How Much Do Solar Panels Cost In Denver?
March 31, 2021
If you’re a Denver homeowner, you couldn’t live in a more ideal place for going solar. That’s because Colorado is a leader in the renewable energy revolution. In fact, legislature in the Centennial State has committed to 100% carbon-free electricity by 2050.
Colorado stands as a beacon for green energy, and the rest of the country has seen the light. More homeowners than ever before are choosing to power their homes with energy from the sun, and it’s no wonder why. When you harness the power of the sun, you’re not only on your way to a future of clean, sustainable energy; you’re also protecting your home against spiking energy rates and drastically reducing your energy bills.
So how much does an actual solar panel system cost? The short answer is that there’s no one-size-fits-all number when it comes to determining the price of an installation for your home. Instead, the amount you’ll spend for a solar panel installation will depend on a few factors, including the price of electricity in your region, the size of your system, and how much energy you use.
However, we know that a ballpark estimate helps homeowners like you feel more financially prepared, and it’s important to know roughly what kind of cost you should expect. The average Denver solar owner will pay about $30,000 for a 9 kilowatt (kW) residential SunPower system — which doesn’t include the helpful tax credits and local rebates that we cover below.
That average cost covers all necessary parts, including:
- Solar panels
- Mounting equipment
- Conduit and other components
- Installation labor
- Project management, including HOA approvals, permitting, and inspections
And now for the best part: Because of the recent surge in US installations, the cost of going solar is now lower than ever. Plus, the forward-thinking state of Colorado is focused on a future of sustainability, which is why there are plenty of financial incentives for solar owners throughout the state, especially in Denver.
Want to find out how much you can save on your PV installation? Stay with us as we cover the full spectrum of solar incentives available at the federal, state, and local levels for your Denver home.
Financial Incentives for a Future of Solar
Cities and states across the US are eager to transition to a clean, sustainable energy supply. In order to encourage more homeowners to switch to solar power, governments and utility providers offer various solar tax breaks and incentives to help make it as affordable as possible, including:
- Local rebates. Cities and states offer various financial incentives such as rebates and credits to help drop the cost of solar — and they’re only available to the homeowners who live there.
- Federal rebates. The solar tax credit (ITC) allows homeowners to deduct 26 percent of the cost of a solar panel installation from their annual taxes.
- Manufacturer rebates. Thanks to the help of manufacturers, you may qualify for rebates that will help offset the cost of your installation.
- Promotions. Buy at the right time, and you can reduce your installation costs with the help of these limited-time-only financial incentives.
Saving Money with Local Incentives
Although the state of Colorado does not offer a state-sponsored tax credit for solar installations, there are various solar tax breaks and financial incentives to lower the cost of solar for Denver homeowners.
- Utility providers: The Xcel Energy Solar Rewards Program offers incentives between $0.005 and $0.0375 per kWh (depending on the size of the system), for a 20-year timespan, in exchange for energy credits produced by their system.
- Energy loans: Denver homeowners may qualify for low-interest loans on solar panel installations, thanks to Elevations Energy Loans.
- Net metering: A solar panel system can be a workhorse, often generating more electricity than a home needs on a monthly basis. Colorado pays solar owners for that unused energy when they contribute it to the power grid. The excess energy credit simply rolls over to the next month’s electric bill.
- Property tax exemption: Coloradoans are also entitled to a property tax exemption for solar power. As a result, homeowners can continue to save money, without burden, throughout the lifetime of their solar installation.
The Federal Tax Credit: A Significant Way to Save
The Solar Investment Tax Credit (ITC) takes the cake as one of the most significant incentives for installing solar. If you own your solar energy system, you’re eligible to claim the 26% investment tax credit for solar when you file your annual federal tax return. The credit will continue at this rate through 2023, ensuring that solar power is affordable to homeowners throughout the country.
How Manufacturer Rebates Can Help
Manufacturers of solar panels want to help make the switch as easy as possible for homeowners like you. For example, SunPower periodically offers rebates of up to $1,000 to help offset the cost of a residential solar installation. Contact us to see which manufacturer rebates you can take advantage when you’re ready to make the switch.
Saving Money with Promotions
Want to drop your solar panel costs even further? At Freedom Solar, we offer plenty of promotions throughout the year to help our customers save on their installations. Contact us to find out more about our current promotions.
Denver Solar Installers You Can Trust
From reducing your energy bills to eliminating dependence on dirty energy suppliers, there are tons of reasons why solar panels are worth it in Denver. And with so many financial incentives available, there’s never been a better time to make the switch.
If you’re ready to join the solar revolution, we’re here to help you get started. Our friendly team of solar experts will review your energy bill, evaluate your sunlight exposure, and estimate your incentives and costs so that you know exactly what to expect for your Denver home. Contact us today for a free consultation.