Solar Panel Cost Guide in Salem, MA (2023 Update)
- Salem Solar Installation Cost: $8,746
- 25-Year Savings: $15,198
- Payback Period: 9.1 Years
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Updated May 04, 2023
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Average Cost of Solar Panels in Salem
Find out what the average cost of installing solar panels is in Salem.
The national average cost of solar panels is $2.66 per watt, but in Salem it's 2.94 per watt. Because a 4.2-kW system is needed to cover the energy usage of a typical home in Salem, the average price of going solar will be about $8,746 after claiming the federal solar tax credit of 30%.
The true price you pay can be above or below the average in Salem based on a few factors, such as the kind of solar panels you choose and the solar contractor you hire. Despite the significant upfront cost, the average Salem homeowner can save about $21,000 on their power bills over 20 years, which is one of the advantages of solar.
You can click the button below to get connected with a vetted solar installer in Salem for a quote for your home.
Solar savings over time in Salem
| Year | Return on Investment |
|---|---|
| 1 years | $-7,789 |
| 3 years | $-5,873 |
| 5 years | $-3,958 |
| 7 years | $-2,042 |
| 9 years | $-127 |
| 11 years | $1,789 |
| 13 years | $3,704 |
| 15 years | $5,620 |
| 17 years | $7,535 |
| 19 years | $9,451 |
| 21 years | $11,366 |
| 23 years | $13,282 |
| 25 years | $15,198 |
Top Solar Installers in Salem
When switching to solar energy, many homeowners prefer to hire a solar company since installing a solar system yourself can be a difficult project. Local solar companies can also help you optimize your return on investment by walking you through any local incentives and by offering warranties and repairs.
If you're looking for a solar installer in Salem, the EcoWatch team has compiled 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 Salem
Factors that Affect Solar Panel Costs in Salem
For many Salem homeowners, the decision to install solar panels rests on cost. However, the range of solar installation costs can be quite wide in Salem, with typical prices between $20,000 to $40,000. There are several factors that greatly influence the price you'll pay, which we'll go over below.
Solar Equipment
Solar system size, which is measured in kilowatts, is one of the largest factors that affects the overall cost of installing solar panels. That's why it's crucial to accurately gauge the size of the solar energy system needed for your home by figuring out your energy needs. There are many different solar panel brands and the one you choose also changes the cost. Typically, the brands that have better efficiency tend to also be more expensive. Plus, the type of equipment you're looking to install can affect your total cost. If you just need panels, your system will be far less expensive than if you also need solar batteries or an electric vehicle charger.
Solar Financing Terms
Many homeowners find the average cost of solar in Salem to be prohibitively steep, even if the investment pays off over time. Fortunately, almost every solar installer in the area provides financing options. Solar loans substantially decrease upfront costs in most cases, but they also result in a higher cost over time because of interest. It's wise to factor the interest you'll pay in your final cost estimate. If you can afford to put more money down upfront, you can reduce your total costs and how long it'll take to pay back the loan.
Solar Panel Installation Company
The solar installer you choose to handle your switch to renewable energy can play a part in your total costs. There are about 3 solar panel companies operating in Salem, and each can charge different amounts for labor and equipment. The size of the company sometimes plays the most significant role in the cost. Larger national companies, like SunPro and Sunrun, often have lower prices because they have access to more resources and bulk pricing. Smaller local companies might be more costly, but they can sometimes have better customer service and more customization options, and the occasional sale or promotion can bring their pricing down to compete with bigger names.
Solar Panel Cost Data by System Size
| System size | Cost per system watt | Solar system cost | 25-Year savings | Payback period |
|---|---|---|---|---|
| 6 kW | $3.06 | $12,842 | $20,973 | 9.5 years |
| 8 kW | $3.00 | $16,793 | $28,294 | 9.3 years |
| 10 kW | $2.94 | $20,580 | $35,779 | 9.1 years |
| 12 kW | $2.88 | $24,202 | $43,429 | 8.9 years |
| 14 kW | $2.82 | $27,660 | $51,243 | 8.8 years |
| 16 kW | $2.76 | $30,952 | $59,222 | 8.6 years |
| 18 kW | $2.70 | $34,080 | $67,366 | 8.4 years |
| 20 kW | $2.65 | $37,044 | $75,674 | 8.2 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 pick the right company for you, here are some tips to keep in mind:
- Solar Panel Brands: Each solar panel brand and kind offers varying levels of quality, durability 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: The North American Board of Certified Energy Practitioners (NABCEP) is a respected certification organization for sustainable energy professionals. If your solar panel installer is NABCEP-certified, it likely has a solid reputation and is qualified to do the job well. Another way you can check your installer's reputation is by reading reviews.
- Contract: Even though reading through a contract can be tedious, it's important to do it thoroughly so you can make sure you understand how much the equipment and services will cost and the terms of the warranty.
- Warranty: A high-quality company rises above other companies by providing the gold standard warranty — a 25-year, all-inclusive warranty covering parts, labor and performance.
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 Salem, MA Solar Cost FAQs
What is the average cost of installing solar panels in Salem?
The average cost of solar panels in Salem is about $14,700 for a 5-kW system and $29,400 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 consume.
What other factors should I consider in addition to cost when buying solar panels?
Cost is a key factor to consider, but whether it's the most important for you depends on why you decided to go solar. In cities where rooftop space is limited, efficiency can trump the cost. Other factors that are important to think about are the quality and durability of your solar panels.
Do solar panels increase the value of your home?
Solar panels can increase the value of your home remarkably as long as you buy or finance your panels and don't opt for a solar lease or power purchase agreement (PPA). According to research done by Zillow, the average home value increases by about 4.1% after installing solar panels."
How often do you have to replace solar panels?
On average, solar panels can last about 25 to 30 years. Some even last up to 50 years, but their efficiency decreases by about 0.8% each year. You can choose to replace them sooner if you want to maintain a larger level of energy production.
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.