Solar panel cost in Ann Arbor, MI (2026)
A typical Ann Arbor home needs about a 6.6 kW system (~17 panels), costing roughly $19,800 upfront. The 30% federal credit ended for purchases on Dec 31, 2025 (a lease/PPA can still pass it through). At 4.01 peak sun hours and Michigan's 18.8¢/kWh rate, it pays back in about 15.9 years and saves an estimated $22,659 over 25 years.
Estimate your savings in Ann Arbor
Preset to Ann Arbor's local sunlight. Adjust your monthly bill for a personalized estimate.
Compare real solar quotes in Ann Arbor
See actual prices from vetted local installers — including lease and PPA options that still capture the 30% credit in 2026. Free, no obligation.
| Annual electricity use | 7,660 kWh |
| Annual solar production | 7,611 kWh |
| Gross system cost | $19,500 |
| Federal tax credit (purchase) | Ended Dec 2025 |
| State / local incentives | — |
| 30% via lease/PPA instead | ~$5,850 value |
| CO₂ avoided per year | 2.7 tons (~45 trees) |
Estimates only — not a quote or financial advice. See our methodology.
What makes Ann Arbor different
Ann Arbor (population ~117,070) gets 4.01 peak sun hours per day — that's 5% less sunny than the Michigan average of 4.2. Slightly less local sunlight means panels produce a touch less than the state average, so sizing and orientation matter. Electricity rates, net metering, and incentives are set at the Michigan level: residents pay about 18.8¢/kWh, and distributed generation (inflow/outflow) tariff.
| City peak sun hours | 4.01 hrs/day |
| Recommended system size | 6.6 kW (~17 panels) |
| Installed price per watt | $3/W |
| Gross system cost | $19,800 |
| Federal tax credit (purchase) | Ended Dec 31, 2025 |
| State / local incentives | — |
| Net cash cost | $19,800 |
| 30% credit via lease/PPA | ~$5,940 value |
| Annual energy produced | 7,728 kWh |
| Estimated year-1 savings | $1,249 |
| Payback period | 15.9 years |
| 25-year net savings | $22,659 |
| CO₂ avoided per year | 2.7 tons (~45 trees) |
Compare with the Michigan state average (6.3 kW, $18,900 net, 15.1-yr payback). Modeled estimates, June 2026 — not a quote. See methodology.
Compare real solar quotes in Ann Arbor, MI
See actual prices from vetted local installers — including lease and PPA options that still capture the 30% credit in 2026. Free, no obligation.