Solar Panel Cost Guide in San Jose, CA (2025 Update)
- San Jose Solar Installation Cost: $7,249
- 25-Year Savings: $19,637
- Payback Period: 7.2 Years
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Average Cost of Solar Panels in San Jose
We break down average solar pricing in San Jose.
Currently, the national average cost of solar panels is $2.66 per watt. However, in San Jose, the average cost of a solar system is 3 per watt.The average solar panel system size in San Jose is around 3.0 kilowatts, meaning a cost of about $7,249 for a solar installation, or $10,366 before the 0 federal solar tax credit is applied.
Bear in mind that the figures above are only estimates based on the average energy use of San Jose homeowners. The cost of a solar system for your home may look different depending on factors unique to you, like your household energy use and solar contractor.For most homeowners, the upfront investment in solar panels is worth paying. On average homeowners in San Jose see about $32,000 in savings on electricity bills over 20 years.
To get a free estimate from a top solar installer in San Jose, you can click the button below.
Solar savings over time in San Jose
| Year | Return on Investment |
|---|---|
| 1 years | $-5,722 |
| 3 years | $-2,668 |
| 5 years | $386 |
| 7 years | $3,440 |
| 9 years | $6,493 |
| 11 years | $9,547 |
| 13 years | $12,601 |
| 15 years | $15,655 |
| 17 years | $18,708 |
| 19 years | $21,762 |
| 21 years | $24,816 |
| 23 years | $27,870 |
| 25 years | $30,924 |
Top Solar Installers in San Jose
Installing solar panels by yourself can be a time-consuming task, which is why hiring a solar installation company is a good option for many homeowners. Also, companies with a high reputation that cost more upfront could actually save you money in the long term because of their warranties, repair services and expert design.
There are various licensed solar professionals that can take care of your solar installation project. Here are our suggestions:
See all of the solar companies in San Jose
Factors that Affect Solar Panel Costs in San Jose
There are a number of criteria that can play into your solar panel 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
System size, which is measured in kilowatts, is one of the largest factors that influences the overall cost of going solar. For that reason, it’s a priority to accurately gauge the size of the solar energy system needed for your home by figuring out your average energy use.The model of solar panels and equipment you get is another factor that will largely influence costs. Solar panels that are more efficient, like monocrystalline panels, tend to come at a higher price. Further, solar equipment goes beyond just the solar panels themselves. You’ll also need to make decisions 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 researching a solar system that falls within your budget.
Solar Financing Terms
Solar panels can save you money on energy bills over time, but they can also be a big investment. That’s why many San Jose homeowners choose to finance their solar panel systems to offset upfront costs.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 getting a solar loan with a low interest rate could reduce your costs significantly.
Solar Panel Installation Company
The solar installer you go with to handle your switch to renewable energy can have an effect on your total costs. There are about 3 solar panel companies in San Jose, and each can charge different amounts for labor and equipment.Larger national companies generally have lower costs, but some local companies keep up with them by offering sales and discounts. While the smaller companies might not have access to specific equipment options like Tesla Powerwall batteries or additional 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 | $35,789 | 7.4 years |
| 8 kW | $3.54 | $19,821 | $48,108 | 7.3 years |
| 10 kW | $3.47 | $24,290 | $60,620 | 7.2 years |
| 12 kW | $3.40 | $28,565 | $73,328 | 7.0 years |
| 14 kW | $3.33 | $32,646 | $86,229 | 6.9 years |
| 16 kW | $3.26 | $36,532 | $99,325 | 6.7 years |
| 18 kW | $3.19 | $40,224 | $112,615 | 6.6 years |
| 20 kW | $3.12 | $43,722 | $126,099 | 6.4 years |
How to Save on Solar Panels
There are a large number of companies to choose from in San Jose, and some homeowners feel overwhelmed considering their options. Selecting the right company for you can be difficult, so here are some tips to help you decide:
- Solar Panel Brands: Different companies offer different brands and models of panels. If you know you want a specific brand, make sure the solar installer you’re considering has it.
- Reputation: The North American Board of Certified Energy Practitioners (NABCEP) is a well-established certification organization for clean energy professionals. If your solar panel installer is NABCEP-certified, it likely has a solid reputation and is qualified to get the job done well. Another way you can research your installer’s reputation is by reading reviews.
- Warranty: Each company may offer different kinds of warranties that cover different things. A 25-year, all-inclusive warranty is the gold standard.
- Installation Process: Get detailed information from your solar installer about the installation process and what to expect, including when the site survey will be done and what the project timeline is.
EcoWatch's San Jose, CA Solar Cost FAQs
How much does it cost to install solar panels in San Jose?
The average cost of solar panels in San Jose is about $17,350 for a 5-kW system and $34,700 for a 10-kW system before the ITC, but the actual cost will depend on certain factors such as the type of solar panels you want, what size system you need and how much energy you use.
Can you get solar panels for free in San Jose?
You can’t get solar panels for free in San Jose. However, you may still be able to install them on a lower budget. You can lease solar panels for a low upfront cost or, if you’d rather own your solar panels, you can finance them with a solar loan.
Is going solar worth it?
Whether or not solar panels are worth it depends on a variety of factors like how much you pay for electricity and how much direct sunlight your roof gets.
How many solar panels do I need to power my home?
To figure out how many solar panels you need, you should find out how much energy your home needs and how much sunlight your home gets. For a general estimate, however, since each panel can usually produce about 250 to 400 watt-hours per hour, the average house will need 20 to 35 panels.
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.