State Cost Data

Solar Cost Per Watt by State

Q: What's a good price per watt for solar in 2026?

A competitive price is $2.50–$3.50/W for an owned residential system. Anything above $4.50/W is overpriced. Anything below $1.80/W is suspiciously cheap — usually indicates hidden dealer fees, budget equipment, or a quoted "after-incentives" price being misrepresented as gross cost. The federal 25D residential solar tax credit expired December 31, 2025, so don't let installers claim it on 2026 quotes.

Average solar installation cost per watt across all 50 states + DC. Updated for 2026. Click any state for a detailed cost breakdown by system size, payback period, and local incentives.

National Avg

$2.78/W

Cheapest State

$2.50/W

Arizona

Most Expensive

$3.25/W

Rhode Island

Range

$2.50–$3.25/W

0.75 spread

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All 50 States + DC

Click a state for cost-per-watt by system size, payback period, and local incentives.

State	Avg $/W	vs National	Sun Hrs/Day	8kW Cost	Payback (yrs)	Incentives
ArizonaAZ	$2.50	-0.28	5.2	$19,600	9.9	STATE TCPROP
TexasTX	$2.50	-0.28	5.4	$19,520	8.8	PROP
KansasKS	$2.51	-0.27	4.6	$19,680	11.3	PROP
KentuckyKY	$2.51	-0.27	4.7	$19,680	11.1	none
MissouriMO	$2.51	-0.27	4.6	$19,680	12.5	NEMPROP
TennesseeTN	$2.51	-0.27	4.9	$19,680	11.0	none
ArkansasAR	$2.60	-0.18	5.0	$20,400	11.3	none
FloridaFL	$2.60	-0.18	5.8	$20,320	9.2	NEMPROPSALES
IndianaIN	$2.60	-0.18	4.5	$20,320	9.9	PROP
LouisianaLA	$2.60	-0.18	5.5	$20,400	10.4	PROP
MississippiMS	$2.60	-0.18	5.4	$20,400	9.3	none
NebraskaNE	$2.60	-0.18	4.4	$20,320	13.5	NEM
NevadaNV	$2.60	-0.18	4.9	$20,320	12.1	PROP
North CarolinaNC	$2.60	-0.18	4.9	$20,320	10.9	NEMPROP
North DakotaND	$2.60	-0.18	3.8	$20,320	15.6	none
OklahomaOK	$2.60	-0.18	5.0	$20,400	12.1	PROP
South CarolinaSC	$2.60	-0.18	5.1	$20,320	9.8	STATE TCPROPSALES
South DakotaSD	$2.60	-0.18	4.1	$20,320	12.5	none
UtahUT	$2.60	-0.18	4.4	$20,320	14.2	PROP
West VirginiaWV	$2.60	-0.18	4.7	$20,320	10.2	none
IdahoID	$2.69	-0.09	4.1	$21,040	16.5	NEM
IowaIA	$2.69	-0.09	4.3	$21,040	13.8	NEMPROP
New MexicoNM	$2.69	-0.09	5.0	$21,040	11.9	NEMSTATE TCPROP
WyomingWY	$2.69	-0.09	4.3	$21,040	13.2	none
AlabamaAL	$2.70	-0.08	5.2	$21,200	9.7	none
GeorgiaGA	$2.70	-0.08	5.1	$21,120	10.4	none
MontanaMT	$2.78	+0.00	3.9	$21,760	15.1	NEM
WisconsinWI	$2.78	+0.00	4.2	$21,760	10.5	NEM
ColoradoCO	$2.80	+0.02	4.5	$22,000	12.0	NEMPROPSALES
MichiganMI	$2.80	+0.02	4.3	$21,920	9.2	PROP
OhioOH	$2.80	+0.02	4.5	$21,920	9.9	NEMPROP
PennsylvaniaPA	$2.80	+0.02	4.5	$22,000	9.0	NEM
VirginiaVA	$2.80	+0.02	4.7	$22,000	10.6	NEMPROP
MinnesotaMN	$2.88	+0.10	4.0	$22,560	13.2	NEMPROP
OregonOR	$2.88	+0.10	4.0	$22,560	13.8	NEMSTATE TCPROP
WashingtonWA	$2.88	+0.10	3.7	$22,560	16.2	NEMSALES
IllinoisIL	$2.90	+0.12	4.3	$22,720	8.8	NEMPROP
MarylandMD	$2.90	+0.12	4.6	$22,720	9.0	NEMSTATE TCPROP
New JerseyNJ	$2.95	+0.17	4.4	$23,120	9.0	NEMPROPSALES
DelawareDE	$2.97	+0.19	4.5	$23,280	10.6	NEMPROP
AlaskaAK	$3.00	+0.22	3.5	$23,520	9.5	NEM
CaliforniaCA	$3.05	+0.27	5.0	$23,920	5.7	PROP
MaineME	$3.06	+0.28	4.1	$24,000	8.1	NEMPROPSALES
VermontVT	$3.06	+0.28	4.0	$24,000	9.6	NEMPROP
ConnecticutCT	$3.10	+0.32	4.4	$24,320	8.0	NEMPROPSALES
HawaiiHI	$3.10	+0.32	6.0	$24,320	3.1	STATE TCPROP
MassachusettsMA	$3.10	+0.32	4.3	$24,320	7.8	NEMSTATE TCPROPSALES
New YorkNY	$3.10	+0.32	4.4	$24,320	7.4	NEMSTATE TCPROPSALES
New HampshireNH	$3.16	+0.38	4.2	$24,720	8.6	NEMPROP
District of ColumbiaDC	$3.20	+0.42	4.6	$25,120	8.6	NEMSTATE TCPROPSALES
Rhode IslandRI	$3.25	+0.47	4.3	$25,520	8.0	NEMPROPSALES

