Solar Panel Cost Guide in Rapid City, SD (2024 Update)
- Rapid City Solar Installation Cost: $21,291
- 25-Year Savings: $31,656
- Payback Period: 11.6 Years
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Average Cost of Solar Panels in Rapid City
Find out what the average cost of solar panels are in Rapid City.
Currently, the national average cost of solar panels is $2.66 per watt. However, in Rapid City, the average cost of a solar system is 4 per watt.Using this figure, a typical 8.5-kW system would cost about $21,291 before the 0 federal solar tax credit is applied.
These figures are only averages, and your own solar costs may differ based on factors unique to your home and what company you go with.But, after you've paid the upfront cost of installation, the ROI for most homeowners is typically good, with a net average savings of about $21,000 over 20 years on utility bills.
You can click the button below to get connected with a pre-vetted solar company in Rapid City that can help you get a more accurate cost estimate for your home.
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
Installing solar panels on your own can be a dangerous project, which is why hiring a solar installation company is a good option for many homeowners. Solar warranties and repairs are ordinarily included in the cost of installation when you sign a contract with a solar company too, which can save you more money after your upfront investment.
If you’d like to start using solar energy but still aren’t sure which solar system installer to go with, here are our recommendations for providers in Rapid City:
See all of the solar companies in Rapid City
Factors that Affect Solar Panel Costs in Rapid City
Though the average cost of a solar system in Rapid City is $21,291, your actual cost may be above or below the average. There are several factors that can have a major impact on the cost of a solar panel installation. Below are some of the more crucial things to take into consideration.
Solar Equipment
One of the most important factors to consider when it comes to the cost of installing solar panels is the size of the solar system, which is measured in kilowatts (kW). The more power your household consumes, the larger your system will likely need to be. You can expect to spend about $3,580 per kilowatt in Rapid City.There are several different solar panel brands and the one you pick also affects the cost. In general, the brands that have better efficiency tend to also be more expensive. Plus, the type of equipment you’re looking to get can affect your total cost. If you just need panels, your system will be far less expensive than if you also need solar batteries or an electric vehicle charger.
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 increases your overall costs, so it’s vital to consider that as well. You can always lower the total you pay in interest and in some cases even your APR by making a larger down payment.
Solar Panel Installation Company
A final factor to keep in mind when trying to evaluate the cost of solar for your home or business in Rapid City is the company you hire to install your solar panel system. Similar to choosing a company to build a deck or pool, for example, you’ll have many options for solar installers that provide a range of services for different budgets.The company’s size can sometimes play the most considerable role in your costs. Larger national companies, like SunPro and Sunrun, often have lower prices because of access to more resources and better pricing. Smaller local companies might be more costly, but they generally have better customer service and more customization options, and the occasional sale or discount 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 | $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 company that does your solar panel installation will affect the warranties and brands available to you, and it will also have an impact on your total cost. Because choosing a company can be difficult, we have some tips to help you, such as:
- Solar Panel Brands: Not all solar companies carry the same brands of solar panels, so the brand and type of panel you want can play a substantial role in the company you choose.
- Warranty: If you’re worried about the durability of your solar panel system, checking if your company offers a 25-year, all-inclusive warranty can give you some peace of mind.
- Reputation: Make sure your solar panel installer has a good reputation by confirming it has certifications and licenses, checking its work history and reading reviews by previous customers and solar experts like EcoWatch.
- Installation Process: Get detailed information from your solar company about the installation process and what to expect, including when the site survey will be completed and how long it will take.
EcoWatch's Rapid City, SD Solar Cost FAQs
What is the average cost of installing solar panels in Rapid City?
This is a tough question to answer exactly, because the cost depends on a variety of factors. Broadly speaking, it costs about $17,900 for a 5-kW system and $35,800 for a 10-kW system after the ITC is applied. You can expect to pay more if you want additional solar equipment or higher quality panels, or if you have higher-than-average energy usage. On the other hand, you can spend less if you want a smaller solar panel system or less efficient solar panels.
Should I lease or buy solar panels in Rapid City?
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 don’t have access to 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.
Does Rapid City have a net metering program?
Each state has some kind of net metering programs except Tennessee, South Dakota and Alabama currently. Some states allow you to sell power back to the grid, but others just give you credit toward your future electricity bills.
What solar power system size is right for my home?
To figure out what solar panel system size you need, you need to know how much energy your home needs and how much sunlight your home gets. For a general estimate, however, since each panel can typically produce about 250 to 400 watt-hours per hour, the average house will need 20 to 35 panels.
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.