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Frequently Asked Questions
What does residential solar installation cost?
Average: $2-$3 per watt. For a typical 6-8 kW system: $12,000-$24,000 before incentives. Before incentives: $8,400-$16,800. State/local rebates can reduce this further by 10-30%.
How long does it take to break even on solar panels?
Payback period: 6-12 years depending on electricity rates and incentives. At national average rates, most systems break even in 7-8 years. High-cost states (CA, HI, MA) break even faster; low-cost states take longer.
Is net metering available in my area?
Net metering lets you earn credits for excess solar production, reducing your bill dollar-for-dollar. Availability varies by state/utility. Some areas have "net metering lite" with lower credit rates. Check your utility's net metering policy.
Should I buy or lease solar panels?
Buy: higher upfront cost, own the system 25+ years (note that the federal §25D credit expired for 2026 purchases (a lease or PPA may still capture 30% via §48E)), can add batteries, portable if you move (in most cases). Lease: $0 down, no maintenance, fixed monthly payment, but no tax credit or incentives, and lease transfers with home sale.
What is the federal solar tax credit?
The federal residential solar credit (§25D) expired for systems purchased after December 31, 2025; a 2026 cash or loan purchase no longer earns it. Leased and PPA systems may still benefit from the 30% §48E commercial credit claimed by the installer.