Solar Panel Cost In New York

Q: What is the average payback time for solar installations?

The solar panel payback period in NYC typically falls between 5 and 7 years , depending on system size, energy consumption, and incentives used. Once the system pays for itself, homeowners benefit from decades of free electricity, making solar a high-return investment.

As of 2025, the cost of solar panels typically starts at $20,000. Thanks to the federal 30% tax credit and NY State rebates, your final cost can be much lower, and long-term savings can exceed $100,000. But are solar panels really worth it? Yes, yes they are. We have some of the best prices for solar systems in New York, and you also get these benefits:

25-year warranty
Up to $100,000 in savings over time
$0 down financing options available
We handle all permits
Installation for homes, businesses & condos

Solar Panel Cost Savings

For us New Yorkers, we have generous amounts of New York State tax credits. Not only that, but with incentives and rebates you can reduce upfront costs massively while increasing your savings long term. While we will help you navigate through New York solar panel incentives, here are some to take note of:

Inflation Reduction Act (IRA): Qualified homeowners with home solar could be eligible for a tax credit of up to 30% depending on the cost of the solar system.
NY State Solar Energy System Equipment Tax Credit: The 25% state solar tax credit is available for home solar systems your purchased in New York. (Max. $5,000 state tax reduction)
NY-Sun Megawatt (MW) Block Program: You can benefit up to $1,000 for every kilowatt (kW) of solar power installed.

Solar Panels And Installation Cost Breakdown

Feature	Flexible Financing	One-Time Cash Payment
Estimated Cost	Starting from $20,000+ after incentives	Starting from $20,000+ after incentives
Initial Payment	$0 Down – No upfront cost	Pay in full at installation
Total Lifetime Savings	Up to $100,000 in energy savings	Up to $100,000 in energy savings
System Ownership	You own it from day one	You own it from day one
Solar Incentives	30% Federal Tax Credit, NYS & NYC Rebates, Property Tax Abatements	30% Federal Tax Credit, NYS & NYC Rebates, Property Tax Abatements
Warranty Coverage	25-Year Full System Protection	25-Year Full System Protection
Guaranteed Energy Production	Yes	Yes
Permits & Paperwork	We handle everything, zero hassle for you	We handle everything, zero hassle for you
Smart System Monitoring	24/7 real-time energy tracking	24/7 real-time energy tracking
Ideal For	Homeowners, Businesses, Multi-Unit Buildings	Homeowners, Businesses, Multi-Unit Buildings

Average Solar Panel Cost in New York (2025)

Prices vary based on system design, roof complexity, and equipment.

System Size	Avg. Price (Before Incentives)	Avg. Price After 30% Federal Tax Credit
5 kW	$20,000	$14,000
7 kW	$28,000	$19,600
10 kW	$40,000	$28,000

Factors Affecting Solar Panel Cost

There are several factors dependent on the average cost of solar panels in NY. From the shape of your roof to the size of the system and the quality of panels, everything is included. While these variables affect pricing, they also allow you to customize a solar system that maximizes your savings and qualifies for more incentives.

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How Panel Size Affects Cost

Panel size is a key factor in solar panel cost. Larger systems produce more power but require a bigger setup. The ideal system size depends on your energy needs, roof size, and property type. Our local solar panel installers work with all property types – homes, businesses, and condos – to match the right system to your consumption.

Home Solar Panel Consumption:

Most home solar systems range from 5kW to 10kW, depending on how much household energy you want to offset.

Condo Solar Panel Consumption:

Sizes are generally required to be shared or multi-unit, complicating installation a bit. Community solar programs and tax credits help bring down costs.

Business Solar Panel Consumption:

These are larger commercial systems of 50kW+, or more, requiring greater investment but offer much greater long-term savings and tax benefits for businesses.

How Solar Panel Model Affects Cost

Solar panel models plays a big role in cost, efficiency, and durability, especially regarding weather conditions. Higher-efficiency solar panels have a big advantage as they generate higher electricity from the sun. In turn they are also durable and sturdy. Other panel models can offset initial payments but degrade faster in the long run.

Efficiency & Performance: High-efficiency panels that we offer convert sunlight to electricity at 19-22%, while other panels reach a maximum of 15-17%, hence needing more panels to produce the same power.
Durability & Degradation: High-quality panels only lose around 0.3-0.5% of their efficiency every year. Even in 25 years, they are still able operate for more than 85-90% of their capacity.

How Roofs Affect Solar Panel Cost

Roof structure and condition of the roof can directly impact your installation costs. The construction isn’t always the best way for NYC residents with strict permitting and regulatory hurdles.

Complex roof conditions, like aging structures, obstructions, or overhanging trees, can limit panel placement and increase installation costs. Meanwhile, installing solar panels on flat roofs or shingled roofs allows for an easier installation process and reduces costs.

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FAQs

How can I reduce cost of installing solar panels?

Incentives such as the 30% Federal Solar Tax Credit, New York State Solar Tax Credit, NYC Property Tax Abatement, and NY-Sun Rebates can be used to your advantage in lowering solar panel installation costs in NYC. Other options that help to reduce upfront expenses include our $0 down financing program. Also investing in a system that is sized based on your energy usage ensures you are not overspending on unnecessary capacity.

Are solar panels worth the money in NYC?

Yes, solar panels are a smart investment in NYC. Due to high electricity rates and very generous incentives, both homeowners and businesses alike can realize up to $100,000 in long-term savings over the system’s lifespan. Moreover, net metering in New York will let you build credits for excess energy produced, further reducing your electricity bill. Most systems pay for themselves within 5-7 years, making solar a financially sound choice.

Does the cost include installation and equipments in New York?

Our solar quotes in NYC cover the full installation, including solar panels, inverters, mounting hardware, wiring, and labor. Additional costs may arise for roof modifications, electrical upgrades, or battery storage. A detailed breakdown ensures full transparency on what’s included.

Do I need a permit to install solar panels in New York City?

Yes, a permit is required to install solar panels in NYC to ensure compliance with building, electrical, and zoning codes. For more detailed information, visit the Department of Buildings Solar Panels page.

What is the maintenance cost of a solar panel system?

Solar panels do not require much maintenance because they have no moving parts. Their basic maintenance involves cleaning from time to time and checking the system for efficiency. Our panels come with a 25-year warranty, while inverters may need to be replaced after 10 to 15 years. Even with low maintenance, solar panels will continue generating savings beyond their installation date.

What is the average payback time for solar installations?

The solar panel payback period in NYC typically falls between 5 and 7 years, depending on system size, energy consumption, and incentives used. Once the system pays for itself, homeowners benefit from decades of free electricity, making solar a high-return investment.