How Much Do Solar Panels Cost in 2026? Prices by Size and State

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Three solar quotes are spread across the dining table. One says $19,000, one $26,000, one $34,000, all for “about the same” system on the same roof. The salesperson from the most expensive one called twice this week. Which number is normal? The answer is less mysterious than it looks once you compare quotes the way the pros do: in dollars per watt.

The short answer: solar panels cost about $2.60 per watt installed before incentives on EnergySage’s marketplace in 2026, or about $31,135 for its average 12 kW system. Berkeley Lab’s Tracking the Sun data put the median at $4.00 per watt for homes that installed in 2024. Most homes pay roughly $18,000 to $35,000, with no federal tax credit for buyers in 2026.

Below: cost by system size and by state, why the two big data sources differ, what drives the price, what a battery adds, the incentives left in 2026, cheaper ways to start and how to read a quote.

Solar panel cost in 2026: the two numbers to know

Source (date)	What it measures	Price per watt
EnergySage (page updated June 30, 2026; state data September 25, 2026)	Quotes from competing installers on its marketplace, before incentives	About $2.60 average
Berkeley Lab, Tracking the Sun 2025 data update (October 2025), 2024 installs	Prices reported for completed host-owned home systems, cash and loan, before incentives	$4.00 median; most between $3.00 and $5.20
Berkeley Lab, same data, by how it was paid	Cash purchase vs loan-financed	$3.50 cash vs $4.70 loan (medians)

Why they differ: EnergySage shows what shoppers are offered when several installers compete for the same job; Berkeley Lab covers roughly 95% of the US market, including homeowners who bought from the first company that knocked on the door, and loans with fees rolled into the price. Berkeley Lab also notes that the most common price for cash buyers in 2024 was well below the median, under $3 per watt. In plain words: $2.50 to $3.50 per watt is a competitive cash price in much of the country in 2026; well above $4 deserves questions.

Solar panel cost by system size

Bigger systems cost more in total but less per watt, because permits, design and the installer’s overhead are spread over more panels. EnergySage’s marketplace averages (before incentives, data updated September 25, 2026):

System size	Average per watt	Average total	Roughly fits a home using (our estimate*)
4 kW	$2.89	$11,560	4,400–6,400 kWh a year
6 kW	$2.68	$16,080	6,600–9,600 kWh
8 kW	$2.62	$20,960	8,800–12,800 kWh
10 kW	$2.58	$25,800	11,000–16,000 kWh
12 kW	$2.56	$30,720	13,200–19,200 kWh
15 kW	$2.47	$37,050	16,500–24,000 kWh

*kW × 1,100–1,600 kWh, EnergySage’s typical US range of yearly output per kW (low end in cloudier northern states, high end in the Southwest). The average US home used 10,791 kWh in 2022 (EIA). See how many solar panels do I need to size yours.

Solar panel cost by state

Prices and payback vary a lot by state, because labor, permitting, competition, sunshine and electricity rates all differ. Examples from EnergySage’s state pages (October 2026, before incentives):

State	Per watt	Average system	Average cost	EnergySage payback
California	$2.52	8.41 kW	$21,178	≈7.7 years
Massachusetts	$2.90	11.07 kW	$32,120	≈7.3 years
Texas	$2.25	12.99 kW	$29,250	≈12.9 years
Arizona	$2.27	13.42 kW	$30,499	≈13.2 years

Notice that the cheapest states per watt are not the fastest to pay back. Massachusetts and California have some of the highest electricity rates in the country (about 30 and 33 cents per kWh, January to July 2026, per the EIA), so each kWh of solar is worth twice as much as in Arizona or Texas (about 15 and 16 cents). Some states sit well above $3.50 per watt on EnergySage’s list. Berkeley Lab also finds wide state-to-state gaps and points to financing, market size, population density and permitting as reasons.

What drives the price of a solar system

• Soft costs, not panels. Berkeley Lab estimates that soft costs (sales, labor, permitting, interconnection, financing fees, profit) plus other hardware besides panels and inverters make up roughly 80% of the installed price of a home system. A 2021 lab study cited by EnergySage put the panels themselves at about 12% of the cost and sales and marketing at 18%.
• The installer. Berkeley Lab found median prices ranging from $2.70 to $6.50 per watt among the 100 largest residential installers in 2024, and nearly 20% of them had medians above $5 per watt.
• Financing. At the median, loan-financed systems were priced $1.20 per watt above cash systems in 2024, a gap Berkeley Lab says has grown since 2017, partly from dealer fees.
• Inverter type. EnergySage says microinverters cost a few thousand dollars more than a string inverter. They handle partial shade better and report each panel’s output.
• Your roof and panel. Steep, complex or tile roofs take more labor. An electrical panel upgrade, if needed, can add a few thousand dollars (EnergySage).
• System size. Larger systems cost less per watt, as the size table shows.

How much does solar with a battery cost?

