Solar Panel Cost Guide in Paterson, NJ (Mar 2023)
- Paterson Solar Installation Cost: $9,249
- 25-Year Savings: $8,635
- Payback Period: 12.9 Years
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Updated March 14, 2023
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Average Cost of Solar Panels in Paterson
Let's take a look at the average cost of solar panels in Paterson.
The average cost of a solar system in Paterson is 2.77 per watt. The average solar panel system size in Paterson is around 4.8 kilowatts, meaning a cost of about $9,249 for a solar installation, or $13,226 before the 30% federal solar tax credit is applied.
The true cost of your system can go above or below the average in Paterson based on a few factors, such as the brand of solar panels you choose and the solar company you hire. With typical savings of about $14,000 on electricity bills over 20 years, many homeowners in Paterson find going solar can pay off big.
To calculate your potential ROI and connect with a local solar expert, click the button below.
Solar savings over time in Paterson
| Year | Return on Investment |
|---|---|
| 1 years | $-8,534 |
| 3 years | $-7,103 |
| 5 years | $-5,672 |
| 7 years | $-4,242 |
| 9 years | $-2,811 |
| 11 years | $-1,380 |
| 13 years | $51 |
| 15 years | $1,481 |
| 17 years | $2,912 |
| 19 years | $4,343 |
| 21 years | $5,774 |
| 23 years | $7,204 |
| 25 years | $8,635 |
Top Solar Installers in Paterson
Installing solar panels yourself can be a challenging undertaking, which is why getting a solar installation company is a good option for many homeowners. The expertise that solar installers provide can be useful as well, particularly if you don't quite know what type of solar equipment you need.
You can work with a local solar installer to get a free quote on the cost of solar panels for your home. Here are some near you:
Best Regional Coverage
Momentum Solar
- Great warranty coverage
- Representatives are experts on local policies
- Concierge service ensures steady communication
- Slightly limited service offerings
Best Technology
Tesla Energy
- Price-match guarantee
- Sleek, efficient, and durable solar panels
- Best solar battery on the market
- Some reported issues with customer service
- Customer service varies by local dealer
See all of the solar companies in Paterson
Factors that Affect Solar Panel Costs in Paterson
There are a number of criteria that can determine your solar panel installation cost, such as the size of your system, the equipment you choose, your financing options and the specific company that performs the installation.
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. Because of that, it's crucial to accurately ascertain the size of the solar energy system needed for your home by figuring out your typical energy use. There are several different solar panel brands and the one you choose also affects the cost. Usually, the brands that offer higher efficiency tend to also be more expensive. Plus, the type of equipment you want to install can affect your total cost. If you only need panels, your system will be far less expensive than if you also need solar batteries or an electric vehicle charger.
Solar Financing Terms
If paying for a solar system in cash is too expensive, solar loans are a solid route because they lower your upfront costs and allow you to pay for your system over a term of, on average, between five and seven years. Though solar loans make adopting solar energy more accessible for Paterson 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 cut back on how much interest you have to pay.
Solar Panel Installation Company
A final consideration when trying to figure out the cost of solar for your home or business in Paterson is the company you choose to install your solar system. As with choosing a company to renovate your kitchen, for example, there's no shortage of solar installers that provide a range of services for different budgets. Some companies 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 go with the company that provides the products, warranties and services you want and also fits 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 | $2.88 | $12,099 | $10,374 | 13.5 years |
| 8 kW | $2.83 | $15,822 | $14,143 | 13.2 years |
| 10 kW | $2.77 | $19,390 | $18,066 | 12.9 years |
| 12 kW | $2.71 | $22,803 | $22,145 | 12.7 years |
| 14 kW | $2.66 | $26,060 | $26,379 | 12.4 years |
| 16 kW | $2.60 | $29,163 | $30,767 | 12.2 years |
| 18 kW | $2.55 | $32,110 | $35,311 | 11.9 years |
| 20 kW | $2.49 | $34,902 | $40,010 | 11.6 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 selecting a company can be a challenge, we have some tips to help you, such as:
- Solar Panel Brands: Each solar panel brand and type has varying levels of quality, durability and energy efficiency. They will come at different costs as well. The company you choose plays a role in which solar panel brands you have access to.
- Installation Process: Homeowners should make sure they know how exactly the installation process will go, as well as important factors like the project timeline.
- Contract: Read the contract terms carefully to make sure you understand the cost breakdown, project timeline incentives and warranties.
- Reputation: The North American Board of Certified Energy Practitioners (NABCEP) is a respected certification organization for renewable energy professionals. If your solar panel installer is NABCEP-certified, it most likely has a good reputation and is qualified to do the job well. Another way you can check your installer's reputation is by reading reviews.
Best Regional Coverage
Momentum Solar
- Great warranty coverage
- Representatives are experts on local policies
- Concierge service ensures steady communication
- Slightly limited service offerings
Best Technology
Tesla Energy
- Price-match guarantee
- Sleek, efficient, and durable solar panels
- Best solar battery on the market
- Some reported issues with customer service
- Customer service varies by local dealer
EcoWatch's Paterson, NJ Solar Cost FAQs
What is the average cost of installing solar panels in Paterson?
This is a difficult question to answer precisely, because the cost depends on a few different factors. Broadly speaking, it costs about $13,850 for a 5-kW system and $27,700 for a 10-kW system after the ITC is applied. You can expect to pay more if you want extra solar equipment or higher quality 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 cheaper solar panels.
Should I lease or buy solar panels in Paterson?
Leasing solar panels can be an option if you can't 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 property 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.
Does Paterson have a net metering program?
Most states offer net metering programs of some kind. Through these, you can receive compensation for the extra power your system generates or or receive credits to put toward future electricity bills. Currently there are just three states that don't have any net metering laws: Alabama, Tennessee and South Dakota.
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 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.