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Solar Panel Cost Texas: How Much Should You Pay?

Average Cost $15,000-$30,000
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Updated On

March 5, 2025

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Note: In July 2024, SunPower notified dealers it would be halting all new shipments and project installations. The company also noted it would “no longer be supporting new Leases and PPA sales nor new project installations of these financing options.”

If you’re thinking about going solar in Texas, expect to pay anywhere from $10,000–$15,000 for a smaller home to $30,000–$40,000 for a larger property, before incentives. The final price depends on your energy needs, roof size, and financing choice — and whether you go for budget-friendly panels or premium, high-efficiency models.

The good news? Texas is one of the best states for solar thanks to abundant sunshine and no state tax on solar equipment. Federal tax credits and local utility rebates can knock thousands off the upfront cost. Plus, with electricity rates climbing, a well-sized system can pay for itself in 6–12 years, depending on how much power you use.

We’ve crunched the numbers from top Texas solar installers and 2025 pricing data to give you real-world costs—not just marketing fluff. Keep reading for a full breakdown of installation prices, financing options, and how to get the most savings.


How Much Do Solar Panels Cost in Texas?

Solar panels are slightly more expensive in Texas than the national average. But the sheer number of solar-viable days should compensate for extra cost. The average cost of a complete solar system is around $10,280. That will run you approximately $2.06 per Watt.

Home Size (sq ft)Typical System SizeAverage Monthly Energy UseTotal CostCost After Federal Tax CreditEnergy Savings (25 years)Average Payback Period
1,000–1,5005–6 kW500–750 kWh$10,300–$12,400$7,210–$8,680$25,000–$30,0006–8 years
1,500–2,0007–8 kW750–950 kWh$14,400–$16,500$10,080–$11,550$35,000–$40,0007–9 years
2,000–2,5009–10 kW950–1,200 kWh$18,500–$20,600$12,950–$14,420$45,000–$55,0007–10 years
2,500–3,00011–12 kW1,200–1,400 kWh$22,600–$24,700$15,820–$17,290$55,000–$65,0008–11 years
3,000+13+ kW1,400+ kWh$26,700+$18,690+$65,000+9–12 years

What Affects Texas Solar System Costs?

Your final solar system cost depends on several key factors. Prices can vary by $5,000–$10,000 for similar-sized systems based on where you live, how much electricity you use, and how you plan to pay. Let’s examine what affects your solar investment and how to make smart decisions.

Energy Needs

Check your past 12 months of electric bills before getting solar quotes – this reveals exactly how much power you need. Families running air conditioning all summer with bills of $200–$300 monthly need larger systems than homes averaging $100–$150 per month. For example, a 2,000 sq ft Dallas home using 1,000 kWh monthly needs a 9–10 kW system, while an energy-efficient house of the same size might only require 7–8 kW.

Energy Efficiency

Limited roof space? Look for high-efficiency panels. Standard models produce 300–350 watts each, while premium panels generate 400–440 watts – meaning fewer panels for the same power output. My neighbor in Houston installed 18 high-efficiency panels on his small roof instead of the 24 standard panels originally quoted, saving valuable space. These better panels cost 20–30% more but deliver superior performance, especially during Texas summer heat waves.

Local Incentives

Your address matters when it comes to solar savings in Texas. Local incentives vary widely, with rebates from $1,000–$4,000 depending on your utility company. Austin Energy offers a $2,500 rebate plus pays you 9.7¢ per kWh for excess energy, while CPS Energy in San Antonio provides up to $3,000 back. Before buying, visit your electric company’s website or ask installers to explain all programs you qualify for based on your zip code.


Will You Be on the Hook for Any Other Solar Costs in Texas?

Your panels aren’t the only expense when going solar. Budget for an additional $500–$1,200 in fees and paperwork before your system powers up. Here’s what else you’ll pay for beyond the equipment itself.

