Solar Panel Cost Guide in Colorado Springs, CO (2023 Update)
- Colorado Springs Solar Installation Cost: $9,448
- 25-Year Savings: $21,423
- Payback Period: 7.7 Years
See cost of a solar system near you:
Please enter a valid 5-digit zip code!
Updated September 15, 2023
Why you can trust EcoWatch
Average Cost of Solar Panels in Colorado Springs
Here's how much it might cost to switch to solar power in Colorado Springs.
The national average cost of solar panels is $2.66 per watt, but in Colorado Springs it's 2.69 per watt. To cover the typical energy usage of the average home in Colorado Springs, most homeowners require a 5.0-kilowatt system. Using the figure above, a solar installation costs around $9,453, or $13,518 before the federal solar tax credit of 30% is applied.
The prices above are just estimates to give you an idea of how much a solar panel system could cost. The exact cost of making the switch to solar can vary quite a bit depending on several factors, such as what size system you need, your energy usage and what company you go with. But, after you've paid the upfront cost of installation, the return on investment for most homeowners is quite fruitful, with a net average savings of about $23,000 over 20 years on energy bills.
For a customized quote from a local solar installer that has been pre-vetted by EcoWatch, click the button below.
Solar savings over time in Colorado Springs
| Year | Return on Investment |
|---|---|
| 1 years | $-8,318 |
| 3 years | $-6,057 |
| 5 years | $-3,795 |
| 7 years | $-1,534 |
| 9 years | $727 |
| 11 years | $2,989 |
| 13 years | $5,250 |
| 15 years | $7,511 |
| 17 years | $9,772 |
| 19 years | $12,034 |
| 21 years | $14,295 |
| 23 years | $16,556 |
| 25 years | $18,818 |
Top Solar Installers in Colorado Springs
Although you can install solar panels on your own, it involves extra effort and knowledge. That's why the majority of homeowners choose to hire a solar panel installer. A solar installer can also help save you money over time by providing warranties, repairs and component replacements.
If you'd like to start using solar energy but still aren't sure which solar installer to go with, here are our recommendations for providers nearby:
Best Solar Financing
Blue Raven Solar
- Industry-leading in-house financing
- Competitive pricing
- Excellent reputation
- Doesn't offer solar batteries
See all of the solar companies in Colorado Springs
Factors that Affect Solar Panel Costs in Colorado Springs
There are many factors that can influence your total 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
The size of the solar system you need to offset your energy usage, which is measured in kilowatts, is the most significant cost factor to consider. For every additional kilowatt you need, your total will most likely increase by nearly $2,690. The type of solar panels and equipment you want is another factor that will greatly affect costs. Solar panels that are more efficient, like monocrystalline panels, tend to come at a higher price. Plus, solar equipment consists of more than 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 searching for a solar system that's in your budget.
Solar Financing Terms
Solar panels can save you money on utility bills over time, but they can also be a significant investment. That's why many Colorado Springs homeowners decide to finance their solar panel systems to offset upfront costs. When considering your overall cost, you should also calculate the interest you'll pay if you go with a solar loan. Also, paying more on your down payment can lower the total interest paid over time.
Solar Panel Installation Company
The final major cost factor you should take into consideration is the installer you choose. Given the massive popularity of green energy solutions in Colorado Springs, you'll have many options to choose from, but each comes at varying price points for labor and equipment. You may see national solar installers that have lower prices due to their larger brand name and access to bulk pricing, 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 | $2.80 | $11,750 | $25,165 | 8.0 years |
| 8 kW | $2.74 | $15,365 | $33,854 | 7.8 years |
| 10 kW | $2.69 | $18,830 | $42,694 | 7.7 years |
| 12 kW | $2.64 | $22,144 | $51,685 | 7.5 years |
| 14 kW | $2.58 | $25,308 | $60,827 | 7.3 years |
| 16 kW | $2.53 | $28,320 | $70,119 | 7.2 years |
| 18 kW | $2.47 | $31,182 | $79,561 | 7.0 years |
| 20 kW | $2.42 | $33,894 | $89,155 | 6.9 years |
How to Save on Solar Panels
There are a lot of solar installers to choose from, all of which offer different warranties, solar panel models and price points. To help you decide on the right company for you, here are some tips to keep in mind:
- Solar Panel Brands: Homeowners will have different preferences for panels based on their roof configurations and how much efficiency they need. Even though there are many options for which type 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 take a look at their list of offerings before making your decision.
- Contract: When looking over your solar installer's contract, ask questions about any terms you're not sure of and make sure you understand what happens in scenarios like a system part breaking or the company going out of business.
- Installation Process: Homeowners should make sure they know how exactly the installation process will go, as well as important factors like the completion timeline.
- Reputation: Make sure your solar company has a good reputation by verifying it has certifications and licenses, checking how long it's been in business and reading reviews by past customers and solar experts like the EcoWatch team.
Best Solar Financing
Blue Raven Solar
- Industry-leading in-house financing
- Competitive pricing
- Excellent reputation
- Doesn't offer solar batteries
EcoWatch's Colorado Springs, CO Solar Cost FAQs
How much does it cost to install solar panels in Colorado Springs?
This is a difficult question to answer precisely, because the cost depends on a variety of factors. Broadly speaking, it costs about $13,450 for a 5-kW system and $26,900 for a 10-kW system after the ITC is applied. You can expect to pay more if you want additional solar equipment or more efficient panels, or if you have above-average energy consumption. Conversely, you can spend less if you choose a smaller solar panel system or cheaper solar panels.
Is it better to lease or buy solar panels in Colorado Springs?
Leasing solar panels can be an attractive choice, because it usually comes with low or $0 upfront payments. The drawback is that you won't be able to save as much. If you lease, you don't own the system, so you can't claim any incentives and your home value won't increase. Buying solar panels is a better option if you want to maximize your savings.
Do solar panels increase how much your home is worth?
Buying or financing solar panels for your home can increase the value of your property by about 4%, according to research done by Zillow. The average home value in Colorado Springs is currently $275,713, which means you can expect a value of about $11,304 more than houses without a solar system. The specific figures will vary, but most experts agree that installing solar panels in Colorado Springs is a fruitful investment.
How long do solar panels last in Colorado Springs?
Though the average lifespan of solar panels is 25 to 30 years, that doesn't mean they should be disposed of 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 once you've had 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.