Solar Panel Cost Guide in Gilroy, CA (2024 Update)
- Gilroy Solar Installation Cost: $7,249
- 25-Year Savings: $20,628
- Payback Period: 6.9 Years
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Average Cost of Solar Panels in Gilroy
We break down average solar pricing in Gilroy.
While the national average of solar panels is $2.66 per watt, solar panels in Gilroy typically cost around 3.The average Gilroy homeowner needs a 3.0-kilowatt system, which would cost about $7,249 with the federal tax credit, or $10,366 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 consumption, the type of solar panels you choose, your solar contractor and more.Despite the high initial cost, the average Gilroy homeowner can save about $34,000 on their energy bills over 20 years, which is one of the benefits of solar.
To get a free quote from a pre-vetted solar installation company in Gilroy, you can click the button below.
Solar savings over time in Gilroy
| Year | Return on Investment |
|---|---|
| 1 years | $-5,711 |
| 3 years | $-2,635 |
| 5 years | $441 |
| 7 years | $3,517 |
| 9 years | $6,592 |
| 11 years | $9,668 |
| 13 years | $12,744 |
| 15 years | $15,820 |
| 17 years | $18,896 |
| 19 years | $21,971 |
| 21 years | $25,047 |
| 23 years | $28,123 |
| 25 years | $31,199 |
Top Solar Installers in Gilroy
Many homeowners decide to hire a solar panel company since installing solar panels by yourself can be hard. Another advantage of utilizing a solar company is that they can help you optimize your return of investment by lowering your future costs of repairs and replacements due to warranties and giving you information on local incentives you can take advantage of.
Working with a professional solar installer can help your solar project go smoothly. Here are our recommendations:
Best Regional Coverage
Momentum Solar
- Great warranty coverage
- Representatives are experts on local policies
- Concierge service ensures steady communication
- Slightly limited service offerings
Best for Leasing
Sunrun
- Expansive service area
- Many financing options
- Some reported issues with customer service
- Some reported issues with door-to-door sales
See all of the solar companies in Gilroy
Factors that Affect Solar Panel Costs in Gilroy
There are several factors that can influence your installation cost, such as the size of your system, the equipment you choose, your financing options and the specific company that does the installation.
Solar Equipment
The cost of solar panel systems varies by thousands of dollars due to a few different factors. One of the notable factors is the system size, which is measured in kilowatts (kW). Solar power systems with better efficiency or power production require better technology and/or more equipment, both of which can raise costs. For each additional kilowatt you need, your cost can go up by about $3,470.Some solar panel brands — like Maxeon from SunPower — cost more upfront but also tend to offer higher efficiency. In a city like Gilroy, where sunlight is abundant, efficiency can quickly pay off. Plus, if you have a small roof or you don’t have a lot of space for your panels, higher efficiency options will be more impactful. Additional equipment like electric vehicle chargers and solar batteries will also increase the cost.
Solar Financing Terms
Most solar companies in Gilroy offer solar loans, which reduce the initial cost of installing a solar system.When considering your overall cost, you should also calculate the interest you’ll pay if you go with a solar loan. Also, paying a higher down payment can reduce the total interest paid over time.
Solar Panel Installation Company
The solar panel installation company you select will affect your total cost to go solar. Different companies will charge different amounts for the equipment and labor.Larger national companies typically have lower costs, but some local companies undercut them by promoting sales and discounts. While the smaller companies might not have specific equipment options like Tesla Powerwall batteries or extra services like electric vehicle charger installation, they might be cheaper overall.
Solar Panel Cost Data by System Size
| System size | Cost per system watt | Solar system cost | 25-Year savings | Payback period |
|---|---|---|---|---|
| 6 kW | $3.61 | $15,157 | $37,783 | 7.2 years |
| 8 kW | $3.54 | $19,821 | $50,766 | 7.0 years |
| 10 kW | $3.47 | $24,290 | $63,943 | 6.9 years |
| 12 kW | $3.40 | $28,565 | $77,315 | 6.7 years |
| 14 kW | $3.33 | $32,646 | $90,881 | 6.6 years |
| 16 kW | $3.26 | $36,532 | $104,641 | 6.5 years |
| 18 kW | $3.19 | $40,224 | $118,596 | 6.3 years |
| 20 kW | $3.12 | $43,722 | $132,745 | 6.2 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 brands and price points. To help you pick the right company for you, here are some tips to keep in mind:
- Warranty: An all-inclusive, 25-year warranty can help keep your solar panels running for a long time and save you money on repairs and maintenance.
- Installation Process: An important thing to understand when adopting solar energy is the installation process itself. Be sure to clarify any details you should know with your solar installer, such as what permits you should acquire and how long the project will take.
- Reputation: The North American Board of Certified Energy Practitioners (NABCEP) is a respected certification organization for sustainable energy professionals. If your solar panel installer is NABCEP-certified, it most likely has a solid reputation and is qualified to get the job done well. Another way you can check your installer’s reputation is by reading reviews.
- Solar Panel Brands: The kind of solar panel you’d like to get plays a role in which installer you should choose, since different companies offer different panels.
Best Regional Coverage
Momentum Solar
- Great warranty coverage
- Representatives are experts on local policies
- Concierge service ensures steady communication
- Slightly limited service offerings
Best for Leasing
Sunrun
- Expansive service area
- Many financing options
- Some reported issues with customer service
- Some reported issues with door-to-door sales
EcoWatch's Gilroy, CA Solar Cost FAQs
What is the average cost of installing solar panels in Gilroy?
The average cost of solar panels in Gilroy is about $17,350 for a 5-kW system and $34,700 for a 10-kW system before the ITC, but the real cost will depend on stuff such as the model of solar panels you want, what size system you need and how much energy you consume.
Are solar panels free in Gilroy?
You can’t get solar panels for free in Gilroy. However, you may still be able to get them on a lower budget. You can lease solar panels for a low upfront cost or, if you’d prefer to own your solar panels, you can finance them with a solar loan.
How will having solar panels impact my home value?
Installing solar panels on your home can increase the value of your property by about 4%, according to research done by Zillow. The average home value in Gilroy is currently $1,040,819, which means you can look forward to a value of about $42,674 more than houses without a solar system. The exact figures will vary, but most experts agree that installing solar panels in Gilroy is a rewarding investment.
How long do solar panels last in Gilroy?
Even though the average lifespan of solar panels is 25 to 30 years, that doesn't mean they should be disposed of at that time. What this means is the amount of energy they produce will have decreased significantly after that point. You can choose 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.