Solar Panel Cost Guide in San Francisco, CA (2023 Update)
- San Francisco Solar Installation Cost: $5,996
- 25-Year Savings: $19,303
- Payback Period: 5.9 Years
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Updated September 15, 2023
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Average Cost of Solar Panels in San Francisco
Find out what the average cost of installing solar panels is in San Francisco.
In San Francisco, solar panels cost about 2.73 per watt on average. The average solar panel system size in San Francisco is around 3.1 kilowatts, meaning a cost of about $6,001 for a solar installation, or $8,581 before the 30% federal solar tax credit is applied.
The true price you pay can go above or below the average in San Francisco depending on a variety of factors, such as the brand of solar panels you choose and the solar installer you hire. Even with the significant initial cost, the average San Francisco homeowner can save about $31,000 on their electricity bills over 20 years, which is one of the benefits of solar.
To receive a free quote from a top solar installer in San Francisco, you can click the button below.
Solar savings over time in San Francisco
| Year | Return on Investment |
|---|---|
| 1 years | $-4,601 |
| 3 years | $-1,812 |
| 5 years | $977 |
| 7 years | $3,766 |
| 9 years | $6,555 |
| 11 years | $9,344 |
| 13 years | $12,134 |
| 15 years | $14,923 |
| 17 years | $17,712 |
| 19 years | $20,501 |
| 21 years | $23,290 |
| 23 years | $26,079 |
| 25 years | $28,869 |
Top Solar Installers in San Francisco
Many homeowners opt for a solar installation company since installing solar panels yourself can be time-consuming. The payback period of solar panels will vary based on factors like your roof configuration and energy needs, but working with a solar installer can shorten it. Your provider will be able to help you identify incentives available in your area.
If you'd like to go solar but still aren't sure which solar system company to go with, here are our suggestions for providers 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 San Francisco
Factors that Affect Solar Panel Costs in San Francisco
The cost of installing a solar system in San Francisco can vary by more than $10,000 from home to home. Your actual cost is dependent on several factors. The largest one is the size of the system your home needs, and other factors include equipment choices, financing options and the solar company you choose.
Solar Equipment
When it comes to estimating the price of a solar system in San Francisco, one of the most crucial factors is the size of the system you need. Solar systems are sized by kilowatts (kW) and are largely based on your home's energy consumption, which you can gauge by looking at past power bills. Your total cost can increase by around $2,730 for each additional kilowatt you need. The type of solar equipment you choose can increase or decrease your cost by thousands or even tens of thousands of dollars. If you get 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 power bills. In addition, extra products, like solar batteries, can bump up your total well above the San Francisco average.
Solar Financing Terms
For some homeowners, paying for solar out of pocket can be a challenge. Solar loans are offered by most installers in San Francisco, which can reduce, or in some cases completely eliminate, your upfront costs to make solar more accessible. You'll have to consider the long-term cost of financing options, including the total interest you'll pay over the length of the loan. If you can only get a high-interest loan, then your total can be hundreds or even thousands of dollars above the equipment and labor cost. Making a larger down payment or finding a solar loan with a low APR could reduce your costs remarkably.
Solar Panel Installation Company
The solar installation company you pick will play a role in your total cost to go solar. Different companies will charge different amounts for the equipment and labor. Additionally, some companies in San Francisco know more about local solar incentives and can help you take advantage of additional rebates or tax exemptions. Though, they may charge more for that service. Even if they cost more upfront, they could help you save 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 | $36,455 | 6.2 years |
| 8 kW | $2.78 | $15,594 | $48,912 | 6.0 years |
| 10 kW | $2.73 | $19,110 | $61,523 | 5.9 years |
| 12 kW | $2.68 | $22,473 | $74,286 | 5.8 years |
| 14 kW | $2.62 | $25,684 | $87,202 | 5.7 years |
| 16 kW | $2.57 | $28,741 | $100,271 | 5.6 years |
| 18 kW | $2.51 | $31,646 | $113,492 | 5.5 years |
| 20 kW | $2.46 | $34,398 | $126,867 | 5.3 years |
How to Save on Solar Panels
There are numerous companies available in San Francisco, 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: Your solar installer should have a good reputation as a company and have demonstrated expertise in the field. A couple of ways to check this are to look for whether a company has technicians certified by the North American Board of Certified Energy Practitioners (NABCEP) and if it has satisfied reviews from previous customers.
- Contract: Review the contract terms closely to make sure you understand the cost breakdown, project timeline incentives and warranties.
- Warranty: Warranties that cover panel repairs and maintenance over a long period of time such as 25 years are the best you can get in the business, and offering that kind of warranty is one indication of a good company.
- Solar Panel Brands: The model of solar panel you'd like to install plays a part in which company you should opt for, since different companies provide 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
EcoWatch's San Francisco, CA Solar Cost FAQs
How much does it cost to install solar panels in San Francisco?
The average cost of solar panels in San Francisco 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 such as the model of solar panels you want, what size system you need and how much energy you consume.
What other factors should I consider other than cost when buying solar panels?
Cost is without a doubt one of the most important factors you should consider when buying solar panels, but other important factors include efficiency, durability, and quality.
Is switching to solar power worth it?
Solar panels can be a beneficial investment for most homeowners, but they might not be worth it for everyone. If your home doesn't get a lot of direct sunlight and/or your power bills are already fairly low, solar panels might not be for you.
How often do you have to replace solar panels?
Even though 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 how much 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.