Solar Panel Cost Guide in Texas, MI (2023 Update)
- Texas Solar Installation Cost: $11,986
- 25-Year Savings: $20,576
- Payback Period: 9.2 Years
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Updated September 15, 2023
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Average Cost of Solar Panels in Texas
See how much it might cost to make the switch to solar in Texas.
The average cost of a solar system in Texas is 2.81 per watt. Using this figure, a typical 6.1-kW system would cost about $11,979 before the 30% federal solar tax credit is applied.
The prices above are just estimates to give you an idea of the cost of a solar energy system. The actual cost of making the switch to solar can vary depending on several factors, such as how many panels you need, your energy consumption and what solar installer you go with. Many homeowners find installing solar panels is a rewarding investment. The average homeowner in Texas can save about $20,000 on their energy bills over 20 years.
You can click the button below to get connected with a vetted solar installer in Texas for a quote for your home.
Solar savings over time in Texas
| Year | Return on Investment |
|---|---|
| 1 years | $-10,733 |
| 3 years | $-8,225 |
| 5 years | $-5,718 |
| 7 years | $-3,210 |
| 9 years | $-703 |
| 11 years | $1,804 |
| 13 years | $4,312 |
| 15 years | $6,819 |
| 17 years | $9,327 |
| 19 years | $11,834 |
| 21 years | $14,341 |
| 23 years | $16,849 |
| 25 years | $19,356 |
Top Solar Installers in Texas
When switching to solar energy, many homeowners decide to hire a solar installation company since installing solar panels yourself can be a difficult project. Plus, if you aren't sure what brand of solar panels and equipment you want, a solar expert can help you find the right equipment for you after a site survey and consultation.
There are various licensed solar professionals that can take care of your solar installation project. Here are our suggestions:
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 Texas
Factors that Affect Solar Panel Costs in Texas
The cost of installing a solar system in Texas can vary by more than $10,000 from home to home. Your actual cost depends on several factors. The most significant one is the size of the system you need, and other factors include equipment choices, financing options and the solar company you choose.
Solar Equipment
The cost of solar panel systems varies by thousands of dollars due to a variety of factors. One of the most significant factors is the system size, which is measured in kilowatts (kW). Solar power systems that have better efficiency or power generation need better technology and/or more equipment, both of which can increase costs. For each additional kilowatt you need, your cost can go up by about $2,810. The 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, higher efficiency could save you more over time on your power bills. Additionally, add-on products, like solar batteries, can bring your total well above the Texas average.
Solar Financing Terms
If paying for solar panels out of pocket is difficult, solar loans are an affordable option because they decrease your upfront costs and allow you to pay for your system over a term of, on average, between five and seven years. Although solar loans make adopting solar energy more accessible for Texas homeowners, they can also add to the total you pay for your system, depending on your interest rate. If you put down a larger down payment, though, you can avoid paying as much in interest.
Solar Panel Installation Company
The last significant cost factor you should consider is the installer you choose. Given the growing popularity of sustainable energy solutions in Texas, you'll have lots of options to choose from, but each comes at various price points for labor and equipment. Companies that only sell products with high efficiency and therefore a higher price point — like Maxeon solar panels from SunPower or Tesla Powerwall batteries — so choosing those installers will generally come with an above-average cost. It's best to do some research and find a company that offers the products, warranties and services you want and also is within your budget.
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 | $19,787 | 9.6 years |
| 8 kW | $2.87 | $16,051 | $26,697 | 9.4 years |
| 10 kW | $2.81 | $19,670 | $33,765 | 9.2 years |
| 12 kW | $2.75 | $23,132 | $40,990 | 9.0 years |
| 14 kW | $2.70 | $26,436 | $48,373 | 8.8 years |
| 16 kW | $2.64 | $29,584 | $55,912 | 8.7 years |
| 18 kW | $2.59 | $32,574 | $63,610 | 8.5 years |
| 20 kW | $2.53 | $35,406 | $71,464 | 8.3 years |
How to Save on Solar Panels
The solar installer you go with will be a major factor in determining not only your total costs, but also the kinds of solar panel brands, warranties, and other equipment you have access to. When choosing a solar company, there are a few important things you should keep in mind, such as:
- Reputation: Make sure your solar company has a good reputation by confirming it has certifications and licenses, checking its number of years in business and reading reviews by past customers and solar experts like the EcoWatch team.
- Contract: Look through the contract terms carefully to make sure you understand the total cost, project completion timeline incentives and warranties.
- Solar Panel Brands: Not all solar installers offer the same brands of solar panels, so the brand and type of panel you want can play a large role in the company you choose.
- Installation Process: When going solar, it's important to keep an open line of communication with your solar panel installer. Confirm that you understand how the installation process works and the project timeline.
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 Texas, MI Solar Cost FAQs
What is the average cost of installing solar panels in Texas?
This is a difficult question to answer exactly, because the cost depends on a few different factors. Broadly 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 be more expensive if you want additional solar equipment or higher quality panels, or if you have higher-than-average energy needs. On the flip side, you can spend less if you go with a smaller solar panel system or less efficient solar panels.
Should I lease or buy solar panels in Texas?
Leasing solar panels can be an option if you are unable to pay upfront or secure a solar loan, but since you don't own the system, you can't take advantage of many solar incentives. Also your home value won't increase, so you'll have less savings over time. If you can afford to buy a solar system upfront, then buying is the better option if you want the most savings from going solar.
Is making the switch to solar worth it?
Whether or not solar panels are worth it depends on some different factors like the cost of electricity near you and the amount of direct sunlight your roof gets.
How long do solar panels last in Texas?
On average, the lifespan of solar panels is 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 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.