How to install solar panels in 2025

Week 1

Installing solar panels can offset or even eliminate your electric bill from your monthly expenses; the higher your electric bill, the more money you can save by going solar. To understand your current electricity usage, look for a measurement of your annual kilowatt hours (kWh) rating on your bill or your account page on your utility's website. 

It’s generally a good idea to undergo a home energy audit to uncover anything that makes your home less efficient before you size a solar panel system. The less energy your home needs, the less demand you put on the electric grid; switching to energy-efficient lighting and appliances or weatherizing your home may help reduce your electricity consumption. But, with the year-end deadline looming, this is a step that’s OK to skip to get your system installed this year.

Fast-track tip: Gather 12 months of electric bills now so you can provide accurate usage data to installers immediately when requesting quotes and skip the home energy audit if necessary.

A solar panel system has significant upfront costs, but it’ll pay off in the end when done right. To get the most out of your system, ensure your home can accommodate solar panels before installing them on your roof. 

Your roof's shading, orientation and angle towards the sun, and age contribute to its potential for generating solar energy. In a perfect world, your panels would face south and tilt between 15 and 40 degrees. You can still certainly have a productive solar panel system if your roof falls outside those parameters, but it's important to understand how your home’s specifications may impact a solar installation. 

Fast-track tip: Use online solar calculators to get a preliminary assessment of your roof's solar potential before contacting installers. This will help you assess quotes from the start.

Week 1

Incentives and rebates can substantially cut your overall costs to install solar. The 30% federal solar tax credit alone can save you thousands of dollars in the form of a tax credit, with state and local programs knocking the price down even more, depending on where you live.

However, the federal tax credit will expire in 2026. Solar costs about $29,000 nationally, which means this credit is worth approximately $9,000 in tax savings—money that won’t be available for installations completed after this year. 

Fast-track tip: Research state and local incentives early, as some have their own deadlines or limited funding that operates on a first-come, first-served basis.

Weeks 1-2

We generally recommend paying with cash for the best long-term savings, but that’s not feasible for everyone. Financing your system with a solar loan is the next best option: It allows you to start saving on your electric bills right away, pay for your system in manageable monthly installments, and most importantly, maintain ownership so you can take advantage of incentives. 

Solar leases and power purchase agreements (PPAs) also allow you to pay monthly, but we almost always recommend taking out a solar loan instead if you can. When you lease a system, the solar company owns it—meaning you won’t qualify for most incentives, resulting in lower savings. 

If you do choose to sign up for a solar lease or PPA, there isn’t as much urgency. Companies will still be able to claim the tax credit for solar panel systems placed in service by 2028 (though, again, that incentive won’t be passed directly to you). However, starting in 2026, they will have to meet certain supply chain requirements, which could drive up prices. 

Fast-track tip: Get pre-approved for solar financing immediately. This will allow you to move quickly when you find the right installer and system.

Weeks 1-2

Once you've identified your energy needs, your home's potential, and the incentives in your area, it's time to find a qualified professional to handle your installation. Comparing multiple quotes helps you weigh your options apples-to-apples and narrow down the installer who best fits your budget and timeline. 

With the tax credit deadline approaching, installer availability is becoming increasingly limited. When requesting quotes, ask specifically about:

• Current installation timelines and availability

• Whether they can commit to a December 2025 completion date

• Equipment availability and lead times

• Whether they offer virtual site visits to speed up the process

Fast-track tip: Choose an installer that can confidently meet the end-of-year timeline. But make sure to compare quotes so you don’t end up overpaying—this could negate your tax credit savings. 

Weeks 3-4

After you sign a solar contract, an engineer will visit your property to evaluate your home's electrical status and ensure everything is compatible with your incoming solar installation. During their visit, the engineer will assess the condition of your roof and your electrical panel (the gray box in your basement) to confirm that your home can support a solar panel system. 

An engineer will typically visit your home themselves, although sometimes installers take photos and measurements of the property and have the engineer sign off without doing an in-person visit. 

An engineer visit differs from a general site visit. Before any contract is signed, an installer will conduct a general site visit to evaluate your property and create your system design based on your roof type, roof angle, and shading. The engineer comes in after contracts are signed to confirm it’s safe to proceed with your installer’s plans.

