The cost of solar panels in Davis, CA (2025)

As of September 2025, the average solar panel system costs $2.50/W including installation in Davis, CA. For a 5 kW installation, this comes out to about $12,524 before incentives, though prices range from $10,645 to $14,403. The federal tax credit reduces this price by 30%, but only for systems installed by December 31, 2025. Starting January 1, 2026, this incentive disappears entirely—meaning you'll pay full price for solar installations.

Average price of a 5 kW solar panel installation in Davis, CA

You'll probably pay even less than what we show here. It doesn't include the federal ITC or Davis, CA state incentives, which can lower costs by thousands of dollars—at least until the end of 2025.

Your solar panel cost depends on your system's size

It may seem obvious but larger solar panel systems cost more money. We use cost per watt ($/W) so you can easily compare quotes, controlling for slight variations in system size.

While a 5 kW system will only cost you $12,524 in Davis, CA, doubling the system size effectively doubles the price, so you'll pay about twice that for a 10 kW system. The higher the price tag, though, the more you'll get back as a credit towards your federal tax bill—if you install before the December 31, 2025 deadline.

Average solar cost by system size in Davis, CA

If you can't shell out $12,524 in cash to pay for solar, don't sweat it. You can choose to finance your system with a loan instead. Some companies even offer $0-down loans so you can start saving on day one if your loan payments are less than your current electric bills. Just keep in mind that your long-term savings will be lower with a loan due to interest rates.

The numbers we're showing are averages. The price you'll pay for solar depends on many factors unique to you and your home:

If you're looking for solar companies in CA, here are some popular suggestions:

Solar is a major purchase, but you can get the price tag to come down a bit by being an educated shopper. Taking advantage of incentives and rebates and shopping around for quotes can bring down your cost of solar in Davis, CA.

Act now to secure the federal tax credit

As long as your federal tax bill is high enough, you can still take advantage of the 30% federal tax credit in Davis, CA—but only if you install your system by the end of 2025.

This incentive allows you to apply 30% of your solar installation and equipment costs toward your federal tax bill. If the amount exceeds your tax bill, you can roll over the remaining credit to the following year. However, starting January 1, 2026, this credit disappears entirely, meaning you'll pay the full price for your solar installation.

The urgency is real: President Trump’s megabill was enacted in July 2025, officially ending the residential solar tax credit nearly a decade ahead of its original schedule. For a 5 kW system costing $12,524, you'll save thousands of dollars with the tax credit—savings that won't be available for installations completed after December 31, 2025.

Luckily, many states also offer great local incentives and rebates that can further reduce your costs—so there may still be opportunities to save on solar after this year.

Get quotes from multiple installers

Comparing multiple solar quotes can save you money through competition and transparency. Each additional quote you receive for solar will help you find the right solar panel system at the right price.

This is where EnergySage can help. With funding from the Department of Energy’s SunShot Prize, EnergySage opened the country’s first (and now the largest) marketplace for home solar panel installations. We gather custom solar quotes from local installers on your behalf and put them in an easy-to-compare format. When you compare quotes for solar panels on the EnergySage Marketplace, you can expect to see prices up to 20% lower than if you work with a single solar company.

With the tax credit expiring, it's more important than ever to start the process early. Solar installations typically take 2-4 months from signing a contract to system activation, so don't wait until the last minute to begin the process.