Inspections

Plan to spend $150–$220 for annual inspections in most Texas counties. Your first inspection usually comes free with installation, but you’ll pay for yearly check-ups after that. Smart homeowners sign maintenance agreements to get discounted inspection rates. If you live in high-demand areas like Austin or Dallas, schedule inspections 2–3 weeks ahead during busy seasons from March through September.

Permits

Permit costs jump dramatically depending on where you live. You’ll pay just $75–$100 in smaller towns like Roanoke, but fees reach $240 in Coppell. Good news: reputable installers include these permit costs in their quotes and handle all the paperwork. Always ask about permitting fees before signing contracts to avoid surprise charges later.


What Should Texas Homeowners Expect to Pay for Routine Solar Panel Maintenance?

Texas solar owners enjoy lower maintenance costs than many states thanks to milder weather. Set aside $150–$300 yearly for basic upkeep to keep your system running smoothly. Even with 25-year manufacturer warranties, you’ll still have some maintenance expenses not covered by the fine print.

Repairs

When things break, repairs can get expensive. A failed inverter or damaged wiring costs $500–$2,500 to fix, depending on what’s broken. Panel warranties cover manufacturing defects, but you’ll still pay labor costs after your installer warranty ends (usually after 5–10 years). Consider adding an extended service plan if your system uses microinverters or power optimizers – these fancy components cost more to replace if they fail.

Animal Damage

Critters can wreak havoc on your solar investment. Squirrels, rats, and birds occasionally make homes under panels and chew through wiring, causing $300–$500 in damage. One Austin homeowner discovered a family of squirrels had damaged three connection points, requiring a full day’s repair work. Spending $400–$800 on protective critter guards upfront saves thousands in potential repairs and prevents system downtime.

Tree Trimming

Shade is the enemy of solar production. Just 3–4 hours of tree shadow daily can slash your power output by 10–25%. Professional tree services charge Shade is the enemy of solar production. Just 3–4 hours of tree shadow daily can slash your power output by 10–25%. Professional tree services charge $350–$700 for standard trimming, with taller trees costing $500–$1,200 to maintain. Mark your calendar for trimming every 1–2 years to keep branches from stealing your sunshine and reducing your energy savings.

Cleaning

Dirty panels produce less power. Professional cleaning services charge about $200 for systems under 20 panels, with larger arrays costing $10–$15 per additional panel. Budget for 2–3 cleanings yearly, with extra washes after dust storms or heavy pollen season. Many homeowners save money by doing basic cleaning themselves with extension tools – a $50 investment that saves hundreds annually in professional cleaning fees.


Is Texas a Good State for Solar Panel Costs?

The national average cost of solar panels is $2.56 per watt, notably higher than the $2.06/W you see in Texas. However, power usage per capita is low, so customers likely won’t need to buy as many panels. Even with Texas’ decreasing electricity costs, solar panels are still a great option for many homes.


The Financing Option You Choose Will Impact Your Solar Savings in Texas

If you have the money saved, there’s no better way to buy a solar plan than through a cash purchase. The up-front costs are high, but 20 years later, you’ll have saved big on interest payments incorporated into loans. Plus, you’ll qualify for statewide tax benefits like Texas’ property tax exemption. If you’d rather pay over time, a solar loan will still transfer your system ownership, so you’ll qualify for tax credits and rebates.

You’ll never get ownership of your solar system through a solar lease, but your energy bills will be lower, and you won’t be responsible for maintaining your panels. Instead, a third party will own the solar panel system, and you’ll pay to use its energy.

A power purchase agreement (PPA) is like a lease, but your payments will depend on how much energy you use instead of paying a fixed rate each month. With these last two options, you’ll spend less on electricity, but you won’t qualify for any rebates, and you won’t be investing in your property. You’ll unlikely benefit from a higher property value, as these systems are much more difficult to transfer.

