How Much Does it Cost to Install Solar Panels in Colorado?
Installing solar panels is a great way to make your home sustainable and reduce your monthly electricity costs. However, adding a solar energy system to your home requires an upfront investment.
In Colorado, the cost to install solar panels ranges from $20,000 to $35,000.
Wondering what affects the installation price? The cost of installing solar panels depends on the following factors:
- The number of panels you need
- The equipment you choose
- The layout of your home
- Available solar incentives
- The contractor you hire
In this blog, we’ll take a closer look at each of these factors in more detail to give you a better idea of what your installation could cost. To get an exact quote, you’ll need to contact a solar power professional to visit your home and provide a cost estimate.
Looking to Get Solar Panels Installed? Give Photon Brothers a Call!
Want to know the cost of installing solar panels in your home? Our residential solar power experts can give you a free and accurate estimate.
Cost Factor #1: The Number Of Panels You Need
The more solar panels you need, the more expensive the installation will be as you’ll be paying for additional equipment and labor costs.
The number of panels you need depends on your goals — are you trying to cover 100% of your energy needs or just partially cover your electricity needs?
Regardless of your goals, the main factor that will dictate how many solar panels you should get is your average daily energy usage. The higher your daily energy usage, the more solar panels you will need in order to get a good return on your solar investment.
You can find your home’s average daily energy usage by looking at your utility bill. Look for verbiage along the lines of “kilowatt-hours (kWh) used,” and note the time span the kWh corresponds to. If the kWh amount is per month, you can divide the figure by 30 to get your average daily energy usage; if the amount is per year, divide the figure by 365 to get your average daily energy usage.
Note: A solar power professional can also help you calculate your average daily energy usage if you get stuck.
Besides your daily average energy usage, the following factors also determine the number of panels you need:
- The size of your roof
- How much of your roof is exposed to sunlight
- The direction of the roof
- The tilt and wattage of the panels
- And more…
Calculating all of these factors is complex, which is why we recommend you consult with a solar energy professional to determine how many panels your home will need.
Cost Factor #2: The Equipment You Choose
In addition to the panels, you’ll also need the following equipment to build a solar energy system:
- Inverter: This is used to transform direct current (DC) to alternating current (AC), so you can use the solar-generated electricity with home appliances.
- Racking: Racks secure solar panels onto a surface, such as a roof or the ground.
You also have the option of choosing a backup battery (we install Tesla Powerwalls), which will raise the overall cost of the installation. Homeowners choose to add a battery if they want to be less dependent on the grid, or they want to have backup energy if the power goes out. If you add a battery you’ll also need a charge controller, which is used to regulate the voltage and current going from the panels to the battery.
Another factor to consider when choosing solar panel equipment is brand. Panels and equipment made from first-class brands usually cost more, but they also offer:
- Better warranties
- Higher efficiency rates
- Lower degradation rates (the rate at which a panel loses efficiency over time)
Since a solar energy system is a long-term investment, we recommend spending a little more upfront on quality equipment so that you get the most energy savings down the road.
Note: At Photon Brothers, we install solar equipment from the best manufacturers, including REC panels, SolarEdge inverters, and Tesla backup batteries. You can learn more about these products by visiting our site and reading about our premium solar panel package.
Cost Factor #3: The Layout Of Your Home
Certain features of your home could make it more difficult to install solar panels. And the more difficult the installation, the more you’ll pay in labor costs.
The cost to install solar panels will likely be greater if…
- You have a 3‑story home
- The roof has a steep 45°-angle slope
- The roof has obstructions such as chimneys, skylights, vents, etc.
Cost Factor #4: Available Solar Incentives
As a Colorado resident, you have many incentives available to you in the form of rebates and tax credits. If you take advantage of these incentives, you can cut down the cost to install a solar energy system.
Some examples of solar incentives in Colorado include:
- Local solar rebates: Depending on where you live, some utility companies offer rebates to homeowners who install solar energy systems. For example, Xcel Energy provides a rebate of up to $5,000 for homeowners installing Powerwall 3 batteries. Denver CARes (Denver Climate Action Rebates) is eligible for Xcel customers who reside in the city of Denver, with rebates up to $4,000 depending on your solar installation. Homeowners in Fort Collins can receive a rebate of up to $1,500 when they install a residential solar PV system.
- Federal ITC (solar tax credit): If you install a solar power system, you can deduct up to 30% of the cost of the system from your federal taxes. This tax credit ends in 2032. In Colorado, you also can receive a 10% tax credit available on eligible Powerwall equipment.
A solar panel professional can help you determine all of the rebates and tax credits you qualify for during an in-home consultation.
Cost Factor #5: The Contractor You Hire
High-quality, experienced solar contractors may charge more for their installation services. That said, these contractors will likely install your solar panels correctly (the first time) and go the extra mile to make sure your solar power system is set up perfectly. A high-quality contractor also won’t install your system then disappear when you need them later on down the road.
Having your solar panels installed correctly ensures you will get the most energy savings over time, plus it saves you from having to pay for expensive repairs in the future.
So, how do you know if a contractor will do high-quality installation work?
Before hiring a contractor, make sure…
- The contractor has a valid license by the proper local authority (varies depending on what city you live in)
- The contractor provides upfront estimates in writing before any work begins
- The contractor has good online reviews on sites such as Google, Yelp, and SolarReviews
If the contractor does all of the above, they will likely do quality work when they install your solar panels.
Want a Quote to Install Solar Panels in Your Colorado Home?
We can give you an upfront estimate on the cost of installing solar panels in your home based on the factors we explained above. At Photon Brothers, we provide exceptional service by never contracting out any work and by offering the highest-quality solar panel brands and products.
