Pondering the switch to solar power? You’re not alone. The buzz around solar energy is louder than ever, especially when it comes to the pocket-friendly city of Nashville, TN. Here’s where things stand on the financial side of installing those shiny panels atop your roof. With a staggering average ROI reported at 3800%, ignoring this renewable energy source could be like leaving money on the table. Let’s dive into the factors influencing solar panel installation cost in Nashville, TN.
Understanding Solar Panel Installation Cost in Nashville, TN
The average cost of installing solar panels in Tennessee is around $38,520 before any incentives or $26,964 after the federal tax credit. These numbers assume that you pay the typical per-watt cost of $3.21 in the area and need a 12 kW system, which most Tennesseeans need.
But your final cost may differ. There are quite a few factors that can have a sizable impact on the cost of a solar panel installation.
Factors Influencing Solar Panel Costs
One of the most significant factors to consider when it comes to the cost of adopting solar energy is the size of the solar system, which is measured in kilowatts (kW). The more energy your household uses, the larger your system will likely need to be. You can expect to pay around $3,580 per kilowatt in Nashville.
Solar Equipment and its Impact on Cost
The kind of solar equipment you choose can bring your price up or down by thousands or even tens of thousands of dollars. If you get the most efficient solar panel brands, you’ll end up paying more upfront than if you opted for the most affordable panels.
On the other hand, more efficient panels could save you more over time on your energy bills. Additionally, extra products, such as solar batteries, can bump up your total well above the Nashville average.
Role of Solar Financing Terms
Solar financing terms also play a role in your total costs. If you choose to finance your system with a solar loan, you’ll pay more over time because of interest. However, you could get a better interest rate by shopping around.
You’ll also be eligible for the federal tax credit if you opt for a solar loan, so you can start saving on taxes immediately.
Choosing the Best Solar Panel Companies in Nashville, TN
There are 141 solar companies in Tennessee, with 60 of these companies being installers or developers, according to the SEIA. Even though you have a lot of installer options, you should still try to get as many quotes as you can to make sure you get the best price possible.
National vs. Local Solar Companies: A Comparison
The differences in pricing among the solar installers in Tennessee can swing your installation costs up or down by thousands of dollars in some cases. We’ll include some relative pricing and additional information about what we believe are the best solar companies in Tennessee in the chart below to help you decide which options might be right for your solar project.
Top Rated Solar Installers in Nashville
- Nashville Solar Works: A local company with over a decade of experience, Nashville Solar Works offers competitive pricing and excellent customer service.
- LightWave Solar: With a focus on quality and efficiency, LightWave Solar is a top-rated installer in the Nashville area.
Evaluating Return on Investment (ROI) for Home Solar Panels
The average cost of solar panels in Tennessee is around $3.21 per watt. Most homeowners in the state need a 12 kilowatt (kW) system, which brings the typical solar panel installation cost to $38,520 before any incentives or $26,964 after the federal investment tax credit (ITC).
These are just average numbers, and it’s not uncommon for prices to fall between a sizable range, usually between $20,223 and $33,705 after the federal credit. In Tennessee, the size of your solar array plays a huge role in how much you’ll end up paying.
How Much Do Solar Panels Increase Home Values?
Solar panels can significantly increase your home’s value. According to a recent Zillow study, homes with solar panels sell for 4.1% more on average than comparable homes without solar across the U.S. For the median-valued home, that’s an extra $9,274.
Projected Lifetime Savings Over Time Based on Purchase Type
Larger solar installations will typically have a lower cost per watt, because the panels can be purchased at a ‘bulk price’. However, these larger solar systems will still have a higher total cost, because they are made up of more individual panels.
The federal investment tax credit (ITC) lowers that price by 30% of all your solar equipment and installation costs. This means you can save thousands on your solar system, but only if you buy your panels outright (either with cash or a solar loan).
Practical Steps for Installing Residential Solar Power Systems
Building permits: All municipalities in Tennessee require building permits to be filed for and pulled before any solar equipment can be installed. Building permits range in price based on where you live, but you can typically expect to pay between $100 and $450 for your permits.
The fee is usually paid by your installer but passed on to you as an additional line item on your solar quote and invoice.
Permit Checklist for Electrical Photovoltaic (PV) System
Interconnection fees: Interconnection is the term used to describe how your solar array gets connected to the electric grid, which gives you the ability to pull power from the grid or generate your own. Most systems in TN are grid-tied.
Your power company will require an interconnection application to be filed before your system can be connected. The application fee usually ranges from $25 to $150 and is based on your utility provider.
Understanding the Installation Process and Timeline
Solar batteries are usually a great renewable energy investment in areas without net energy metering, and they frequently pay for themselves and more. However, they do cost around $10,000 each, so they will bump up your installation prices in Tennessee.
We do still recommend opting for a solar battery if your electric company doesn’t offer net metering.
Solar Panel Installation Cost in Nashville FAQs:
Are solar panels worth it in Nashville?
Absolutely. With Nashville’s sunny days, solar panels can cut down your electric bills and boost home value.
How much does it cost to get solar panels in Tennessee?
In Tennessee, expect to shell out between $13k to $18k for a standard system after tax credits.
Is Tennessee a good place for solar panels?
Tennessee’s ample sunshine makes it prime real estate for harvesting the sun’s power efficiently.
How much would it cost to install solar panels for a US house of about 2000 sq ft?
The price tag hovers around $15k-$25k post-tax credit, depending on your choice of equipment and installer.
Conclusion
So there you have it—unraveling the true cost behind installing solar panels in Nashville isn’t as daunting as decoding rocket science or predicting next week’s weather down to a T. Making your home greener with some help from our sunny friend doesn’t just echo through Tennessee’s valleys—it resonates with cold hard cash savings over time. Get started today by filling out this form and finding contractors in Nashville, TN.
