
Discover the average solar panel installation cost, key price factors, and expert tips to help you budget for your solar project.

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The average cost to install solar panels is around $26,600, and most homeowners pay between $4,500 and $53,000. Keep in mind that these prices don’t consider the federal investment tax credit (ITC), which can effectively reduce those costs by up to 30%. The price you can expect to pay for solar panel installation depends on the size of the system, where you live, the type and brand of panels, and the labor costs. Get price quotes from at least three solar companies in your area to find the best deal.
In most states, solar installers need to be licensed and insured as solar professionals, although some states don’t have specific requirements for installers. You can use our state licensing tool to check if an installer you’re considering hiring holds the proper licensing. No matter where you live, a member of your solar panel installation company must be a certified electrician to connect your panels to your home and the electric grid.
There are a few qualifying questions you should ask a local solar panel company before hiring them:
Will you handle permits for the installation?
Does your total price include the equipment and labor?
How long do you expect the installation process to take?
What kind of workmanship warranty do you include with your installations?
Who should I contact if I have a problem with my system after installation?
Do you install the panels or outsource the work to third parties?
Will you file for solar incentives for me?
In most cases, yes, solar panels are well worth the investment. Going solar with your home’s energy is expensive, but, in most states, the panels will pay for themselves by reducing your electric bills. Solar panels don’t produce greenhouse gasses or other pollutants, meaning you can feel good about using this renewable energy source to power your home. Plus, installing solar panels can boost your home value, helping your profit off your next home sale.
Yes, solar panel installation will require permits. The required permits will depend on where you live, as some states and cities have solar-specific permits, while others only require electrical permits to connect to the grid. In either case, it’s best to hire a reputable solar installer in your area, as a representative should handle all of the necessary permitting for you and will include the cost of the permits in your initial solar estimate.
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