Solar Panel Cost Guide in Rapid City, SD (2023 Update)
- Rapid City Solar Installation Cost: $21,291
- 25-Year Savings: $31,656
- Payback Period: 11.6 Years
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Updated October 25, 2023
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Average Cost of Solar Panels in Rapid City
Let's have a look at the average cost of solar in Rapid City.
While the national average of solar panels is $2.66 per watt, solar panels in Rapid City typically cost around 2.39.The average Rapid City homeowner needs a 8.5-kilowatt system, which would cost about $14,220 with the federal tax credit, or $20,335 before the 30% tax credit is applied.
Keep in mind that the figures above are only estimates based on the average Rapid City homeowner. The price of a solar system for your home may look different depending on factors unique to your situation, like your household energy use and solar contractor.For many homeowners, the upfront cost of solar panels is worth paying. On average Rapid City homeowners see about $21,000 in savings on electricity bills over 20 years.
To receive a free estimate from a vetted solar installer in Rapid City, you can click the button below.
Solar savings over time in Rapid City
| Year | Return on Investment |
|---|---|
| 1 years | $-19,655 |
| 3 years | $-16,385 |
| 5 years | $-13,114 |
| 7 years | $-9,843 |
| 9 years | $-6,573 |
| 11 years | $-3,302 |
| 13 years | $-32 |
| 15 years | $3,239 |
| 17 years | $6,510 |
| 19 years | $9,780 |
| 21 years | $13,051 |
| 23 years | $16,322 |
| 25 years | $19,592 |
Top Solar Installers in Rapid City
Many homeowners opt for a solar installer since trying to put up solar panels yourself can be a labor-intensive endeavor. Some solar installers, especially local ones, can help you take advantage of incentives in Rapid City, optimizing your ROI.
There are a number of licensed solar professionals that can take care of your solar installation project. Here are our suggestions:
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 Rapid City
Factors that Affect Solar Panel Costs in Rapid City
For many Rapid City homeowners, the decision to install solar panels rests on cost. However, the range of solar installation costs can be quite wide in Rapid City, with typical prices between $20,000 to $40,000. There are various factors that greatly influence the price you'll pay, which we'll go over below.
Solar Equipment
When it comes to estimating the price of a solar panel system in Rapid City, one of the most important factors is the size of the system you need. Solar systems are sized by kilowatts (kW) and are largely based on your home's energy usage, which you can figure out by looking at past electricity bills. Your overall cost can increase by about $2,390 for each additional kilowatt you need.Some solar brands — like Maxeon from SunPower — cost more upfront but also tend to offer better efficiency. In a city like Rapid City, where sunlight is relatively abundant, efficiency can quickly pay off. In addition, if you have a small roof or you don't have a lot of space for your panels, higher efficiency options will be more impactful. Additional equipment like electric vehicle chargers and solar batteries will also increase the cost.
Solar Financing Terms
Solar panels can save you money on energy bills over many years, but they can also be a big investment. That's why many Rapid City homeowners opt to finance their solar panel systems to make going solar more affordable.However, the interest on solar loans also adds to your all-in costs, so it's crucial to consider that as well. You can always bring down the total you pay in interest and in some cases even your APR by putting more money down.
Solar Panel Installation Company
Finally, the company you get to install your solar panels can influence your pricing. Rapid City's solar companies all have different labor costs and add varying upcharges to equipment. Larger national companies generally have lower costs, but some local companies keep up with them by promoting sales and discounts. While the smaller companies might not have access to specific equipment options like Tesla Powerwall batteries or add-on services like electric car charger installation, they might be cheaper overall.
Solar Panel Cost Data by System Size
| System size | Cost per system watt | Solar system cost | 25-Year savings | Payback period |
|---|---|---|---|---|
| 6 kW | $3.72 | $15,637 | $16,757 | 12.1 years |
| 8 kW | $3.65 | $20,449 | $22,743 | 11.8 years |
| 10 kW | $3.58 | $25,060 | $28,930 | 11.6 years |
| 12 kW | $3.51 | $29,471 | $35,318 | 11.4 years |
| 14 kW | $3.44 | $33,681 | $41,906 | 11.1 years |
| 16 kW | $3.37 | $37,690 | $48,694 | 10.9 years |
| 18 kW | $3.29 | $41,499 | $55,683 | 10.7 years |
| 20 kW | $3.22 | $45,108 | $62,873 | 10.4 years |
How to Save on Solar Panels
The solar company you opt for will affect not only your total costs, but also the types of solar panel brands, warranties, and other equipment you have access to. When choosing a solar company, there are several important things you should consider, including:
- Solar Panel Brands: Each solar panel brand and model has varying levels of quality, durability and energy efficiency. They will come at different costs as well. The company you choose impacts which solar panel brands you have access to.
- Reputation: Make sure your solar installer has a good reputation by verifying it has certifications and licenses, checking how long it's been in business and reading reviews by previous customers and solar experts like EcoWatch.
- Contract: Although reading through a contract can take a lot of time, it's important to do it carefully so you can make sure you understand how much the equipment and services will cost and the terms of the warranty.
- Warranty: An all-inclusive, long-term warranty can help keep your solar panel system running for years to come and save you money on repairs and maintenance.
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 Rapid City, SD Solar Cost FAQs
What is the average cost of installing solar panels in Rapid City?
The average cost of solar panels in Rapid City is about $11,950 for a 5-kW system and $23,900 for a 10-kW system before the ITC, but the real cost will depend on certain factors such as the model of solar panels you want, what size system you need and how much energy you use.
Can you get solar panels for free in Rapid City?
You can't get solar panels for free in Rapid City. However, you may still be able to install them on a lower budget. You can lease solar panels for a low upfront cost or, if you want to own your solar panels, you can finance them with a solar loan.
How will installing solar panels impact my home value?
Solar panels can increase the value of your property by about 4%, according to research done by Zillow. The average home value in Rapid City is currently $193,341, so you can look forward to a value of about $7,927 more than houses without a solar system. The specific figures will vary, but most experts agree that installing solar panels in Rapid City is a fruitful investment.
How often do you have to replace solar panels?
On average, the lifespan of solar panels is 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 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.