Fast-track tip: Ask your installer if they offer virtual site visits—many installers can now assess your property remotely using satellite imagery and photos, potentially saving one or two weeks in the process. Or, ask if they can combine their engineer visit with their general site visit to save time. 

Weeks 5-7

Installing solar panels involves a lot of paperwork. Your installer should deal with most of this, but knowing what's happening behind the scenes is always helpful. This step can take a while, so choosing an installer experienced with your local permitting process can save valuable time. 

The main things to be aware of include:

• State and federal incentive application: You’ll need to apply for things like the federal solar tax credit and solar renewable energy certificates (SRECs). Your installer should be aware of the incentives you qualify for and help you file this paperwork. 

• Building permits: Local solar permits are specific to where you live; some states require a roof with three feet of clear space surrounding the solar panels, whereas others allow you to install panels across the entire surface of your roof. Your solar company should know the local restrictions and requirements and handle this paperwork.

• Solar loans or leases: If you use a solar loan or a lease, you'll need to work with your installer to complete this paperwork. 

The timing of this step depends on how long it takes your installer to fill out and submit everything. Don't be afraid to follow up with your solar company to check on the progress of your paperwork.

Fast-track tip: Have all your documentation ready (proof of homeownership, recent electric bills, photos of your electrical panel) and respond quickly to any requests from your installer.

Weeks 5-7

You’ll likely decide on equipment and costs before you sign a contract. Once you complete the necessary paperwork, your installer can order your equipment. With supply chain concerns and high demand, equipment availability is a critical factor in meeting the tax credit deadline.

The two primary components of a solar energy system are the solar panels and the inverters that convert energy from the panels into usable electricity for your home. Your installer will likely recommend a particular brand for each piece, but it’s always best to do your own research. 

Consider the following factors when evaluating your options: 

• Price: The average cost of solar is around $29,000 before incentives. 

• Durability: Your solar panel system should withstand your local weather and climate during its 25+ year lifetime. When comparing your solar panel options on EnergySage, refer to the “Resiliency” section to understand the elements (snow, wind, hail, fire, etc.) your panels are certified to combat.

• Efficiency: The more efficient your equipment is, the more electricity you’ll get from your solar panel system. Higher-efficiency solar panels tend to be more expensive. For reference, the most efficient solar panel on EnergySage has an efficiency rating of 22.8%. You can find a panel’s efficiency rating on its datasheet under “module efficiency”. 

• Warranty: Your solar panels should come with product and performance warranties that last around 25 years. Product warranties cover solar panel damage, and performance warranties guarantee a certain amount of solar production every year. A warranty should also cover your inverter for least 10-12 years. Most solar panel manufacturers post their warranty details on their websites. You can usually find the annual degradation rate (part of the performance warranty) included in a solar panel’s datasheet.

• Aesthetics: If you’re concerned with the look of a solar panel system, consider the design of your options. 

Fast-track tip: Ask your installer to confirm equipment availability before signing your contract. Consider being flexible with equipment choices if it means faster delivery. Some installers stock popular equipment, which can significantly reduce lead times.

Week 8

Solar panel installations usually take about one to three days to complete. 

Your specific timeline will depend on your system's size, the complexity of your roof, and whether or not you need to add a power meter for net metering.

Fast-track tip: Clear your driveway and remove any obstacles around your home's perimeter before installation day. Ensure easy access to your electrical panel and attic/basement areas. Having a clear workspace allows installers to work more efficiently.

Weeks 9-12

Before you can flip the switch and officially begin your home solar energy generation, your town and your utility need to approve your solar panel system. While EnergySage has been told by a tax attorney that interconnection likely isn't necessary to claim the tax credit this year, having your system operational by December 31, 2025 is your safest bet.

A representative from your local government will inspect your solar panel system. They’re there to check your installer’s work and confirm the system meets the local standards and electrical codes. Following this local inspection, your system will be ready to connect to the utility grid.

Next, a representative from your utility company will conduct a final evaluation of the solar panel system. If there are no glaring issues, your panels will go live when they give the okay. It typically takes two weeks to a month for your system to receive approval and officially go live. But, with high demand expected before the tax credit expires, utilities may experience delays. 

Fast-track tip: Ask your installer about their relationship with your local utility and whether they can help expedite the interconnection process. Some installers have dedicated utility liaisons who can help move things along.