Solar Panel Cost Guide in Farmington, NM (2023 Update)
- Farmington Solar Installation Cost: $10,843
- 25-Year Savings: $18,828
- Payback Period: 9.1 Years
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Updated September 15, 2023
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Average Cost of Solar Panels in Farmington
We break down average solar pricing in Farmington.
Currently, the national average cost of solar panels is $2.66 per watt. However, in Farmington, the average cost of a solar system is 2.68 per watt. To cover the typical energy needs of the average home in Farmington, most homeowners require a 5.8-kilowatt system. Using the per-watt figure above, a solar installation costs around $10,843, or $15,505 before the federal solar tax credit of 30% is applied.
These figures are just averages, and your own solar costs will differ based on factors unique to your home and what company you want to go with. Many homeowners find going solar is a rewarding investment. The average homeowner in Farmington can save around $20,000 on their power bills over 20 years.
To see your potential savings and connect with a local solar installer, click the button below.
Solar savings over time in Farmington
| Year | Return on Investment |
|---|---|
| 1 years | $-10,744 |
| 3 years | $-10,546 |
| 5 years | $-10,348 |
| 7 years | $-10,150 |
| 9 years | $-9,953 |
| 11 years | $-9,755 |
| 13 years | $-9,557 |
| 15 years | $-9,359 |
| 17 years | $-9,161 |
| 19 years | $-8,964 |
| 21 years | $-8,766 |
| 23 years | $-8,568 |
| 25 years | $-8,370 |
Top Solar Installers in Farmington
When making the switch to solar, many homeowners prefer to hire a solar installer since installing solar panels yourself can be a time-consuming project. Companies can also offer access to various kinds of the best solar panels and help you decide which one will be right for you.
If you'd like to go solar but still aren't certain which solar company to go with, here are our suggestions for providers nearby:
See all of the solar companies in Farmington
Factors that Affect Solar Panel Costs in Farmington
There are many criteria that can play into 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
The size of the solar energy system you need to offset your energy usage, which is measured in kilowatts, is the most important cost factor to consider. For every additional kilowatt you need, your total will most likely increase by about $2,680. 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. On the other hand, more efficient panels could save you more in the long run on your electric bills. In addition, add-on products, like solar batteries, can bump up your total well above the Farmington average.
Solar Financing Terms
If paying for a solar system out of pocket is too expensive, solar loans are a solid option because they lower your upfront costs and let you pay for your system over five to seven years on average. It's a good idea to factor the interest you'll pay in your final cost estimate. If you can afford to pay a higher down payment, you can reduce your total costs and the amount of time it'll take to pay back the loan.
Solar Panel Installation Company
A final consideration when trying to estimate the cost of solar for your home or business in Farmington is the company you hire to install your PV system. Similar to choosing a company to install new cabinets, for instance, there's no shortage of solar installers that offer a range of services for different budgets. Additionally, some companies in Farmington 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 | $2.79 | $11,706 | $19,095 | 9.5 years |
| 8 kW | $2.73 | $15,308 | $25,760 | 9.3 years |
| 10 kW | $2.68 | $18,760 | $32,575 | 9.1 years |
| 12 kW | $2.63 | $22,062 | $39,540 | 9.0 years |
| 14 kW | $2.57 | $25,213 | $46,656 | 8.8 years |
| 16 kW | $2.52 | $28,215 | $53,921 | 8.6 years |
| 18 kW | $2.47 | $31,067 | $61,337 | 8.4 years |
| 20 kW | $2.41 | $33,768 | $68,902 | 8.2 years |
How to Save on Solar Panels
The company that does your solar system installation will affect the warranties and brands you have access to, and it will also have an impact on your total cost. Since selecting a company can be a tough decision, we have some tips to help you, such as:
- Solar Panel Brands: Not all solar installers carry the same brands of solar panels, so the brand and type of panel you want can play a considerable role in the company you choose.
- Contract: It's important to look over your solar installer's contract well to understand what services they will provide, what the warranty covers and what expectations you should have about the cost.
- Warranty: A high-quality company stands out from other companies by providing the gold standard warranty — a 25-year, all-inclusive warranty covering parts, labor and performance.
- Reputation: Long-standing companies likely have a high reputation. This is important because it ensures that it will not only see your solar project through, but will also provide quality aftercare and customer service, such as part repairs and replacements.
EcoWatch's Farmington, NM Solar Cost FAQs
How much does it cost to install solar panels in Farmington?
This is a hard question to answer precisely, because the cost depends on a variety of factors. Generally speaking, it costs about $13,400 for a 5-kW system and $26,800 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 above-average energy consumption. On the other hand, you can spend less if you want a smaller solar panel system or cheaper solar panels.
Is cost the most important thing to keep in mind when buying solar panels?
Cost is without a doubt one of the most important things to keep in mind when buying solar panels, but other important factors include efficiency, durability, and quality.
Does Farmington have a net metering program?
Most states offer net metering programs of some kind. Through these, you can be compensated for the extra power your system generates or or receive credits to put toward future utility bills. Currently there are just three states that don't have any net metering laws: Alabama, Tennessee and South Dakota.
How many solar panels should I get to power my home?
The exact number of solar panels you need depends on your household energy consumption and the amount of sunlight your roof gets. You can look at your energy bills for the past year to get an idea of the solar system size you'll need. The average household has to buy between 20 and 35 panels to account for their typical energy usage.
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.