Solar Panel Cost Guide in Denver, CO (2024 Update)
- Denver Solar Installation Cost: $14,418
- 25-Year Savings: $16,082
- Payback Period: 14.0 Years
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Average Cost of Solar Panels in Denver
Let’s take a look at the average cost of solar panels in Denver.
The national average cost of solar panels is $2.66 per watt, but in Denver it’s 4 per watt.The average Denver homeowner needs a 5.2-kilowatt system, which would cost about $14,418 with the federal tax credit, or $20,618 before the 0 tax credit is applied.
The actual price you pay can go above or below the average in Denver based on a few factors, such as the type of solar panels you choose and the solar installer you hire.With average savings of about $19,000 on utility bills over 20 years, many homeowners in Denver find going solar can be quite rewarding.
To receive a free quote from a highly rated solar installer in Denver, you can click the button below.
Solar savings over time in Denver
| Year | Return on Investment |
|---|---|
| 1 years | $-13,450 |
| 3 years | $-11,513 |
| 5 years | $-9,577 |
| 7 years | $-7,641 |
| 9 years | $-5,705 |
| 11 years | $-3,768 |
| 13 years | $-1,832 |
| 15 years | $104 |
| 17 years | $2,040 |
| 19 years | $3,976 |
| 21 years | $5,913 |
| 23 years | $7,849 |
| 25 years | $9,785 |
Top Solar Installers in Denver
Although you can install solar panels by yourself, it involves extra time and handiness. That's one of the reasons the majority of homeowners choose to hire a solar panel installer. Plus, if you’re not certain what type of solar panels and equipment you need, a solar installer can help you find the right equipment for you after a site survey and consultation.
There are a number of licensed solar professionals that can take care of your solar installation project. Here are our suggestions:
Best Solar Financing
Blue Raven Solar
- Industry-leading in-house financing
- Competitive pricing
- Excellent reputation
- Doesn't offer solar batteries
Best for Leasing
Sunrun
- Expansive service area
- Many financing options
- Some reported issues with customer service
- Some reported issues with door-to-door sales
Best Social Impact
Palmetto Solar
- Expansive service area
- Makes charitable contributions
- Certified B Corp
- No leases or PPAs
- Quality of installation may vary by location
See all of the solar companies in Denver
Factors that Affect Solar Panel Costs in Denver
The cost of installing a solar system in Denver can vary by more than $10,000 from home to home. Your actual cost is dependent on several factors. The largest one is your system size, and other factors include equipment choices, financing options and the solar installer you choose.
Solar Equipment
When it comes to estimating the cost of a solar panel system in Denver, one of the most important factors is the size of the system you need. Solar systems are sized by kilowatts (kW) and are largely based on your home’s energy consumption, which you can figure out by looking at past electricity bills. Your overall cost can increase by around $3,980 for each additional kilowatt you need.The brand and type of equipment you want for your solar system can increase or decrease the price quite significantly. If you prefer a trusted brand name like Tesla or SunPower, these are often more expensive than other brands. Efficiency also matters. Whether you’re opting for high efficiency because you have a small roof or just want maximum energy production, you can expect a higher equipment cost, but this can typically lead to greater savings over time. Plus, if you want add-ons like an electric vehicle charger or solar batteries, this will also increase the cost.
Solar Financing Terms
For some homeowners, paying for solar panels out of pocket can be difficult. Solar loans are provided by most installers in Denver, which can reduce, or in some cases completely eliminate, your upfront costs to make solar more affordable.However, the interest on solar loans also increases your total costs, so it’s crucial to consider that as well. You can always reduce the total you pay in interest and in some cases even your APR by making a larger down payment.
Solar Panel Installation Company
The solar company you pick will affect your total cost to adopt solar energy. Different companies will bill different amounts for the equipment and labor.The size of the company sometimes plays the most considerable role in the installation costs. Larger national companies, like SunPro and Sunrun, often have lower prices because of access to greater resources and bulk pricing. Smaller local companies might be more costly, but they generally have better customer service and more customization options, and the occasional sale or promotion can bring their pricing down to compete with bigger companies.
Solar Panel Cost Data by System Size
| System size | Cost per system watt | Solar system cost | 25-Year savings | Payback period |
|---|---|---|---|---|
| 6 kW | $4.14 | $17,385 | $12,559 | 14.5 years |
| 8 kW | $4.06 | $22,734 | $17,191 | 14.2 years |
| 10 kW | $3.98 | $27,860 | $22,046 | 14.0 years |
| 12 kW | $3.90 | $32,763 | $27,124 | 13.7 years |
| 14 kW | $3.82 | $37,444 | $32,424 | 13.4 years |
| 16 kW | $3.74 | $41,901 | $37,948 | 13.1 years |
| 18 kW | $3.66 | $46,136 | $43,694 | 12.8 years |
| 20 kW | $3.58 | $50,148 | $49,664 | 12.6 years |
How to Save on Solar Panels
There are a large number of companies available in Denver, and some homeowners feel overwhelmed considering their options. Selecting the right company for you can be tough, so here are some tips to help you decide:
- Installation Process: Get details from your solar installer about the installation process and what to expect, such as when the site survey will be done and how long it will take.
- Warranty: Warranties that provide coverage for defective panels and repairs over a long period of time such as 25 years are the gold standard in the business, and offering that kind of warranty is one sign of a good company.
- Solar Panel Brands: The brand of solar panel you want to get plays a role in which installer you should choose, since different companies offer different panels.
- Reputation: Your solar installer should have a good reputation as a company and have verifiable expertise in the field. A couple of ways to check this are to look for whether a company has technicians certified by the North American Board of Certified Energy Practitioners (NABCEP) and if it has good reviews from previous customers.
Best Solar Financing
Blue Raven Solar
- Industry-leading in-house financing
- Competitive pricing
- Excellent reputation
- Doesn't offer solar batteries
Best for Leasing
Sunrun
- Expansive service area
- Many financing options
- Some reported issues with customer service
- Some reported issues with door-to-door sales
Best Social Impact
Palmetto Solar
- Expansive service area
- Makes charitable contributions
- Certified B Corp
- No leases or PPAs
- Quality of installation may vary by location
EcoWatch's Denver, CO Solar Cost FAQs
What is the average cost of installing solar panels in Denver?
The average cost of solar panels in Denver is about $19,900 for a 5-kW system and $39,800 for a 10-kW system before the ITC, but the actual cost will depend on stuff such as the type of solar panels you want, what size system you need and how much energy you consume.
Should I lease or buy solar panels in Denver?
Leasing solar panels can be an option if you can’t afford to pay upfront or secure a solar loan, but since you don’t own the system, you can’t take advantage of many solar incentives. Also your home value won’t increase, so you’ll have less savings over time. If you can afford to buy a solar system upfront, then buying is the better option if you want the most bang for your buck from going solar.
Is it worth going solar in Denver?
Whether or not solar panels are worth it depends on a variety of factors like local electricity rates and how much direct sunlight your roof gets.
How long do solar panels last in Denver?
On average, the lifespan of solar panels is about 25 to 30 years. Some even last up to 50 years, but their efficiency goes down by about 0.8% each year. You can choose to replace them sooner if you want to maintain a higher amount of energy production.
Our goal is to reach as many people as we can with sensible solutions like solar energy. Our team of full-time local researchers collects solar price and installation data for every city in America then compiles it to create these digestible city guides. If you want to read our solar expert's opinion on the top solar companies featured here, follow this link.
Company research was conducted by Melissa Smith and Karsten Neumeister. Local data analysis was conducted by James Savino. See something we missed or could do better? Email the editor.