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Solar Panels in Michigan: Cost, Companies & Installation Tips

Investing in solar panels in Michigan offers many benefits and few disadvantages. However, it’s critical to get a solid image before spending on modern roofing and power innovations. Despite Michigan’s bitter winters, the sun still rises and shines, and solar power has proved to be a wise option in the Great Lakes state.

This article will cover

  • Michigan Solar Panel System Installation Cost
  • What Additional Variables Influence the Cost of Residential Solar Panels
  • Incentives, Tax Credits, and Rebates for Michigan Solar Panels
  • Some Things Consider Before Installing Solar Panels in Michigan
  • Top 7  Solar Companies in Michigan

solar panels michigan

Michigan Solar Panel System Installation Cost

The typical pricing of solar panels in Michigan is $2.66 per watt. The pricing equates to an estimated 6000 watts or 6 kilowatts, a solar system running $11,797 right after collecting the new 26% federal solar tax rebate. It is less than the national average for home solar energy installations, costing almost $3.00 per watt.

solar panels in michigan
Solar installation costs do not include the Federal Investment Tax Credit or Michigan local incentives. (Data source: local solar companies)

A solar panel system’s size also affects the price of installation. Systems with a bigger capacity would generally have a cheaper value per watt since people may buy the panels wholesale. On the other hand, these more extensive solar systems will offer a higher overall cost due to the increased number of single panels.

The Michigan solar panel cost has been decreasing in the most recent years. Yet, the direct expenses can still be a significant difficulty. The good news is, the considerable costs are growing more and more to be practicable with rebates, tax credits, and many more.

What Additional Variables Influence the Cost of Residential Solar Panels

Solar expenses involve installation and equipment; they also include permits, inspections, and installer profitability.

These many features are what cause solar prices to vary across installations. Several variables influence the cost of solar energy system installation for particular houses, including the following:

The percentage of energy used by your house

Homes that consume a more significant amount of power would require extra solar panels to meet their power requirements. The more energy you consume, the more money solar panels may save on your electric bills.

The brand of solar panels you purchase

Solar panel prices differ according to the kind of solar panel you select. Home solar systems are as polycrystalline or monocrystalline. Monocrystalline is often more effective and costly, while polycrystalline panels are less efficient and more affordable.

Your solar installation’s quality

You may come across some solar quotations that appear to be too good to be true. When an installation quotes you an absurdly low fee, the installer may be utilizing substandard equipment or an untenable marketing strategy. You want to work with a solar installation that charges sufficiently to remain in business. After all, you’ll be depending on them for the next decades.

michigan solar

Incentives, Tax Credits, and Rebates for Michigan Solar Panels

Solar energy is growing in popularity in Michigan. Solar panels in Michigan have decreased by 43 percent throughout the past five years. Today, Michigan has approximately 83,000 solar-powered houses. Additionally, solar use is projected to grow substantially throughout the state in the future years.

Federal Solar Investment Tax Credit

When you decide to go solar in Michigan, the considerable influence on your cost will come from the federal solar investment tax. This bonus is called Investment Tax Credit (ITC). 

If you had your photovoltaic system in 2020, the federal tax credit is 26 percent of your solar panel system cost. That means you get a 26 percent discount on your total price, including equipment, labor, and permits.

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To understand well, imagine you spent $20,000 on your new solar energy system. The federal solar tax credit from your solar system cost is $5,200 ($20,000 x 26%). But, at the end of 2022, the federal tax credit will be lower to 22 percent.

Average solar panel cost in Michigan

System size

Avg system cost

Avg system cost
(after tax credit)

3 kW

$9,250

$5,846

4 kW

$11,980

$7,792

5 kW

$14,530

$9,731

6 kW

$18,530

$10,967

7 kW

$21,760

$13,639

8 kW

$24,760

$15,607

9 kW

$27,980

$17,879

10 kW

$31,050

$19,499

Michigan Solar Rebates

Michigan doesn’t have a granted state rebate for solar panel installation. But, manufacturers such as LG provides their solar rebates. 

You have to remember that these provisions are time-sensitive. As for LG, the company offers a $600 solar rebate to redeem around the following year. Your installer can assist you on how to save the refund on LG solar equipment.

Michigan Property Tax Exemption

It’s a roller coaster ride over the past decade when we discuss Michigan’s solar property tax exemption. For many years in solar installation, there’s a tax exemption but went away under former Governor Rick Snyder in 2013. 

Thanks to Gov. Gretchen Whitmer, who signed the bill to re-establish the property tax exemption for solar again in 2019. What does that mean? It means that taxing your home for property taxes will not include the tens of thousands of dollars value of your solar panels installed on your property.

