Solar Panel Cost Guide in Los Angeles, CA (Mar 2023)
- Los Angeles Solar Installation Cost: $5,446
- 25-Year Savings: $16,972
- Payback Period: 6.1 Years
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Updated March 14, 2023
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Average Cost of Solar Panels in Los Angeles
Find out how much it might cost to install solar panels in Los Angeles.
The national average cost of solar panels is $2.66 per watt, but in Los Angeles it's 2.73 per watt. The average solar panel system size in Los Angeles is around 2.9 kilowatts, meaning a cost of about $5,446 for a solar installation, or $7,788 before the 30% federal solar tax credit is applied.
Remember that the numbers above are only averages. The price you'll pay for solar may vary based on your household energy needs, the type of solar system you want to get, your solar contractor and more. But, after you've paid the upfront cost of installation, the savings for most homeowners is usually rewarding, with a net average savings of about $30,000 over 20 years on power bills.
To calculate your potential savings and connect with a local solar installer, click the button below.
Solar savings over time in Los Angeles
| Year | Return on Investment |
|---|---|
| 1 years | $-4,550 |
| 3 years | $-2,756 |
| 5 years | $-963 |
| 7 years | $831 |
| 9 years | $2,624 |
| 11 years | $4,418 |
| 13 years | $6,211 |
| 15 years | $8,004 |
| 17 years | $9,798 |
| 19 years | $11,591 |
| 21 years | $13,385 |
| 23 years | $15,178 |
| 25 years | $16,972 |
Top Solar Installers in Los Angeles
When switching to solar energy, many homeowners prefer to go with a solar company since handling can be a challenging project. Companies can also offer access to quality options of the best solar panels and help you choose which one will be right for you.
If you'd like to switch to solar energy but still aren't sure which solar panel company to go with, here are our recommendations for providers in Los Angeles:
Best Regional Coverage
Momentum Solar
- Great warranty coverage
- Representatives are experts on local policies
- Concierge service ensures steady communication
- Slightly limited service offerings
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 Los Angeles
Factors that Affect Solar Panel Costs in Los Angeles
Although the average cost of a solar system in Los Angeles is $5,446, your actual cost may be above or below the average. There are many factors that can have a significant impact on the cost of a solar panel installation. Below are some of the more important things to keep in mind.
Solar Equipment
The cost of solar panel systems varies by thousands of dollars due to a variety of factors. One of the most significant factors is the system size, which is measured in kilowatts (kW). Solar power systems with higher 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 $2,730. The model of solar panels and equipment you get is another factor that will largely affect costs. Solar panels that are more efficient, like monocrystalline panels, tend to come at a higher price. Moreover, 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 looking for a solar system that falls within your budget.
Solar Financing Terms
If paying for a solar system in cash is out of reach, solar loans are a popular option because they decrease your upfront costs and let you pay for your system over five to seven years on average. It's wise to factor the interest you'll pay in your final cost estimate. If you can afford to put more money down upfront, you can reduce your total costs and how long it'll take to pay off the loan.
Solar Panel Installation Company
The solar installer you choose to handle your switch to renewable energy can have an effect on your total costs. There are about 3 solar installation companies in Los Angeles, and each can charge different amounts for labor and equipment. Additionally, some companies in Los Angeles have more knowledge about local solar incentives and can help you make good use of additional rebates or tax exemptions. Though, they may charge more for that service. Even if they cost more upfront, they could end up saving you more money in the long run.
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 | $35,287 | 6.3 years |
| 8 kW | $2.78 | $15,594 | $47,355 | 6.2 years |
| 10 kW | $2.73 | $19,110 | $59,576 | 6.1 years |
| 12 kW | $2.68 | $22,473 | $71,949 | 6.0 years |
| 14 kW | $2.62 | $25,684 | $84,476 | 5.8 years |
| 16 kW | $2.57 | $28,741 | $97,156 | 5.7 years |
| 18 kW | $2.51 | $31,646 | $109,988 | 5.6 years |
| 20 kW | $2.46 | $34,398 | $122,973 | 5.5 years |
How to Save on Solar Panels
There are many companies available in Los Angeles, and some homeowners feel overwhelmed considering their options. Selecting the right company for you can be challenging, so here are some tips to help you decide:
- Reputation: Companies that have been in business for many years likely have a good reputation. This is important because it ensures that it will not only see your solar installation through, but will also provide adequate aftercare and customer service, such as part repairs and replacements.
- Warranty: Many companies offer different kinds of warranties that provide different kinds of coverage. A 25-year, all-inclusive warranty is the gold standard.
- Contract: Though reading through a contract can take a lot of time, it's important to do it carefully so you can be sure you understand how much the equipment and services will cost and the terms of the warranty.
- Solar Panel Brands: Homeowners will have different preferences for panels based on their roof configurations and how much efficiency they need. While there are many options for which kind of solar panel you can get, not every company will have access to the exact one you may want or need, so be sure to peruse their list of offerings before deciding.
Best Regional Coverage
Momentum Solar
- Great warranty coverage
- Representatives are experts on local policies
- Concierge service ensures steady communication
- Slightly limited service offerings
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 Los Angeles, CA Solar Cost FAQs
How much does it cost to install solar panels in Los Angeles?
The average cost of solar panels in Los Angeles 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 things like the type of solar panels you want, what size system you need and how much energy you consume.
What other factors should I consider in addition to cost when buying solar panels?
Cost is certainly one of the most important things to keep in mind when buying solar panels, but other important factors include efficiency, durability, and quality.
Does Los Angeles have a net metering program?
Each state has some form of net metering programs except Tennessee, South Dakota and Alabama currently. Some states allow you to sell power back to the grid, but others just give you credit toward your future utility bills.
How often do you have to replace solar panels?
On average, the lifespan of solar panels is about 25 to 30 years. Some even last up to 50 years, but their efficiency goes down by about 0.8% each year. You can choose to replace them sooner if you want to maintain a larger amount of energy production.
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.