Solar Panel Cost in Massachusetts (2026): Price, Payback, Incentives

Q: How much do solar panels cost in Massachusetts?

At the state median installed price of $3.40 per watt (estimate), a 5.3 kW (estimate) system that covers a typical home's use costs about $18,000 (estimate) before incentives. Quotes vary with roof, equipment and installer.

Solar Panel Cost in Massachusetts

A typical Massachusetts home uses 570 kWh a month^[1] of electricity. Covering that with solar takes a system of about 5.3 kW est.^[1,2], which costs roughly $15,500 to $20,500 est.^[1,2,3] before incentives at the state's median installed price. With Massachusetts's average residential price of 30.19¢ per kWh^[4], our model puts payback at about 8 years est.^[1,2,3,4,5]. Your quote, roof and utility plan will move these numbers, so treat them as a starting point.

Massachusetts solar at a glance

Average electricity price30.19¢/kWh^[4]Jan–Aug 2026 average (preliminary)

Average home use570 kWh/mo^[1]2024 average

Solar output per kW1,302 kWh/yr^[2]PVWatts estimate for Boston

Median installed price$3.40/W^[3]Estimate, before incentives

Typical system5.3 kWSized to cover 100% of use

Typical price$18,000Estimate, before incentives

Year-1 savings$2,070Estimate

Payback8 yearsEstimate, cash purchase

Estimates use the inputs above and the assumptions in our methodology: Massachusetts net metering: exports credited at the retail rate (statewide rule; your utility's tariff may differ). Prices rise 2.5% a year; panels lose 0.5% a year.

Solar cost in Massachusetts by system size

Same assumptions as the typical home above; only the system size changes. Prices are the state median before incentives and include the incentives our calculator applies by default in Massachusetts.

Estimated cost, output and payback by system size in Massachusetts
System	Price before incentives^[3]	After incentives	kWh in year 1^[2]	Year-1 savings^[4]^[5]	Payback (years)
4 kW	$13,600	$12,600	5,210	$1,570	8
6 kW	$20,400	$19,400	7,810	$2,070	9
8 kW	$27,200	$26,200	10,420	$2,070	11
10 kW	$34,000	$33,000	13,020	$2,070	14
12 kW	$40,800	$39,800	15,620	$2,070	16

Incentives that lower the price in Massachusetts

Federal · tax creditEnding soon

Business credit for leased and PPA systems (48E)

Claimed by the system owner, not the homeowner; solar must begin construction by July 4, 2026 or be in service by December 31, 2027^[6]

If a company owns the panels on your roof (a lease or power purchase agreement), that company may claim the business clean electricity investment credit and can reflect it in your price. You cannot claim it yourself.

Who: Third-party-owned systems (leases and PPAs). Ask the provider whether the price assumes this credit.
Deadline: December 31, 2027
Checked: November 5, 2026

State · tax creditAvailable

Residential Renewable Energy Income Tax Credit

15% of net cost, up to $1,000^[7]

Homeowners and tenants installing solar or wind energy equipment at their Massachusetts residence (M.G.L. c. 62, s. 6(d)).

Who: Homeowners and tenants installing solar or wind energy equipment at their Massachusetts residence (M.G.L. c. 62, s. 6(d)).
Maximum: $1,000
Deadline: None set in the source
Checked: November 5, 2026

State · tax exemptionAvailable

Sales Tax Exemption for Residential Solar Equipment

Exempt from 6.25% state sales and use tax^[8]

Solar, wind or heat pump equipment used as a primary or auxiliary energy source in a principal residence (M.G.L. c. 64H, s. 6(dd)).

Who: Solar, wind or heat pump equipment used as a primary or auxiliary energy source in a principal residence (M.G.L. c. 64H, s. 6(dd)).
Deadline: None set in the source
Checked: November 5, 2026

All Massachusetts incentives, including utility and local programs →

How Massachusetts utilities credit your solar

Investor-owned distribution utilities must offer net metering under G.L. c. 164 s. 138-140 and 220 CMR 18.00; residential rooftop solar is typically a Class I facility (60 kW or less), and systems of 25 kW or less are exempt from the net metering cap. When generation exceeds use, the customer gets a net metering credit on the bill based on the utility's per-kWh charges (near-retail for small systems), which rolls over.^[5]

We have not added every Massachusetts utility yet, so the estimates on this page use the state-level rule: Massachusetts net metering: exports credited at the retail rate (statewide rule; your utility's tariff may differ).

Full Massachusetts net metering and export-credit rules →

Next steps

Run the solar calculator with Massachusetts defaults and your own bill.
Massachusetts solar incentives
Massachusetts net metering and export credits
How to vet installers in Massachusetts
Spot solar sales red flags and compare financing before you sign.

Frequently asked questions

How much do solar panels cost in Massachusetts?

At the state median installed price of $3.40 per watt est.^[3], a 5.3 kW est.^[1,2] system that covers a typical home's use costs about $18,000 est.^[1,2,3] before incentives. Quotes vary with roof, equipment and installer.

How long does solar take to pay for itself in Massachusetts?

For a cash purchase at the state's average electricity price of 30.19¢ per kWh^[4], our model estimates about 8 years est.^[1,2,3,4,5]. Your utility's export credit and rate plan matter a lot; see the export-credit table above.

Is there still a federal solar tax credit?

Not for homeowners who buy. The Federal Residential Clean Energy Credit (25D)^[9] does not apply to systems whose installation is completed after December 31, 2025. Leased and PPA systems are different: the company that owns the system may still claim a business credit.