Solar panel cost

Solar is priced per watt of panel capacity, not per panel. Take any quote, divide the total price by the system size in watts, and you get a number you can compare across companies. EnergySage puts the 2026 marketplace average at $2.60 per watt before incentives. Its own pricing runs lower than the national median because it removes a layer of sales and marketing cost, so a quote from a door-knocking salesperson can be meaningfully higher for identical hardware.

The single biggest change for 2026 is that the federal Residential Clean Energy Credit (Section 25D) no longer applies. The IRS states the credit is not allowed for expenditures made after December 31, 2025, and treats an expenditure as made when installation is completed. If a salesperson quotes you a "price after the 30% credit," that is wrong for a purchased system and you should treat it as a red flag.

Batteries are a separate, large line item. EnergySage's 2026 quote data puts a 13.5 kWh battery — Powerwall-class capacity — at about $15,228 before state or local incentives, with an average of $1,128 per kWh of storage. A battery does not usually pay for itself on bill savings alone. Buy one for backup power or because your utility's rates make it work, not because it was bundled into the quote.

Payback depends almost entirely on your electricity rate and your local net metering rules, not on the panels. EnergySage reports an average payback of about 10 years and 25-year savings of $41,000 to $155,000, which is an enormous spread — that spread is your utility, not the hardware.

How to choose

Normalize every quote to $/W

Total price divided by system watts. If one bid is $2.60/W and another is $4.20/W for similar equipment, the difference is sales commission, not quality.

Get three quotes, at least one local

National sales organizations often subcontract the install. Local installers are usually cheaper and are the ones who come back for warranty work.

Price the battery separately

Ask for a solar-only quote and a solar-plus-battery quote. If the installer will not split them, that is a sign the battery is padding the deal.

Ignore "after incentive" pricing on purchases

The federal 25D credit expired for installations completed after December 31, 2025. Only state, local, and utility incentives may still apply — check DSIRE for your zip code.

Check the escalator on any lease or PPA

Many third-party-ownership contracts raise your rate every year. A 2.9% annual escalator over 25 years is a very different deal than a flat rate.