solar panel calculation – small home

Summary: Solar panels for a small home needs to get down to a $4,500 to $7,000 price point for it to make economic sense for home owners — a 7 to 10 year break even.  It may get to that price point eventually due to demand, decrease in prices of solar panels, improvements in technology (like solar roof shingles), group/community price breaks, and continued tax breaks and rebates.

Details: For 2 to 3kWh systems, current price point is estimated to be about $20,000 for installation.  With State rebates and Federal Income Tax credits totaling $5,000 to 6,000 you're looking at $14,000 – $15,000 for the system.  You're getting about 300 to 450 kWh a month.  If you are currently using 400 kWh a month, that's about $50 a month or $600 a year.  This means your break even point is about 25 years.  This doesn't include the home value appreciation due to your solar panel investment.

We average 325kWh a month, about $35/month.  Other info:

Borrego Solar seems like a good company.  I've seen Solar City around the area as well.

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