The average cost for installation around the country ranges
between $3,500 and $5,000 per kW, before rebates and tax credits.
If the cost was right in the middle of that range, a 5-kW could run $21,250. Again, that’s before rebates and tax credits, which can reduce the cost by half or more after the first year. And that doesn’t include electricity savings.
Those numbers are great, but not everyone has all that cash lying around, so the size of the system can be adjusted down to meet a different budget. The savings won’t be as sweet, but the initial cost can be reduced substantially. The system size can be increased, too, to take advantage of selling electricity back to the grid. Your state’s laws may or may not be favorable to that, so this is an area you should discuss with your installer.
Solar and your home’s value
Switching to solar power can pay you back in more ways than a lower electric bill: houses with solar panels have also been proven to have a higher resale value. Even if you sell your home before you’ve had the opportunity to use solar power over a long period, the panels are still a good investment.