How Much Do Solar Panels Cost in Austin?

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How Much Do Solar Panels Cost in Austin?

As the “Live Music Capital of the World” and a city consistently ranked as one of the best places to live in the United States, Austin, Texas, is used to receiving accolades. But it’s also well known for something else — its reputation as a solar energy leader. 

In fact, Austin was recently ranked as the number one city for municipal solar power available per person.The capital of Texas is clearly onto something here: harnessing the energy of the sun as a natural weapon against high utility bills and rising power costs.

So what can you expect to pay to install solar panels on your Austin home? The quick answer is that it depends. The cost of an installation takes several variables into account, including your location and personal energy use, the size of your system, and energy costs in your area. However, most Austinites can expect a cost of about $42,000 for an 8 kilowatt (kW) residential SunPower system — not including all the helpful tax credits and local rebates we cover below. 

That average cost covers every facet of an installation, including:

  • Solar panels
  • Mounting equipment
  • Inverters
  • Conduit and other components
  • Installation labor
  • Project management, including HOA approvals, permitting, and inspections
  • 25 year warranty covering system maintenance and repairs

And the best part is that, thanks to improved technology and a surge in manufacturing, the price of going solar continues to drop every year. Also, because Austin is such a green-minded city, there are plenty of local rebates, in addition to federal incentives, to help make going solar more affordable than ever. 

Ready to learn more? Here’s everything you need to know about why right now is the best time to go solar in Austin.

Financial Incentives to Help You Save

As a way to encourage more homeowners to switch to sustainable energy, utility providers and governments across the US offer various tax breaks and incentives to help make going solar as affordable as possible. We’re here to help you find and make the most of those offers, including:

  • Local rebates. Austin residents are eligible for both state and municipal incentives designed to drastically reduce the costs of a solar installation.
  • Federal rebates. The solar tax credit (ITC) allows homeowners to deduct 30% of the cost of installing a solar energy system from their federal taxes.
  • Manufacturer rebates. Discover which solar panel manufacturers offer rebates to help offset the cost of your installation.
  • Promotions. If you buy at the right time, you’ll be eligible for limited-time-only financial incentives.

Save Money with Local Rebates 

Austin residents who want to go solar are in luck. The capital of Texas is serious about solar-focused public policy, offering a ton of incentives to help its citizens go green.

  • Utility providers: Austin Energy offers a $2,500 post-installation rebate for customers who go solar. In order to receive the rebate, customers must take a training course and hire an Austin Energy-approved contractor.
  • Net metering: This utility billing mechanism pays solar owners for the excess electricity they contribute to the Austin energy grid. When your installation produces more energy than your actual needs, that excess power is sent to the grid. In return, Austin Energy pays you $0.097 for each kilowatt hour (kWh) of solar electricity you send to the grid, in the form of a net metering credit on your monthly bill. 
  • Utility scale energy storage + solar PV: Austin is home to two grid-scale energy storage systems. Thanks to the La Loma Community Solar Project, Austinites can use solar energy even if they don’t have their own installation at home. 
  • Property tax exemption: Unlike other states, Texas does not increase property values for homeowners after a solar panel installation. As a result of this exemption, Austin solar owners can continue to save money, without burden, throughout the lifetime of their installation.

Saving Money with Federal Rebates

If you’re considering making the switch to solar, don’t forget about one of the best incentives in the country. The federal tax credit (ITC) helps subsidize the purchase and installation of a solar panel system for homeowners throughout the US. If you own your solar energy system, you’re eligible to claim the 30% investment tax credit for solar when you file your federal tax return through 2032. The credit reduces to 26% in 2033 and 22% in 2034.

Saving Money with Manufacturer Rebates

Solar manufacturers want to make it easy for more homeowners to go solar. 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

At solar panel company Freedom Solar, we offer plenty of promotions throughout the year to help our customers save on their solar installations. Contact us to learn which promotions can help you save.

Welcome to a Lifetime of Savings

There are so many reasons why going solar is a smart choice. From drastically reducing your energy bills to eliminating dependence on dirty energy suppliers, going solar just seems like a no-brainer. And best of all, these solar financial incentives will help make your switch to green, sustainable energy simpler and more affordable than ever. 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 Austin home.

Looking to maintain, repair or upgrade your solar system in Austin? Our solar repair and maintenance service department can help you obtain maximum energy production and efficiency.

Contact us today for a free consultation.

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Willie Nelson for Freedom Solar

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