Solar Panel Cost Guide in Morgan Hill, CA (Mar 2023)
- Morgan Hill Solar Installation Cost: $5,695
- 25-Year Savings: $20,636
- Payback Period: 5.4 Years
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Updated March 14, 2023
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Average Cost of Solar Panels in Morgan Hill
Let's take a look at the average cost of solar in Morgan Hill.
Currently, the national average cost of solar panels is $2.66 per watt. However, in Morgan Hill, the average cost of a solar system is 2.73 per watt. Because a 3.0-kW system is needed to cover the energy usage of a typical home in Morgan Hill, the average price of going solar will be about $5,695 after claiming the federal solar tax credit of 30%.
The actual price you pay can be higher or lower than the average in Morgan Hill depending on a variety of factors, such as the kind of solar panels you choose and the solar installer you hire. Despite the significant initial cost, the average Morgan Hill homeowner can save around $34,000 on their energy bills over 20 years, which is one of the benefits of solar.
Click the button below to get connected to a highly rated solar panel company in your area for a customized quote.
Solar savings over time in Morgan Hill
| Year | Return on Investment |
|---|---|
| 1 years | $-4,642 |
| 3 years | $-2,535 |
| 5 years | $-429 |
| 7 years | $1,678 |
| 9 years | $3,784 |
| 11 years | $5,891 |
| 13 years | $7,997 |
| 15 years | $10,104 |
| 17 years | $12,210 |
| 19 years | $14,317 |
| 21 years | $16,423 |
| 23 years | $18,530 |
| 25 years | $20,636 |
Top Solar Installers in Morgan Hill
Installing solar panels yourself can be a stressful undertaking, which is why getting a solar installation company is a good option for many homeowners. Another upside of going with a solar installer is that they can help you maximize your return of investment by lowering your future costs of repairs and replacements with the help of warranties and giving you information on local incentives you can take advantage of.
If you'd like to start using solar energy but still aren't sure which solar company to go with, here are our suggestions for providers in Morgan Hill:
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 Morgan Hill
Factors that Affect Solar Panel Costs in Morgan Hill
There are many criteria that can play into your solar system installation cost, such as the size of your system, the equipment you choose, your financing options and the specific company that performs the installation.
Solar Equipment
Solar system size, which is measured in kilowatts, is one of the largest factors that affects the overall cost of going solar. That's why it's crucial to accurately ascertain the size of the solar energy system needed for your home by figuring out your typical energy use. The type of solar panels and equipment you choose is another factor that will considerably affect costs. Solar panels that have higher efficiency, like monocrystalline panels, tend to be more pricey. Plus, solar equipment consists of more than 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 out of pocket is too expensive, solar loans are a solid route because they reduce your upfront costs and allow you to pay for your system over a term of, on average, between five and seven years. However, the interest on solar loans also adds to your overall costs, so it's vital to include that in your estimate as well. You can always lower the total you pay in interest and sometimes even your APR by putting more money down.
Solar Panel Installation Company
Lastly, the company you opt for to install your solar panels can play a part in determining the cost. Morgan Hill's solar companies all have different labor costs and add varying upcharges to equipment. You may come across national solar installers that have lower prices because of their bigger brand name and access to bulk equipment prices, or you might see small, local installation companies offering deals or specials to compete with those larger companies.
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 | $41,015 | 5.6 years |
| 8 kW | $2.78 | $15,594 | $54,993 | 5.5 years |
| 10 kW | $2.73 | $19,110 | $69,123 | 5.4 years |
| 12 kW | $2.68 | $22,473 | $83,407 | 5.3 years |
| 14 kW | $2.62 | $25,684 | $97,843 | 5.2 years |
| 16 kW | $2.57 | $28,741 | $112,432 | 5.1 years |
| 18 kW | $2.51 | $31,646 | $127,174 | 5.0 years |
| 20 kW | $2.46 | $34,398 | $142,069 | 4.9 years |
How to Save on Solar Panels
The solar installer you choose will impact not only your overall costs, but also the types of solar panel brands, warranties, and other equipment you have access to. When choosing a solar company, there are some important things you should take into account, such as:
- Contract: It's important to look over your solar installer's contract fully to understand what services they will provide, what the warranty covers and what expectations you should have about the project timeline.
- Warranty: If you're worried about the durability of your solar panels, ensuring your installer offers a 25-year, all-inclusive warranty can help put you at ease.
- Solar Panel Brands: The brand of solar panel you'd like to get plays a role in which installer you should choose, since different companies have different panels.
- Reputation: Make sure your solar company has a good reputation by verifying it has certifications and licenses, checking its number of years in business and reading reviews by past customers and solar experts like EcoWatch.
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 Morgan Hill, CA Solar Cost FAQs
How much does it cost to install solar panels in Morgan Hill?
The average cost of solar panels in Morgan Hill is about $13,650 for a 5-kW system and $27,300 for a 10-kW system before the ITC, but the actual cost will depend on stuff like the type of solar panels you want, what size system you need and how much energy you use.
Is cost the most important consideration when buying solar panels?
Cost is a very important factor to consider, but whether it's the most important for you depends on your reasons for going solar. In cities where rooftop space is limited, efficiency can be more important than the cost. Other factors that are important to be mindful of are the quality and durability of your solar panels.
How much can I save on energy bills after switching to solar?
Solar panels can potentially eliminate your electricity bills depending on where you're located and how much sunlight your home gets. Even if it doesn't get rid of them completely, you can save a lot of money on your bills, about $1,764.67 per year.
How often do you have to replace solar panels?
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 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 continue to use 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.