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Solar Panel Cost in Houston, TX (2026)

Real installed prices, CenterPoint credit rules, local rebates and how long a system takes to pay for itself in Houston.

Quick answer: A typical 6.5 kW system in Houston costs $18,200 before incentives, or $12,740 after the 30% federal tax credit and local rebates. Expect roughly 8.2 years to break even and about $1,547 a year in avoided electric bills. Installed cost runs about $2.45–$3.15 per watt here.

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Recommended size—
Gross cost—
Net cost after credits—
Yearly savings—
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25-year net savings—

Assumes a local rate of 14¢/kWh, 1700 kWh generated per installed kW per year, $2.8/W installed, the 30% federal credit and local rebates. Estimates only.

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Solar prices in Houston by system size

SystemGross costAfter 30% creditAfter local rebatesYearly outputYearly savingsPayback
4.5 kW$12,600$8,820$8,8207,650 kWh$1,0718.2 yrs
6.5 kW$18,200$12,740$12,74011,050 kWh$1,5478.2 yrs
9 kW$25,200$17,640$17,64015,300 kWh$2,1428.2 yrs
11 kW$30,800$21,560$21,56018,700 kWh$2,6188.2 yrs

Payback assumes limited or no credit for exported power. Sizing to your own usage is essential.

What makes Houston different

1. You can shop for your electricity supplier

Houston is in a deregulated market — the wires are run by CenterPoint, but you choose your own retail electricity provider. Your effective rate, and therefore your savings, depends on the plan you are on.

2. Compare your retail rate before you size a system

A cheap retail plan lowers savings; an expensive one raises them. Check your own bill rate against the local average before committing to a system size.

3. Little to no credit for exports

Exported power earns little or nothing in Houston. Every dollar of value comes from self-consumption, so size to your daytime usage rather than your annual total.

4. Heat cuts real output

Panels lose roughly 10–15% of nameplate output above 25°C, and Houston summers are hard on them. The 1700 kWh per kW figure on this page already reflects local conditions — a national-average calculator will overstate your output.

What affects your price in Houston

Solar cost in nearby cities

CityUtilityExport credit
Dallas, TXOncornone
Austin, TXAustin Energyvalue of solar
San Antonio, TXCPS Energyavoided cost
El Paso, TXEl Paso Electricavoided cost

Houston solar FAQ

How much do solar panels cost in Houston?

A 6.5 kW system — the most common size locally — costs about $18,200 installed before incentives, or $12,740 after the 30% federal tax credit and local rebates.

How long is the payback period in Houston?

Roughly 8.2 years for a properly sized system, based on local rates, 1700 kWh of production per installed kW, and current incentives.

Does CenterPoint offer a rebate?

Programs and funding change. Confirm the current CenterPoint incentive directly with the utility, and never accept an installer's rebate promise that isn't in writing.

Do I need a permit to install solar in Houston?

Yes. Houston requires an electrical and structural permit plus an inspection, and CenterPoint handles interconnection separately. A reputable installer files all of it — ask to see the permit number.

How much roof space does a system need?

A 6.5 kW array needs roughly 423–553 square feet of unshaded roof, depending on panel wattage and layout.

Is Houston a good place for solar?

The sun resource is strong at about 1700 kWh per installed kW per year, and local rates run near 14¢/kWh. The real variables are roof condition, shading and CenterPoint's export credit rules.

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Sources & method

Production modelled with NREL PVWatts. Utility rate from EIA retail-sales data. Incentive data from DSIRE and IRS guidance. Installed cost benchmarked to local market pricing. Last updated October 2026. Estimates only — not a quote.

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