Solar Panel Cost Guide in Summit, NJ (2023 Update)
- Summit Solar Installation Cost: $9,055
- 25-Year Savings: $7,962
- Payback Period: 13.3 Years
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Updated May 04, 2023
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Average Cost of Solar Panels in Summit
See how much it might cost to switch to solar power in Summit.
Although the national average of solar panels is $2.66 per watt, solar panels in Summit generally cost around 2.77. Because a 4.7-kW system is needed to cover the energy consumption of a typical home in Summit, the average price of going solar will be about $9,055 after claiming the federal solar tax credit of 30%.
Remember that the numbers above are only averages. The price you'll pay for solar may look quite different based on your household energy consumption, the type of solar panels you choose, your solar contractor and more. Even with the significant initial cost, the average Summit homeowner can save about $14,000 on their electricity bills over 20 years, which is one of the benefits of solar.
To calculate your potential savings and connect with a local solar expert, click the button below.
Solar savings over time in Summit
| Year | Return on Investment |
|---|---|
| 1 years | $-8,374 |
| 3 years | $-7,013 |
| 5 years | $-5,652 |
| 7 years | $-4,290 |
| 9 years | $-2,929 |
| 11 years | $-1,568 |
| 13 years | $-206 |
| 15 years | $1,155 |
| 17 years | $2,516 |
| 19 years | $3,878 |
| 21 years | $5,239 |
| 23 years | $6,601 |
| 25 years | $7,962 |
Top Solar Installers in Summit
Trying to put up solar panels yourself can be a time-consuming project, which is why hiring a solar installer is a good option for many homeowners. The expertise that solar installers offer can be useful as well, especially if you don't quite know what brand of solar equipment you need.
If you're on the hunt for a solar company in Summit, the EcoWatch team has put together 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 Summit
Factors that Affect Solar Panel Costs in Summit
For many Summit homeowners, the decision to go solar comes down to cost. However, the range of solar installation costs can be quite wide in Summit, with typical prices between $20,000 to $40,000. There are several factors that significantly influence the price you'll pay, which we'll go over below.
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 $2,770 per kilowatt in Summit. The model of solar panels and equipment you choose is another factor that will considerably influence costs. Solar panels that have higher efficiency, like monocrystalline panels, tend to be more expensive. Plus, solar equipment goes beyond just the solar panels themselves. You'll also need to think about the kind of racks used to mount the panels, inverters, solar batteries, etc. It's important to take all of this into consideration when looking for a solar system that's in your budget.
Solar Financing Terms
For some homeowners, paying for solar panels out of pocket can be a challenge. Solar loans are provided by most installers in Summit, which can bring down, or in some cases completely eliminate, your upfront costs to make solar more accessible. It's a good idea to include the interest you'll pay in your final cost estimate. If you can afford to pay a larger down payment, you can reduce your total costs and how long it'll take to pay off the loan.
Solar Panel Installation Company
The last significant cost factor you should consider is the installer you choose. Given the booming popularity of clean energy solutions in Summit, you'll have a great number of options to choose from, but each comes at different price points for labor and equipment. The size of the company sometimes plays the most significant role in the installation costs. 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 generally have better customer service and more customization options, and the occasional sale or promotion can bring their pricing lower 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 | $2.88 | $12,099 | $9,785 | 13.8 years |
| 8 kW | $2.83 | $15,822 | $13,357 | 13.6 years |
| 10 kW | $2.77 | $19,390 | $17,084 | 13.3 years |
| 12 kW | $2.71 | $22,803 | $20,967 | 13.0 years |
| 14 kW | $2.66 | $26,060 | $25,004 | 12.8 years |
| 16 kW | $2.60 | $29,163 | $29,196 | 12.5 years |
| 18 kW | $2.55 | $32,110 | $33,544 | 12.2 years |
| 20 kW | $2.49 | $34,902 | $38,047 | 12.0 years |
How to Save on Solar Panels
The company that does your solar panel installation will affect the warranties and brands you have access to, and it will also have an impact on your total cost. Since picking a company can be difficult, we have some tips to help you, such as:
- Solar Panel Brands: Different companies will offer various brands and types of panels. If you want a specific brand, make sure the solar panel company you're considering has it.
- Contract: Even though reading through a contract can take a lot of time, it's important to do it fully so you can make sure you understand what services your solar company will provide and the terms of the warranty.
- Reputation: Make sure your solar system installer has a good reputation by confirming it has certifications and licenses, checking how long it's been in business and reading reviews by past customers and solar experts like EcoWatch.
- 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.
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 Summit, NJ Solar Cost FAQs
What is the average cost of installing solar panels in Summit?
This is a hard question to answer precisely, because the cost depends on a variety of factors. Generally 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 more efficient panels, or if you have above-average energy usage. Conversely, you can spend less if you choose a smaller solar panel system or less efficient solar panels.
Is it better to lease or buy solar panels in Summit?
Leasing solar panels can be an option if you can't afford to pay upfront or get 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.
Do solar panels increase the value of your home?
Solar panels can increase your property's value remarkably as long as you buy or finance your panels and don't choose a solar lease or power purchase agreement (PPA). According to research done by Zillow, the average home value increases by about 4.1% with a solar installation."
How long do solar panels last in Summit?
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.