A company we love that offers an excellent financing option is Blue Raven Solar, giving you the best of both worlds. Its plan allows you to build toward full ownership without paying for the first 18 months of service. You’ll get all the rewards of offset energy costs before paying your first bill — and get the tax incentives that come with ownership.

Financing MethodUpfront CostsMonthly Payments (2025)Interest Rates (2025)25-Year SavingsPayback PeriodBest For
Cash Purchase$10,300–$26,700$0N/A$25,000–$91,0006–12 yearsMaximum long-term savings
Solar Loan$0–$5,000$80–$1604.5%–6.9%$20,000–$70,0007–15 yearsBalance of affordability and ownership
Solar Lease$0$70–$130N/A$5,000–$15,000N/ANo maintenance responsibility
PPA$0Varies by usageN/A$4,000–$14,000N/APredictable per-kWh rates
Blue Raven BluePower+$0$0 for 18 months, then $90–$1502.99%–5.99%$18,000–$65,0008–14 yearsDeferred payments with ownership

How Else Can Texas Homeowners Save Money When Going Solar?

You have many ways to squeeze even more savings out of your solar panel installation in Texas. If you pay attention to these guidelines, you’ll save big — especially if you live in an area where solar rebates are available.

Take Advantage of Texas Solar Incentives

No matter where you live in Texas, your property taxes won’t go up with the value of your home because of your new solar system. If you live in one of the cities that encourages reliance on renewable energy, you’ll make even more back. For example, Austin Energy has a solar buyback program that turns your excess energy into savings on your utility bill. 

But you must own your solar energy system to qualify for federal and state tax credits. If you’re considering a solar lease but still want a 100% property tax exemption on your home, consider purchasing or loaning again.

Choose Solar Panels with a Low-Temperature Coefficient. 

Counterintuitively, solar panels perform worse when the sun shines too brightly — so Texas’ heat can be a downside. Any temperature higher than 77 degrees is sub-optimal, and your energy efficiency will continue to plummet on days in the triple digits. To combat this, look for solar panels with monocrystalline solar cells. These have a lower temperature coefficient and work better in high temperatures. If you have the budget, panels with amorphous silicon and cadmium telluride will further mitigate high heat. You can also purchase larger solar panels to compensate for the lost efficiency — but we think it’s better to focus on quality than quantity in this scenario.

Position Your Panels to the South

Texans should place their solar power systems to the south, if possible. Variations of facing just 45 degrees away from the south will impact your production by almost 10%, making orientation a critical step in optimizing your solar output. Adjust the tilt angle to 28° if placing your panels on a flat surface.

Buy a Monitoring Display

Buying a system with a monitoring display is a great way to avoid unnecessary repair and maintenance costs. You’ll get up-to-date statistics on how much sun and shade each panel receives and on parts that aren’t functioning. To build upon this power, prioritize companies with strong customer reviews and manufacturer warranties in your search. Some installation companies have production guarantees — so if your energy levels slip, they’ll be financially responsible.

Use the Perks of the Texas Climate

Texas is one of the sunniest states in the country, so you should save significantly on your energy bill if you qualify for solar buybacks. To get the most out of your system, have areas on your property that are free from heavy shade.


How Much Do Texas’s Solar Installers Charge?

We’ve listed some of the best solar providers in Texas and their associated prices and ratings. While the strengths are varied, you can’t go wrong with any of these companies, and they’ll be able to cater to your budget.  


Solar prices have dropped dramatically, with 2025 costs now averaging $2.06 per watt — down from $2.72 just a few years ago. For a standard 5 kW system, you’ll pay around $10,300 before incentives. Texas leads the nation in solar growth, adding over 4 GW of residential capacity in 2024 alone. Solar now generates more than 4% of Texas electricity (up from 2.3% in 2022) and experts project this will reach 8–10% by 2027.

