Solar Panel Cost Guide in Sherman, MI (2023 Update)
- Sherman Solar Installation Cost: $11,959
- 25-Year Savings: $20,734
- Payback Period: 9.1 Years
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Updated May 04, 2023
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Average Cost of Solar Panels in Sherman
Let's take a look at the average cost of solar panels in Sherman.
The average cost of solar panels in Sherman is 2.81 per watt. The average solar panel system size in Sherman is around 6.1 kilowatts, meaning a cost of about $11,959 for a solar installation, or $17,101 before the 30% federal solar tax credit is applied.
These figures are just averages, and the cost of going solar for you will look different based on the amount of energy your home requires and what company you want to go with. But, after you've paid the initial cost of installation, the payback for most homeowners is usually good, with a net average savings of about $20,000 over 20 years on utility 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 Sherman
| Year | Return on Investment |
|---|---|
| 1 years | $-10,652 |
| 3 years | $-8,036 |
| 5 years | $-5,421 |
| 7 years | $-2,805 |
| 9 years | $-190 |
| 11 years | $2,426 |
| 13 years | $5,041 |
| 15 years | $7,657 |
| 17 years | $10,272 |
| 19 years | $12,888 |
| 21 years | $15,503 |
| 23 years | $18,119 |
| 25 years | $20,734 |
Top Solar Installers in Sherman
Installing solar panels yourself can be a dangerous undertaking, which is why using a solar installation company is a good option for many homeowners. Companies can also provide access to a large variety of the best solar panels and help you choose which one will be best for you.
If you're on the hunt for a solar company in Sherman, the EcoWatch team has compiled a list of our top suggestions here:
Solar Veteran
Michigan Solar Solutions
- Great warranty coverage
- Outstanding customer service
- Offers products from leading manufacturers
- Slightly limited service offerings
- No leases or PPAs
Outstanding Local Installer
Strawberry Solar
- 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 Sherman
Factors that Affect Solar Panel Costs in Sherman
There are many criteria 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 installs your solar system.
Solar Equipment
One of the most important factors to consider when it comes to the cost of adopting solar energy is the size of the solar system, which is measured in kilowatts (kW). The more energy your household uses, the larger your system will likely need to be. You can expect to spend around $2,810 per kilowatt in Sherman. The kind of solar equipment you choose can increase or decrease your cost by thousands or even tens of thousands of dollars. If you opt for the most efficient solar panel brands, you'll end up paying more upfront than if you opted for the most affordable panels. However, more efficient panels could save you more over time on your power bills. In addition, add-on products, such as solar batteries, can bring your total well above the Sherman average.
Solar Financing Terms
For some homeowners, paying for solar out of pocket can be challenging. Solar loans are available from most installers in Sherman, which can reduce, or in some cases totally eliminate, your upfront costs to make solar more accessible. Even though solar loans make switching to solar energy more accessible for Sherman homeowners, they can also increase the total you pay for your system, depending on your interest rate and how long you take to pay off the loan. If you make a larger down payment, though, you can avoid paying as much in interest.
Solar Panel Installation Company
Finally, the company you get to install your solar panels can affect your pricing. Sherman's solar companies all have different labor costs and add varying upcharges to equipment. Additionally, some companies in Sherman are more knowledgeable about local solar incentives and can help you make good use of additional rebates or tax exemptions. Though, they may charge more for that service. Even if they cost more upfront, they could end up saving you 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 | $2.92 | $12,274 | $19,974 | 9.5 years |
| 8 kW | $2.87 | $16,051 | $26,946 | 9.3 years |
| 10 kW | $2.81 | $19,670 | $34,077 | 9.1 years |
| 12 kW | $2.75 | $23,132 | $41,364 | 9.0 years |
| 14 kW | $2.70 | $26,436 | $48,809 | 8.8 years |
| 16 kW | $2.64 | $29,584 | $56,411 | 8.6 years |
| 18 kW | $2.59 | $32,574 | $64,170 | 8.4 years |
| 20 kW | $2.53 | $35,406 | $72,087 | 8.2 years |
How to Save on Solar Panels
The company that does your solar system installation will affect the warranties and brands available to you, and it will also have an impact on your total cost. Since choosing a company can be a challenge, we have some tips to help you, such as:
- Warranty: An all-inclusive, 25-year warranty can help keep your solar system running smoothly and save you money on repairs and maintenance.
- Installation Process: Make sure you're aligned with the installer in regard to how the installation process will go and what needs to be done before your solar panels are installed, such as repairing your electrical system or roof.
- Solar Panel Brands: The kind of solar panel you'd like plays a part in which installer you should choose, since different companies provide different panels.
- Contract: When reading through your solar installer's contract, ask for clarification about any terms you're not sure of and be sure you understand what happens in scenarios like a system component breaking or if the company goes out of business.
Solar Veteran
Michigan Solar Solutions
- Great warranty coverage
- Outstanding customer service
- Offers products from leading manufacturers
- Slightly limited service offerings
- No leases or PPAs
Outstanding Local Installer
Strawberry Solar
- 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 Sherman, MI Solar Cost FAQs
How much does it cost to install solar panels in Sherman?
This is a difficult question to answer precisely, because the cost depends on a variety of factors. Generally speaking, it costs about $14,050 for a 5-kW system and $28,100 for a 10-kW system after the ITC is applied. It will cost more if you want additional solar equipment or more efficient panels, or if you have higher-than-average energy consumption. On the other hand, you can spend less if you want a smaller solar panel system or less expensive solar panels.
Is it better to lease or buy solar panels in Sherman?
Leasing solar panels can be an attractive choice, because it often 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 incentives and your home value won't increase. Buying solar panels is a better way to go if you want to maximize your savings.
How much can I save on electricity bills after switching to solar?
Solar panels can potentially eliminate your electricity bills depending on where you're located and how much sunlight your home gets. Even if it doesn't get rid of them completely, you can save a lot of money on your bills, about $1,074.93 per year.
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.