Adding a battery raises the price a lot. Berkeley Lab found the median cash price of a home solar system paired with a battery was $1.70 per watt of solar higher than solar alone in 2024. On a 7.2 kW system, that’s about $12,200 more (our arithmetic). EnergySage’s 2026 average for an installed home battery is about $1,159 per kWh, or about $15,650 for a 13.5 kWh unit like a Tesla Powerwall 3. Most home batteries paired with solar in 2024 held 10 to 20 kWh, with a median of 13.5 kWh (Berkeley Lab). Our home battery backup cost guide breaks this down by brand.

Tax credits and incentives in 2026

• Federal credit for buyers: gone. The IRS says the 30% residential clean energy credit isn’t available for property placed in service after December 31, 2025, and the credit is claimed for the year a system is installed, not just purchased. If yours was installed in 2025, see the solar tax credit in 2026.
• Leases and PPAs: the solar company owns the system and can still claim a business credit, which EnergySage says may be passed on through lower payments. EnergySage shows lease or PPA payments starting around $173 a month in Massachusetts and $162–164 in Texas. Under the July 2025 law, that business credit for solar ends unless construction began by July 4, 2026, or the system is in service by the end of 2027.
• State, local and utility programs: rebates, performance payments, and sales or property tax exemptions still exist in some places. Search your ZIP code on DSIRE, then confirm with your state energy office and utility. Don’t count on any program until you see it in writing.

Cheaper ways to start with solar

Prices change often. The prices below are what we saw at the maker in October 2026; check the current price before you buy. Installer batteries are priced by quote.

• Renogy 100 W starter kit: one panel and a 30A PWM controller for a 12 V battery (sold separately); the kit’s listing says about 500 Wh a day on average. Good for a shed light, a gate opener or a trickle-charged RV battery.
• ECO-WORTHY 400 W kit: four panels and an MPPT controller; the listing says about 1.6 kWh a day on average. Add a battery and inverter for a cabin or workshop. Off-grid only.
• Jackery Solar Generator 1000 v2: a 1 kWh power station with a 200 W folding panel; keeps phones, lights and a router going through an outage, and needs no installation.
• EcoFlow STREAM Microinverter: plug-in solar for 120 V homes, panels sold separately. Only where your state or utility allows it; EcoFlow lists Utah, Maryland and Colorado. Never plug a panel into an outlet against your utility’s rules.
• Tesla Powerwall 3: if you’re getting rooftop quotes, ask for a price with and without a battery. Installed by Tesla or certified installers, with a permit.

We researched these from makers’ pages and listings; we didn’t test them. More choices in the best DIY solar panel kits, best portable solar panels and balcony solar guides.

How to read a solar quote

1. Divide the price by the system’s watts (DC). $25,000 for an 8 kW system is $3.13 per watt. Compare that with the EnergySage figure for your state.
2. Check the expected yearly kWh and divide by the kW: if it’s far above what PVWatts or EnergySage’s ratio suggests for your area, ask how they got it.
3. Ask what’s included: permits, inspection, utility interconnection, monitoring, any panel upgrade, roof repairs and removal later.
4. Compare warranties: panels, inverter and the installer’s workmanship, each in years.
5. For loans, ask the cash price. If the financed price is much higher, the difference is a fee.
6. Be wary of a quote that counts a federal tax credit for a purchased system in 2026. For buyers, it no longer exists.

Rooftop systems are installed by a licensed installer and electrician, with the permits your town requires, and switched on only after your utility approves the interconnection. Whether the price you’re quoted pays off is the subject of are solar panels worth it?; owning versus leasing is in buy vs lease solar panels. Start at our solar panels for home hub, learn the basics in solar energy explained, find local money in home energy rebates, or browse the solar energy category.

Solar panel cost: questions

How much do solar panels cost for a 2,000 square foot house?

Square footage matters less than electricity use. A home using the US average of about 10,800 kWh a year needs roughly 7 to 10 kW of panels, depending on sunshine. At EnergySage’s 2026 averages, that’s about $18,000 to $26,000 before incentives. Electric heat, a pool or an EV push it higher.

How much does a single solar panel cost?

Installed, think in system price: at about $2.60 per watt, the share for one 440 W panel is roughly $1,140, but most of that is labor, permits, wiring and the installer’s costs, not the panel. Bought on its own, a 100 W 12 V panel kit like Renogy’s starter kit is about $160 at the maker.

Is a $4 per watt solar quote too high?

It’s right at Berkeley Lab’s 2024 national median, but well above EnergySage’s 2026 marketplace average of about $2.60 and the $3.50 median for cash buyers. Unless the job is unusually complex, ask for an itemized quote and get two more bids before signing.

Have solar panel prices gone down?

Over the long run, a lot: Berkeley Lab says installed prices fell by $9–11 per watt over two decades, a 70–80% drop after inflation. Since 2014 they’ve fallen only about $0.10–0.20 per watt a year, and they were roughly flat from 2023 to 2024. The end of the federal credit raised the net price for buyers in 2026.

Is it cheaper to lease solar panels?

Cheaper upfront, usually $0 down, with monthly payments EnergySage shows starting around $162 to $173 in Texas and Massachusetts. Over 20 to 25 years, buying usually costs less in total. Leasing companies can still claim a business tax credit for now, so compare both offers side by side.