Michigan Electricity Rates

One practical reason people opt for solar power in Michigan is its high price of electricity. Michigan is in the air of the national average at $0.14/kWh. That’s why it means a lot of savings for the residential PV system holder.

Two Michigan Financing Options For Solar PV System And Installation

You can apply for a Home Equity Line Of Credit (HELOC) as a low-interest loan for a solar PV system and its installation in Michigan. The advantage of this option is that you can get a tax credit because you are the system owner. 

The second option is to use a solar PV system from a third party. You have the option of choosing a Power Purchase Agreement or a solar lease. The tax credit on this option proceeds to the company leasing you the system.

Some Things Consider Before Installing Solar Panels in Michigan

michigan solar panels

There are many things you need to think about before you finally decide on the solar panel installation process. Here are some things you need to check if solar power in Michigan is the right option for you.

How Old Is Your Roof?

No doubt, it’s not the best idea to install solar panels if you have a damaged roof or it needs repairs. But, if you have already decided to install solar panels, then take care of your roof repairs first. 

Roof’s Shape

Be sure there’s enough space on your roof for the solar panel installation whether you live in Michigan or anywhere in the states. There’s a possibility that you won’t get the return on your investment that you expect if your roof doesn’t have enough room or solar panels.

The Direction Of The Slopes Of Your Roof

So your solar panels can produce the maximum amount of power, it needs a precise position on your roof. As professionals recommend, the boards face south or west. The information is crucial for you to resolve before the installation.

Can Your Roof Handle The Weight?

Have a professional assess your roof to verify if you need extra support to complete the installation. If the top couldn’t handle the increased weight of the solar panels, it’s hazardous for a lot of reasons. 

Where The Water Runs And Other Nature Disruptions

Inform the contractor of the concerns like if the water from rain can move in another direction or the proper drainage system. The contractors will show you a plan to demonstrate that the setting up will not affect the water overflow in any way. 

Consider if your insurance will cover severe weather conditions such as hurricanes, lightning storms, hails, and more. It’s because there’s a possibility of damage to your solar power equipment during these catastrophes.

Top 7  Solar Companies in Michigan

1. Michigan Solar Solutions

solar michigan

Michigan Solar Solutions delivers cost-effective installation services for their solar panels and products. The customers can get the best of their investment in this renewable energy. All the solar solutions are American-made and custom-designed for commercial or residential estates. What’s more, their products include a lengthened warranty.

Location: 50202 Dennis Ct, Wixom, MI 48393

Phone: 248-923-3456

 

 

2. Strawberry Solar

solar in michigan

Strawberry Solar takes back to the first principles in delivering the options to help you go solar for zero money down. This local solar company in Michigan has been serving the state since 2010 with its prominent expertise in solar design and installation. 

Location: 4444 2nd Ave, Detroit, MI 48201

Phone: 313-960-7900

 

 

3. Helios Solar LLC

solar energy michigan

A father and son built the company Helios Solar in 2009 intending to provide renewable energy within the means of the citizens of Kalamazoo to the rest of West Michigan. They are famous as one of the best solar installers with over 100 installations in Michigan by the owner-operated crew.

Location: 248 W Michigan Ave, Kalamazoo, MI 49007

Phone: 269-343-5560

 

 

4. Quality Solar

solar panel installation michigan

You can read many testimonies of Quality Solar immediately when you open their website. This company offers their clients peace of mind with their system monitoring and continuance check-up. What’s more, they also cater a full range of services to owners of prevailing systems. 

Location: 529 32nd St SE, Grand Rapids, MI 49548

Phone: 888-783-7194

 

 

5. Power Home Solar

solar power michigan

The company’s goal in building the business is to bring positive changes to the residence of Michigan. The designs of the first-rate and high-output Power home Solar panels can stop your high electric bills with their maximum energy efficiency.

Location: 4652 Danvers Dr SE, Grand Rapids, MI 49512

Phone: 616-213-0993

 

 

6. Solar King

solar panel installation michigan

Solar King offers an opportune turnkey resolution because the company goes beyond solar panel consultation, financing, design, and installation. It’s more than their commitment to providing renewable energy but their constant support to ensure the customers get the best of what they deserve.

Location: 4522 Racewood Dr., Commerce Charter Township, MI 48382

Phone: 313-820-4526

 

 

7. Hightec Solar Inc

home solar panels michigan

Hightec Solar claims they’re one of the only two manufacturers in the USA to take advantage of the innovative technology. This company also targets to present its customers with the best quality panels in the market.

Location: 1000 IN-212, Michigan City, IN 46360

Phone: 219-879-5501

 

Summary

The most distinguishing factor between owning solar panels in Michigan and any purchase is that PV energy spans 25-30 years. Solar panel system is a long-term benefit of saving high electric bills, plus you are saving mother Earth.

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