Cost Per Watt by Region

Northeast

$3.04/W avg

Range: $2.80–$3.25/W • 11 states

PA $2.80 MD $2.90 NJ $2.95 DE $2.97 ME $3.06 VT $3.06 CT $3.10 MA $3.10 NY $3.10 NH $3.16 RI $3.25

Southeast

$2.62/W avg

Range: $2.51–$2.80/W • 12 states

KY $2.51 TN $2.51 AR $2.60 FL $2.60 LA $2.60 MS $2.60 NC $2.60 SC $2.60 WV $2.60 AL $2.70 GA $2.70 VA $2.80

Midwest

$2.69/W avg

Range: $2.51–$2.90/W • 12 states

KS $2.51 MO $2.51 IN $2.60 ND $2.60 NE $2.60 SD $2.60 IA $2.69 WI $2.78 MI $2.80 OH $2.80 MN $2.88 IL $2.90

Southwest

$2.61/W avg

Range: $2.50–$2.80/W • 7 states

AZ $2.50 TX $2.50 NV $2.60 OK $2.60 UT $2.60 NM $2.69 CO $2.80

West

$2.92/W avg

Range: $2.69–$3.20/W • 9 states

ID $2.69 WY $2.69 MT $2.78 OR $2.88 WA $2.88 AK $3.00 CA $3.05 HI $3.10 DC $3.20

What Does "Cost Per Watt" Mean for Solar?

Solar cost per watt ($/W) is the standard metric for comparing solar installation prices. It's calculated by dividing the total installed cost of a solar system by its nameplate capacity in watts. For example, a $24,000 8kW (8,000 watt) system costs $3.00/W.

Cost per watt is the great equalizer — it lets you compare quotes for different system sizes on an apples-to-apples basis. A 10kW system at $30,000 ($3.00/W) is a better deal than a 7kW system at $23,100 ($3.30/W), assuming the equipment quality is similar.

What's Included in Cost Per Watt?

Solar panels — typically 30–40% of total cost
Inverter(s) — 10–15% (string) or 20–25% (microinverter/optimizer)
Racking & mounting — 5–10%
Wiring, conduit, electrical — 5–10%
Permitting & inspection — 5–10%
Installer labor — 15–20%
Installer overhead & profit — 15–25%

What's NOT Included?

Federal tax credit (claim separately on taxes)
State / local incentives (vary by location)
Tree removal, roof repairs, or panel upgrades (quoted separately)
Battery storage (typically $8,000–$15,000 additional)
EV charger installation ($1,000–$3,000 additional)

Note on panel pricing:All cost-per-watt figures above reflect AVL/DomCon-compliant panels. The 30% residential federal tax credit (Section 25D) expired December 31, 2025 — an owned residential system installed in 2026 receives $0 in federal credit regardless of panel choice. Non-compliant panels (Mission, JA, Canadian) are available from $0.37/W panel-only and additionally disqualify the Section 48E credit (lease/PPA/commercial) and IRA bonus credits.See current ITC status →

Frequently Asked Questions

What is the average cost per watt for solar panels in the US?

The national average cost per watt for residential solar in 2026 is $2.78/W before incentives. Costs range from $2.50/W in Arizona to $3.25/W in Rhode Island. A typical 8kW system costs approximately $22,227 before any incentives.

Why do solar costs vary by state?

Solar costs vary due to local labor rates, permitting fees, utility interconnection requirements, market competition, state incentives, and cost of living. States with mature solar markets (Arizona, California, Texas) tend to have lower costs due to installer competition. States with high permitting friction or low competition tend to be more expensive.

What's a good price per watt for solar in 2026?

A competitive price is $2.50–$3.50/W for an owned residential system. Anything above $4.50/W is overpriced. Anything below $1.80/W is suspiciously cheap — usually indicates hidden dealer fees, budget equipment, or a quoted "after-incentives" price being misrepresented as gross cost. The federal 25D residential solar tax credit expired December 31, 2025, so don't let installers claim it on 2026 quotes.

How can I get the lowest cost per watt on my solar installation?

Get at least 3 quotes from different installers. Compare cost per watt, not total price (different installers quote different system sizes). Avoid long loan terms — solar loan dealer fees can add 20–30% to the system cost. Consider local installers over national brands — they often have lower overhead. Use our Solar Quote Comparison Tool to normalize and verify every quote.

Does cost per watt include installation?

Yes — solar cost per watt typically includes the full installed cost: panels, inverter, racking, wiring, permits, labor, and interconnection. It does NOT include the federal tax credit, state incentives, or tree work / roof repairs. Always ask the installer to confirm what's included in their quoted $/W.

Related Tools

Quote Comparison Tool

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Solar ROI Calculator

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OBBBA Tax Credit Tracker

48E ITC construction-start deadline passed July 4, 2026.

Incentive Finder

Find federal, state, and local solar incentives.

State cost-per-watt averages derived from 256 ZIP code samples across all 50 states + DC. Production estimates use NREL PVWatts V8 (azimuth 180°, tilt 30°, array_type 1, module_type 1, losses 14%). The federal Section 25D residential solar tax credit expired December 31, 2025.