Solar Panel Cost Guide in Dearborn, MI (2023 Update)

  • Dearborn Solar Installation Cost: $12,028
  • 25-Year Savings: $13,091
  • Payback Period: 12.0 Years

See cost of a solar system near you:

By EcoWatch Local Advisors

Data Analysis: James Savino

Ranking Methodology: Karsten Neumeister

Updated September 15, 2023

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We work with a panel of solar experts to create unbiased reviews that empower you to make the right choice for your home. No other site has covered renewables as long as us, which means we have more data and insider information than other sites. Our rankings are never affected by revenue or partnerships.

Average Cost of Solar Panels in Dearborn

See how much it might cost to make the switch to solar in Dearborn.

The average cost of a solar system in Dearborn is 2.81 per watt. The average solar panel system size in Dearborn is around 6.1 kilowatts, meaning a cost of about $12,038 for a solar installation, or $17,214 before the 30% federal solar tax credit is applied.

The prices above are just estimates to give you an idea of the cost of solar panels. The actual cost of installing solar panels can vary based on several factors, such as how many panels you need, your energy consumption and what installation company you go with. With average savings of about $16,000 on power bills over 20 years, many homeowners in Dearborn find going solar can be quite rewarding.

Click the button below to get connected to a reputable solar company in Dearborn for a customized quote.

Solar savings over time in Dearborn

Year Return on Investment
1 years $-10,636
3 years $-7,851
5 years $-5,067
7 years $-2,282
9 years $503
11 years $3,287
13 years $6,072
15 years $8,857
17 years $11,641
19 years $14,426
21 years $17,211
23 years $19,995
25 years $22,780

Top Solar Installers in Dearborn

Trying to put up solar panels on your own can be a difficult undertaking, which is why hiring a solar installation company is a good option for many homeowners. Plus, if you're not certain what type of solar panels and equipment you may need, a solar company can help you figure that out after a site survey and consultation.

If you're searching for a solar company in Dearborn, the EcoWatch team has organized a list of our top suggestions here:

Best National Provider

SunPower

★★★★★
5.0

  • Most efficient panels on the market
  • National coverage
  • Cradle to Cradle sustainability certification
  • Great warranty coverage
  • Expensive
  • Customer service varies by local dealer

Solar Veteran

Michigan Solar Solutions

★★★★★
4.5

  • Great warranty coverage
  • Outstanding customer service
  • Offers products from leading manufacturers
  • Slightly limited service offerings
  • No leases or PPAs

Outstanding Local Installer

Strawberry Solar

★★★★★
4.5

  • Outstanding customer service
  • Representatives are experts on local policies
  • Educational, no-pressure sales approach
  • Limited warranty coverage
  • No leases or PPAs
  • Limited brands of solar equipment available

See all of the solar companies in Dearborn

Factors that Affect Solar Panel Costs in Dearborn

There are several factors that can affect your installation cost, such as the size of your system, the equipment you choose, your financing options and the specific company that installs your solar panels.

Solar Equipment

Solar system size, which is measured in kilowatts, is one of the largest factors that determines the overall cost of installing solar panels. For that reason, it's a priority to accurately assess the size of the solar energy system needed for your home by figuring out your average energy use. There are a lot of different solar panel brands and the one you choose also changes the cost. Typically, the brands that have better efficiency tend to also cost more. In addition, the type of equipment you're looking to get 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

Solar panels can save you money on energy bills over time, but they can also be a big investment. That's why many Dearborn homeowners choose to finance their solar panel systems to make paying for solar more affordable. 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're only able to get a high-interest loan, then your total can be hundreds or even thousands of dollars more than the original cost. Making a larger down payment or securing a solar loan with a low APR could reduce your costs considerably.

Solar Panel Installation Company

Lastly, the company you choose to install your solar panels can impact the cost. Dearborn's solar companies all have different labor costs and add varying upcharges to equipment. You may come across national solar installers that have lower prices due to their larger brand name and access to bulk equipment prices, 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 $2.92 $12,274 $12,373 12.4 years
8 kW $2.87 $16,051 $16,812 12.2 years
10 kW $2.81 $19,670 $21,408 12.0 years
12 kW $2.75 $23,132 $26,162 11.7 years
14 kW $2.70 $26,436 $31,073 11.5 years
16 kW $2.64 $29,584 $36,141 11.3 years
18 kW $2.59 $32,574 $41,367 11.0 years
20 kW $2.53 $35,406 $46,750 10.8 years

How to Save on Solar Panels

Since the model of solar panels and the company you choose greatly affects your costs and your system's durability and efficiency, it's important to select the right ones for you. Here are some tips to keep in mind to help with your decision:

  • Solar Panel Brands: The type of solar panel you need to install plays a part in which installer you should opt for, since different companies provide different panels.
  • Reputation: Your solar installer should have a solid 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 that hold a certification from the North American Board of Certified Energy Practitioners (NABCEP) and if it has positive reviews from previous customers.
  • Contract: Before signing a contract with a solar installer, make sure to read it through carefully so you understand the terms. Also, ask questions if you're not sure about some of the terms, such as what the warranty covers and what services you can expect from them.
  • Installation Process: Homeowners should understand how exactly the installation process will be carried out, as well as important factors like the project completion timeline.

Best National Provider

SunPower

★★★★★
5.0

  • Most efficient panels on the market
  • National coverage
  • Cradle to Cradle sustainability certification
  • Great warranty coverage
  • Expensive
  • Customer service varies by local dealer

Solar Veteran

Michigan Solar Solutions

★★★★★
4.5

  • Great warranty coverage
  • Outstanding customer service
  • Offers products from leading manufacturers
  • Slightly limited service offerings
  • No leases or PPAs

Outstanding Local Installer

Strawberry Solar

★★★★★
4.5

  • Outstanding customer service
  • Representatives are experts on local policies
  • Educational, no-pressure sales approach
  • Limited warranty coverage
  • No leases or PPAs
  • Limited brands of solar equipment available

EcoWatch's Dearborn, MI Solar Cost FAQs

How much does it cost to install solar panels in Dearborn?

The average cost of solar panels in Dearborn is about $14,050 for a 5-kW system and $28,100 for a 10-kW system before the ITC, but the real cost will depend on certain factors like the kind of solar panels you want, what size system you need and how much energy you use.

Is it better to lease or buy solar panels in Dearborn?

Leasing solar panels can be an attractive choice, because it typically comes with low or $0 upfront payments. The downside 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 tax rebates and credits and your home value won't increase. Buying solar panels is a better option if you want to get the most savings.

Do solar panels increase your home value?

Installing solar panels on your home can increase the value of your property by about 4%, according to research done by Zillow. The average home value in Dearborn is currently $132,065, which means you can expect a value of about $5,415 more than houses without a solar system. The exact figures will vary, but most experts agree that installing solar panels in Dearborn is a fruitful investment.

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 goes down by about 0.8% each year. You can choose to replace them sooner if you want to maintain a higher amount 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.

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