Solar Panel Cost Guide in Austin, TX (2023 Update)
- Austin Solar Installation Cost: $14,217
- 25-Year Savings: $21,884
- Payback Period: 9.8 Years
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Updated May 04, 2023
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Average Cost of Solar Panels in Austin
Let's take a look at the average cost of solar panels in Austin.
The national average cost of solar panels is $2.66 per watt, but in Austin it's 2.69 per watt. The average solar panel system size in Austin is around 7.5 kilowatts, meaning a cost of about $14,217 for a solar installation, or $20,330 before the 30% federal solar tax credit is applied.
The actual price you pay can be higher or lower than the average in Austin depending on a variety of factors, such as the brand of solar panels you choose and the solar installer you hire. Many homeowners find installing a solar system is a rewarding investment. The average homeowner in Austin can save around $18,000 on their power bills over 20 years.
To receive a free estimate from a pre-vetted solar company in Austin, you can click the button below.
Solar savings over time in Austin
| Year | Return on Investment |
|---|---|
| 1 years | $-12,773 |
| 3 years | $-9,885 |
| 5 years | $-6,997 |
| 7 years | $-4,109 |
| 9 years | $-1,221 |
| 11 years | $1,667 |
| 13 years | $4,555 |
| 15 years | $7,444 |
| 17 years | $10,332 |
| 19 years | $13,220 |
| 21 years | $16,108 |
| 23 years | $18,996 |
| 25 years | $21,884 |
Top Solar Installers in Austin
Although it's possible to install solar panels yourself, it requires extra time and knowledge. For that reason, most homeowners choose to go with a solar panel installer. Companies can also have access to various kinds of the best solar panels and help you decide which one will be right for your home.
There are various licensed solar professionals that can take care of your solar installation project. Here are our suggestions:
Best Solar Financing
Blue Raven Solar
- Industry-leading in-house financing
- Competitive pricing
- Excellent reputation
- Doesn't offer solar batteries
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 Austin
Factors that Affect Solar Panel Costs in Austin
While the average cost of a solar system in Austin is $14,217, your actual cost may differ. There are many factors that can have a major impact on the cost of a solar system installation. Below are some of the more important things to consider.
Solar Equipment
The size of the solar 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, you can expect your total to increase by about $2,690. There are many different solar panel brands and the one you choose also changes the cost. Generally speaking, the brands that have better efficiency tend to also be more expensive. In addition, the type of equipment you're looking 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
Most solar installers in Austin provide solar loans, which reduce your upfront costs of installing solar. When estimating your overall cost, you should also calculate the interest you'll pay if you go with a solar loan. Also, paying more upfront can reduce the total interest paid over time.
Solar Panel Installation Company
The solar panel installation company you select will influence your total cost to go solar. Different companies will charge different amounts for the equipment and labor. Larger national companies generally have lower costs, but some local companies keep up with them by offering sales and discounts. While the smaller companies might not have specific equipment options like Tesla Powerwall batteries or add-on services like electric vehicle 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 | $2.80 | $11,750 | $16,941 | 10.2 years |
| 8 kW | $2.74 | $15,365 | $22,890 | 10.0 years |
| 10 kW | $2.69 | $18,830 | $28,989 | 9.8 years |
| 12 kW | $2.64 | $22,144 | $35,239 | 9.6 years |
| 14 kW | $2.58 | $25,308 | $41,639 | 9.5 years |
| 16 kW | $2.53 | $28,320 | $48,190 | 9.3 years |
| 18 kW | $2.47 | $31,182 | $54,892 | 9.1 years |
| 20 kW | $2.42 | $33,894 | $61,744 | 8.9 years |
How to Save on Solar Panels
There are many solar installers to choose from, all of which offer different warranties, solar panel brands and price points. To help you pick the right company for you, here are some tips to keep in mind:
- Reputation: Your solar installer should have a good reputation as a company and have demonstrated expertise in the field. A couple of ways to check this are to look for whether a company has technicians certified by the North American Board of Certified Energy Practitioners (NABCEP) and if it has good reviews from past customers.
- Solar Panel Brands: The kind of solar panel you need to get plays a part in which installer you should go with, since different companies have access to different panels.
- Installation Process: When making the switch to solar, it's crucial to keep an open line of communication with your solar installer. Confirm that you understand how the installation process works and the project timeline.
- Contract: Read the contract terms thoroughly to make sure you understand the cost breakdown, project timeline rebates and warranties.
Best Solar Financing
Blue Raven Solar
- Industry-leading in-house financing
- Competitive pricing
- Excellent reputation
- Doesn't offer solar batteries
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 Austin, TX Solar Cost FAQs
How much does it cost to install solar panels in Austin?
The average cost of solar panels in Austin is about $13,450 for a 5-kW system and $26,900 for a 10-kW system before the ITC, but the actual cost will depend on things like the model of solar panels you want, what size system you need and how much energy you consume.
Is it better to lease or buy solar panels in Austin?
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 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 financial benefits from going solar.
How much can I save on energy bills after switching to solar?
It is possible to eradicate your electricity bills with solar panels, but for most homeowners in Austin, that will require at least a 10-kW system. Not all homes can accommodate that size system, so you'll want to contact a local solar installer to see how many panels can fit on your roof.
How many solar panels do I need to power my home?
The exact number of solar panels you need depends on your household energy needs and how much 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 get between 20 and 35 panels to cover 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.