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Solar panel cost data Texas 2020

Updated: September 17, 2020

As of Sep 2020, the average cost of solar panels in Texas is $2.6 per watt making a typical 6000 watt (6 kW) solar system $11,557 after claiming the 26% federal solar tax credit now available.

This is higher than the average price of residential solar power systems across the United States which is currently $2.53 per watt.

Solar panel installation cost in TX by system size in 2020

Table 2: Average cost of residential solar systems by system size
System size* Avg cost
per watt
Avg Cost
(After tax credit)
show before tax
4kW $2.85 $8,424
5kW $2.73 $10,097
6kW $2.60 $11,557
7kW $2.58 $13,344
8kW $2.61 $15,451
9kW $2.52 $16,797
10kW $2.50 $18,463

Current solar panel cost near you in TX

Showing data for:

Williamson
Change
  • Anderson
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  • Zavala
  • Utility provider:
    Utility bill: $ 150

    Prices based on a 10.322 system, after 26% federal tax credit

    Cost range of local prices

    Net profit (savings less system cost)

    48213

    Payback period

    7.31

    Recommended size for the selected utility bill

    10.322

    Chart 1: What is a good price for a 6.00kW solar system in Texas after tax credits.

    $12K
    SolarReviews average

    Solar panel cost calculator

    Calculating the cost of solar panels for your specific home in TX

    Installation costs for solar will vary with your location and the size of your homes electricity bill. To be meaningful solar cost information needs to be tailored to the individual situation. If you enter your details into the solar calculator below you will get a solar cost and savings estimate and find out how much solar panels will cost for your home based on current offers from your local solar installation companies.

    Who are the best solar panel installation companies in Texas that offer the best deals on quality solar systems?

    See local installers

    Use our solar cost calculator to get an online solar estimate and gather solar system quotes for your home in TX

    Get started

    What factors affect the cost of solar panels for your home?

    There are many factors that affect solar panel installation costs with regard to specific homes, including:

    The location of your home

    The location of a home affects the cost of installing solar in a few ways. The amount of sunlight available affects system output and so dictates how many solar modules you will need. Obviously the more solar panels you need the higher the cost. Market prices are also different in different locations because of factors including average system sizes in that location, competition between installers, local job volumes, and the cost of business overheads.

    The amount of electricity your home uses

    A house that uses more electricity will need more solar panels. Although solar panels do get cheaper on a per-watt basis, as the system size gets bigger, the overall cost of the system increases, as well.

    The type of solar panels and inverter you buy

    There is a significant difference in cost between the top-rated solar panels and brands that are perceived to be of lesser quality. The same is also true for inverters. For example, a 6kW solar system using Sunpower or Panasonic solar panels can be as much as $5,000 more expensive than a solar system using Canadian Solar Modules.

    The relative ease or difficulty of installing solar panels on your home

    If your roof is particularly difficult to install solar panels on, say, if your home is three stories high or has a roof with a 45° pitch, it will take longer to install the panels and do the wiring.

    How is the cost of solar panels for homes in Texas offset by solar tax credits?

    The cost of installation of renewable energy systems in Texas is supported by the federal solar investment tax credit.

    The amount of this tax credit is currently 26% of the value of the solar system and it is claimed on your taxes in the year after installation.

    Many people mistakenly refer to this tax credit as the Texas solar tax credit but it is actually a federal tax credit.

    Texas itself does not offer a solar tax credit.

    How does the cost of solar power compare to the electricity rates charged by a utility? (per kWh)

    Levelized cost of power from this typical solar system installed on a home in Texas over 25 years is 3.9 cents/kWh.

    Average cost of utility power over 25 years (if you don't get solar) is 20.4 cents/kWh. This shows that solar is a far cheaper way to power your home in Texas over the long term. The way we calculate the average cost of utility power is by assuming the current utility electric rates will grow each year at a compound rate of 3.5%. Actual inflation may be higher or lower than this but either way this analysis shows that solar is a clearly better choice.

    Are solar panels worth it in Texas in 2020

    The table below shows the data extracted from a real life quote delivered through the SolarReviews marketplace recently for a fairly typical home in Texas.

    As you can see the payback period is relatively short and equates to a much better return on investment than he historical returns that have been available from investing in things like shares or property.

    Table 2: Cost, savings and payback period for an average residential solar system in Texas
    System information Value
    System Size (for 100% usage offset) 10.32 kW
    Annual power generation 15,441 kWh
    Pay-back time (assuming Cash purchase) 7.3 Years
    Internal rate of return (IRR) on investment 10.8%
    Gross cost $25,857
    Total Upfront Incentives and Rebates -$12,297
    Net Cost of System after rebated and incentives $13,561
    Total Cost of Utility Power Avoided over 25 years $61,774

    Please note that the investment return figures do not include the possible increase in property value

    Installed solar system cost for the best brands of solar panels in 2020

    Below are the solar panel costs for systems using the 20 most frequently-installed residential solar panels. This list also includes the most efficient solar panels on the market, which is likely the reason they are the most commonly-installed.

    Table 3: Installed system cost before tax
    Panel model Lowest cost
    p/w
    Avg cost
    p/w
    LG Solar
    LG375A1C-V5
    $2.42 $2.81
    LG Solar
    LG335N1K-V5
    $2.47 $2.73
    LG Solar
    LG375Q1C-V5
    $2.58 $2.82
    LG Solar
    LG365Q1K-V5
    $2.52 $2.76
    Panasonic
    VBH330RA03K
    $2.43 $2.88
    Panasonic
    VBHN340SA17 HIT+
    $2.54 $2.78
    Panasonic
    VBHN330SA17E
    $2.47 $2.79
    Panasonic
    VBHN335SA17
    $2.60 $2.85
    SunPower
    SPR-E20-327-COM
    $2.53 $2.89
    SunPower
    SPR-X22-360
    $2.54 $2.97

    Showing 1 - 10 of 20

    Find city information in Texas

     

    Tesla solar panel prices in Texas

    Tesla is one of the only companies that displays their installed system pricing online. We are encouraging more solar companies to do the same. They have a very poor reputation for customer service on reviews websites like ours however we applaud their move to bring pricing transparency to the residential solar industry.

    Table 4: Tesla system prices
    Type Size Cost
    Grid Tied 4.08 kW $8,160
    Grid Tied 8.16 kW $16,320
    Grid Tied 12.24 kW $24,480
    Grid Tied 16.32 kW $32,640

    Note: Prices for installed Tesla systems are shown before the 26% federal solar tax credit.

    Why solar panel cost should not be your only consideration when buying solar panels for your home

    The most important difference between buying solar panels and any other purchase is that solar panels last 25-30 years. This is a long, long time and you will need customer service over all that time. The reviews below of the two largest corporate solar installation companies indicate larger corporate solar companies are not delivering this support to their customers.

    We recommend you find a small or mid-size, local, family-owned solar company. These companies tend to care more about you and your specific job. You don't want to be on hold to a corporation's call center for the next 25 years!

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