Solar Panel Cost Guide in Sacramento, CA (2023 Update)
- Sacramento Solar Installation Cost: $5,894
- 25-Year Savings: $16,777
- Payback Period: 6.5 Years
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Updated September 15, 2023
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Average Cost of Solar Panels in Sacramento
Find out how much it might cost to install solar panels in Sacramento.
Although the national average of solar panels is $2.66 per watt, solar panels in Sacramento generally cost around 2.73. Since a 3.1-kW system is needed to cover the energy costs of a typical home in Sacramento, the average price of going solar will be about $5,886 after claiming the federal solar tax credit of 30%.
Keep in mind that the figures above are only estimates based on the average Sacramento homeowner. The price of a solar system for your home may be different depending on factors unique to your situation, like your household energy use and solar contractor. Despite the significant initial cost, the average Sacramento homeowner can save about $28,000 on their electricity bills over 20 years, which is one of the advantages of solar.
To get a free estimate from a top solar installation company in Sacramento, you can click the button below.
Solar savings over time in Sacramento
| Year | Return on Investment |
|---|---|
| 1 years | $-5,818 |
| 3 years | $-5,667 |
| 5 years | $-5,516 |
| 7 years | $-5,365 |
| 9 years | $-5,213 |
| 11 years | $-5,062 |
| 13 years | $-4,911 |
| 15 years | $-4,760 |
| 17 years | $-4,609 |
| 19 years | $-4,458 |
| 21 years | $-4,307 |
| 23 years | $-4,155 |
| 25 years | $-4,004 |
Top Solar Installers in Sacramento
When going solar, many homeowners opt to use a solar installation company since DIY solar panel installation can be a challenging project. Also, companies with a good reputation that are more expensive upfront could actually save you money in the long term because of their warranties, repair services and expert design.
If you're looking for a solar installer in Sacramento, the EcoWatch team has put together a list of our top suggestions here:
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 Sacramento
Factors that Affect Solar Panel Costs in Sacramento
The cost of installing a solar system in Sacramento can vary by more than $10,000 from home to home. Your actual cost is determined by several factors. The biggest one is your system size, and other factors include the equipment you choose, financing options and the solar company you choose.
Solar Equipment
The cost of solar panels 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 better efficiency or power production need better technology and/or more equipment, both of which can increase costs. For each additional kilowatt you need, your cost can go up by about $2,730. There are a lot of different solar panel brands and the one you pick also affects the cost. Generally speaking, the brands that offer higher efficiency tend to also be more expensive. In addition, the type of equipment you want to install can affect your total cost. If you just need panels, your system will be much less expensive than if you also need solar batteries or an electric vehicle charger.
Solar Financing Terms
If paying for solar panels in cash is too expensive, solar loans are an affordable choice 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. Even though solar loans make adopting solar energy more accessible for Sacramento 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 avoid paying as much in interest.
Solar Panel Installation Company
The solar company you opt for to handle your switch to renewable energy can have an effect on your total costs. There are about 3 solar installation companies in Sacramento, and each can charge different amounts for labor and equipment. Larger national companies usually have lower costs, but some local companies undercut them by promoting sales and discounts. While the smaller companies might not have access to specific equipment options like Tesla Powerwall batteries or add-on services like electric car 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 | $2.84 | $11,925 | $32,182 | 6.8 years |
| 8 kW | $2.78 | $15,594 | $43,215 | 6.6 years |
| 10 kW | $2.73 | $19,110 | $54,400 | 6.5 years |
| 12 kW | $2.68 | $22,473 | $65,739 | 6.4 years |
| 14 kW | $2.62 | $25,684 | $77,231 | 6.2 years |
| 16 kW | $2.57 | $28,741 | $88,875 | 6.1 years |
| 18 kW | $2.51 | $31,646 | $100,672 | 6.0 years |
| 20 kW | $2.46 | $34,398 | $112,623 | 5.8 years |
How to Save on Solar Panels
There are many solar installers to choose from, all of which offer different warranties, solar panel models and price points. To help you select the right company for you, here are some tips to keep in mind:
- Warranty: Warranties that provide coverage for panel repairs and maintenance over a couple decades are the best you can get in the business, and offering that kind of warranty is one indication of a good company.
- Contract: It's important to look over your solar installer's contract well to understand what services they will provide, what the warranty covers and what expectations you should have about the installation process.
- Solar Panel Brands: Each solar panel brand and type has varying levels of quality, longevity and efficiency. They will come at different price points as well. The company you choose plays a role in which solar panel brands you have access to.
- Reputation: Your solar installer should have a good reputation as a company and have verifiable expertise in the field. A couple of ways to check this are to look for whether a company has technicians that hold a certification from the North American Board of Certified Energy Practitioners (NABCEP) and if it has good reviews from previous customers.
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 Sacramento, CA Solar Cost FAQs
How much does it cost to install solar panels in Sacramento?
This is a tough question to answer exactly, because the cost depends on a variety of factors. Broadly speaking, it costs about $13,650 for a 5-kW system and $27,300 for a 10-kW system after the ITC is applied. You can expect to pay more if you want extra solar equipment or more efficient panels, or if you have higher-than-average energy usage. On the other hand, you can spend less if you opt for a smaller solar panel system or cheaper solar panels.
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.
Do solar panels increase the value of your home?
Solar panels can increase your property's value remarkably as long as you buy or finance your panels and don't choose a solar lease or power purchase agreement (PPA). According to research done by Zillow, the average home value increases by about 4.1% with a solar installation."
How many solar panels should I get to power my home?
The exact number of solar panels you need depends on your household energy needs and the average daily sunlight your roof gets. You can take a look at your energy bills for the past year to get an idea of the solar system size you'll need. The average household has to get between 20 and 35 panels to cover their typical energy usage.
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.