How Much Does A Solar Panel System Cost?
Solar panel installation costs may vary, but total cost typically falls into the range of $15,000 and $25,000 for a residential system. Of course, this is a considerable upfront cost, but there are some additional factors to consider (shown in the flow chart on the right).
The ideal property for solar power system installation should include 500 square feet of roof space on south-facing or south-angled rooftops, though these are not necessarily required for an effective solar power system installation.
Rent vs Buy
There is also the option to rent a solar power system, but there are considerable benefits to owning the system outright, including long-term incentives and cost-offset. EcoMark Solar does not offer system leases at this time.
While the initial costs can be high, solar power systems can provide significant energy savings – and the inspection processes conducted prior to installation can give a better idea of the viability of residential or commercial solar arrays for your home or business. In addition, the average lifetime for solar panels is about 25 years, which extends those significant energy savings year over year.
Increase in Home Value
A study by the National Bureau of Economic Research estimated that home buyers gave a 4% premium to homes with solar energy systems installed than comparable homes without solar.
From the NREL “Solar Installed System Cost Analysis”, these charts (above) show the process for installation, and pricing year after year for all associated costs.
What is the Cost of Solar System Equipment and Services?
What Solar Incentives Are Available?
There are programs available to help offset or eliminate the costs of solar installation. There are a wide variety of incentives available to you as a solar energy generator.
The primary incentive is the Solar Investment Tax Credit (ITC), which provides a tax rebate of up to 26% of the up-front costs.
More specifically, the Colorado Springs municipal code makes customers eligible for a $0.20 per watt rebate.
Xcel Energy allows participation in the Solar Rewards program, where customers receive monthly payments in exchange for Renewable Energy Credits. And those are just two of the many incentives specific to Colorado, not to mention national incentive programs for Solar Energy Systems.
Leveraging national incentives, regional/municipal incentives, and the Solar Investment Tax Credit (ITC) can help reduce the cost of installation, and help mitigate the costs of upkeep significantly over time.