Recent law changes have strengthened homeowner solar rights across the state. The expanded Texas Solar Rights Act now stops HOAs from blocking reasonable solar installations, and many utility companies have introduced better net metering programs since 2023. Connection times have improved too – the Public Utility Commission now requires faster system activation, cutting the average wait from 4–6 weeks down to just 2–3 weeks for most new installations.

Texas is showing the fastest growth of solar demand in the country. Solar consumers have also been gaining legal power — the Texas Solar Rights Act was passed and prohibits HOAs from preventing property owners from installing a solar energy system.

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FAQs About Texas Solar Panel Costs

How Much Do Solar Panels Cost in Texas?

Today’s solar panels in Texas cost about $2.06 per watt – less than previous years and slightly below national averages. For a standard 5 kW home system, expect to pay around $10,300 before incentives. After the 30% federal tax credit, that drops to approximately $7,210.

Where you live affects what you’ll pay. Houston and Dallas offer better prices due to more installer competition, while rural areas run 10–15% higher because of travel costs and fewer installation companies. Your choice of equipment matters too. Basic panels from brands like Canadian Solar or Q CELLS cost $0.60–$0.80 per watt, while high-performance options from SunPower or REC run $0.90–$1.20 per watt. Most homeowners choose mid-range panels around $0.75–$0.90 per watt for the best balance of cost and performance.

How Do You Pay for Solar Panels in Texas?

You have several ways to finance your solar system in Texas. A cash purchase offers the highest returns by avoiding interest costs and qualifying for all incentives. Though it requires $10,300–$26,700 upfront, this approach delivers 15–20% returns over the system’s life. Take the Martinez family in San Antonio – they paid $16,500 cash for their system and will save over $65,000 during its lifetime.

Solar loans provide ownership without large upfront costs. Current rates run 4.5%–6.9% with terms from 5–25 years. Many installers offer zero-down options with $80–$160 monthly payments – often less than your current electric bill. For those who don’t want ownership responsibilities, leases and PPAs require no upfront investment with monthly payments of $70–$130. Texas also offers unique financing through PACE programs in many counties, allowing you to pay for solar through property tax assessments.

Is Going Solar Worth It in Texas?

Solar power pays off for most Texas homeowners. With electricity rates climbing 4–6% yearly and abundant sunshine, solar systems usually pay for themselves in 6–12 years while producing power for 25+ years. You can save $25,000–$91,000 over your system’s lifetime, with the biggest savings in high-electricity-cost areas like Dallas, Houston, and San Antonio. Homeowners with deregulated electricity enjoy extra protection from unpredictable energy prices.

Your home value will likely increase by about 4% after installing solar, with a $10,300 system typically adding $5,000–$8,000 to your property value. The environmental benefits are substantial too – a 5 kW system prevents about 150,000 pounds of carbon emissions over 25 years. Solar makes financial sense if you own your home, have good sun exposure, plan to stay put for at least 5 years, and pay over $100 monthly for electricity.

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Amy DeYoung

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Amy DeYoung has a passion for educating and motivating homeowners to improve their lives through home improvement projects and preventative measures. She is a content writer and editor specializing in pest control, moving, window, and lawn/gardening content for Today’s Homeowner. Amy utilizes her own experience within the pest control and real estate industry to educate readers. She studied business, communications, and writing at Arizona State University.
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Jonathon Jachura

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Jonathon Jachura is a two-time homeowner with hands-on experience with HVAC, gutters, plumbing, lawn care, pest control, and other aspects of owning a home. He is passionate about home maintenance and finding the best services. His main goal is to educate others with crisp, concise descriptions that any homeowner can use. Jon uses his strong technical background to create engaging, easy-to-read, and informative guides. He does most of his home and lawn projects himself but hires professional companies for the “big things.” He knows what goes into finding the best service providers and contractors. Jon studied mechanical engineering at Purdue University in Indiana and worked in the HVAC industry for 12 years. Between his various home improvement projects, he enjoys the outdoors, a good cup of coffee, and spending time with his family.
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