |
Top Solar Installers in Alamo
When switching to solar energy, many homeowners opt to use a solar company since overseeing your solar installation yourself can be a time-consuming project. Another advantage of utilizing a solar company is that they can help you optimize your return of investment by reducing your future costs of repairs and replacements with the help of warranties and helping you learn about local incentives you can take advantage of.
You can get a free estimate from a local solar installer on the cost of solar panels for your home. Here are some nearby:
Best Regional Coverage
Momentum Solar
- Great warranty coverage
- Representatives are experts on local policies
- Concierge service ensures steady communication
- Slightly limited service offerings
See all of the solar companies in Alamo
Factors that Affect Solar Panel Costs in Alamo
Cost is typically one of the most important factors for homeowners who are considering investing in solar. There are a few primary factors that determine your overall cost in Alamo: solar equipment and system size, financing options and the solar installation company you choose. We'll cover each of these briefly below.
Solar Equipment
When it comes to estimating the price of solar panels in Alamo, one of the most crucial factors is the size of the system you need. Solar systems are sized by kilowatts (kW) and are chiefly based on your home's energy usage, which you can figure out by looking at past electricity bills. Your overall cost can increase by around $2,730 for each additional kilowatt you need. The type of 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. On the other hand, more efficient panels could save you more in the long run on your energy bills. In addition, extra products, like solar batteries, can bring your total well above the Alamo average.
Solar Financing Terms
Many homeowners find the average cost of solar in Alamo to be prohibitively steep, even if the investment pays off over time. Thankfully, almost every solar company in the area offers financing options. Solar loans greatly decrease upfront costs for most homeowners, but they also result in paying more over time due to interest. However, the interest on solar loans also increases your overall costs, so it's crucial to include that in your estimate as well. You can always lower the total you pay in interest and possibly even your APR by making a larger down payment.
Solar Panel Installation Company
The solar installer you go with to handle your switch to green energy can play a part in your total costs. There are about 3 solar panel companies operating in Alamo, and each can charge different amounts for labor and equipment. Companies that only sell high-efficiency and high-priced products — 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 provides the products, warranties and services you want 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 | $2.84 | $11,925 | $39,971 | 5.7 years |
| 8 kW | $2.78 | $15,594 | $53,600 | 5.6 years |
| 10 kW | $2.73 | $19,110 | $67,382 | 5.5 years |
| 12 kW | $2.68 | $22,473 | $81,317 | 5.4 years |
| 14 kW | $2.62 | $25,684 | $95,405 | 5.3 years |
| 16 kW | $2.57 | $28,741 | $109,646 | 5.2 years |
| 18 kW | $2.51 | $31,646 | $124,039 | 5.1 years |
| 20 kW | $2.46 | $34,398 | $138,586 | 5.0 years |
How to Save on Solar Panels
There are many companies to choose from in Alamo, and some homeowners feel overwhelmed considering their options. Selecting the right company for you can be tough, so here are some tips to help you decide:
- Reputation: Make sure your solar installer has a good reputation by confirming it has certifications and licenses, checking how long it's been in business and reading reviews by previous customers and solar experts like EcoWatch.
- Warranty: A comprehensive, 25-year warranty can help keep your solar system running for years to come and save you money on part replacement and repairs.
- Solar Panel Brands: Homeowners will have different preferences for panels depending on their locations and how much efficiency they need. Even though there are many options for which brand of solar panel you can get, not every company will have the exact one you may want or need, so make sure you peruse their list of offerings before making your decision.
- Contract: When reading over your solar company's contract, ask for clarification 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.
Best Regional Coverage
Momentum Solar
- Great warranty coverage
- Representatives are experts on local policies
- Concierge service ensures steady communication
- Slightly limited service offerings
EcoWatch's Alamo, CA Solar Cost FAQs
What is the average cost of installing solar panels in Alamo?
The average cost of solar panels in Alamo is about $13,650 for a 5-kW system and $27,300 for a 10-kW system before the ITC, but the real cost will depend on certain factors such as the type of solar panels you want, what size system you need and how much energy you consume.
Should I lease or buy solar panels in Alamo?
Leasing solar panels can be an appealing choice, as it commonly comes with low or $0 upfront payments. The downside is that you won't be able to save as much. If you lease, you don't own the system, so you can't claim any incentives and your home value won't increase. Buying solar panels is a better option if you want to get the most savings.
Can solar panels completely eradicate my power bills?
It is possible to eliminate your electricity bills with solar panels, but for most homeowners in Alamo, that will require at least a 10-kW system. Not all homes will have roofs that 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.
How long do solar panels last in Alamo?
Although 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 opt 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.