How Much Does a Solar Inverter Cost? [2025 Data]
The average U.S. homeowner spends $2,000 on a solar inverter, but costs range from $1,000 to $3,000 depending on the model and the number of inverters.
You won’t be able to use the electricity generated by your solar panels without a solar inverter. A solar inverter costs $2,000 on average, with prices ranging from $800 to $5,000—though the overall price is wrapped up in your solar panel installation. The size of your system, the type of inverter, and the efficiency rating affect your final cost.
A solar inverter makes up about 10% of the total cost of your solar energy system. Government credits and tax incentives can help reduce some of the overall costs. This guide can help you budget for your project and get your home running on solar power.
What Is a Solar Inverter?
Solar inverters, also known as solar power inverters, are a key component in almost all solar energy systems. When sunlight hits your panels, it’s converted into direct current (DC) electricity. Your home, however, uses alternating current (AC) electricity. The solar inverter converts DC power to AC power, so you can use the electricity from the panels inside your home.
Solar inverters don’t just work alongside your panels. The current can travel through different components before it reaches the inverter. For example, it can run from the solar panel to a charge controller (which conditions the electricity) to the inverter and into your home. Some solar battery systems have a built-in solar inverter.
Solar energy system installation gets extremely technical, so it’s best to consult a local solar panel installer before starting your project.
Solar Inverter Cost by Size
Your solar inverter has to be big enough to handle the wattage of your solar panels. As a general rule, choose an inverter that’s similar in size to the DC rating of your solar panels. For example, a 6-kilowatt solar energy system requires an inverter that’s around 6,000 watts.
You can expect to spend $0.15 to 0.24 per watt on a solar inverter, excluding installation costs. Smaller inverters for DIY systems cost less than $500, while large inverters can cost more than $3,000. Use a solar panel inverter size calculator to determine the right size for your system.
| Size of Solar Energy System (kW) | Average Cost of Inverters |
|---|---|
| 5 | $750–$1,200 |
| 6 | $900–$1,440 |
| 7 | $1,150–$1,680 |
| 8 | $1,200–$1,920 |
| 9 | $1,350–$2,160 |
| 10 | $1,500–$2,400 |
| 11 | $1,650–$2,640 |
| 12 | $1,800–$2,880 |
Types of Solar Inverters
There are three main types of solar inverters for your home. Each type has its own benefits, drawbacks, and price tag.
| Type of Solar Inverter | Number Required | Average Cost per Inverter |
|---|---|---|
| String Inverter | 1-3 | $800–$2,500 |
| Microinverter | 15–34 | $150–$350 |
| Hybrid Inverter | 1-3 | $1,000–$5,000 |
String Inverter
String inverters cost $800 to $2,500 on average. Most homes only require a single inverter, but you could need up to three if you have a larger-than-average residential solar energy system. String inverters work by connecting several solar panels, which send their electricity to a central point where the inverter converts the power.
String inverters are the most affordable option. Unfortunately, they have a short life span and can struggle if part of a solar panel dips into a shady area. Each string of panels is limited by the poorest performing panel, but you can help mitigate this issue by installing a power optimizer.
| Pros | Cons |
|---|---|
| Affordable | Less reliable |
| Easier to replace and maintain | Struggles in shady areas |
| Power optimizers can increase performance | Short warranty |
| Can work with a battery, depending on the model | Short life span |
Microinverter
Microinverters cost an average of $150 to $300 each, but you’ll need one for each solar panel in your system. They’re installed on the underside of each panel and immediately convert electricity as soon as it’s generated, helping increase efficiency by limiting energy loss.
Microinverters are popular because they perform well in areas with shade. In the event one microinverter fails, there are several more to keep your system running. You will, however, spend 15% to 25% more on microinverters than a single-string inverter. They can also be difficult to repair and replace.
| Pros | Cons |
|---|---|
| Better overall performance | Higher cost |
| The system still works if one inverter fails | Difficult to maintain |
| Easier to add extra panels | Challenging to replace |
| Longer warranty and life span | Doesn’t work well with batteries |
Hybrid Inverter
Hybrid inverters cost $1,000 to $5,000 on average, but most homes only need one unless they have a larger system. A hybrid inverter combines a solar inverter and a battery in a single unit. It doesn’t just convert your electricity from DC to AC electricity—it also stores the excess power, increasing efficiency and helping you avoid losses during power outages.
Hybrid inverters are a great solution for an off-grid solar energy system, but they also work well with grid-tiered systems. They can feed excess energy back into the power grid, and in turn, your power company might give you a credit on your utility bill.
| Pros | Cons |
|---|---|
| Increased efficiency | Higher cost |
| Prevents power loss during power outages | Struggles in shaded areas |
| Excess power storage can lead to utility bill credits | Might not work on complex roof layouts |
Solar Panel Contractor Costs
Since solar energy systems are priced by wattage, labor costs might also be quoted in watts. For the installation of the entire system, expect to spend around $0.50 per watt on labor. If you’re only installing the inverter, labor costs range from $200 to $500 in total.
Most solar panel contractors charge around $50 to $100 per hour. These contractors are highly specialized electricians who can handle the technical nature of the project.
Additional Cost Factors
Aside from the size of the system and type of inverter, a few different factors impact the overall cost of your solar inverter.
Efficiency
The more efficient the model, the more you’ll pay for a solar inverter. A good rule of thumb is to look for efficiency above 95%. The highest-efficiency models can achieve up to 99% peak efficiency but come with the highest price tag.
Off-Grid vs. Grid-Tied
There are two types of solar energy systems: a grid-tied system, which maintains a connection with your city’s electrical grid, or an off-grid system, which is completely removed from your city’s electrical grid. You’ll pay more for an off-grid system because it uses batteries to store electricity.
Power Optimizer
Power optimizers cost $50 to $200 per panel. You might want to install this device if your solar panels are connected to a central string inverter rather than separate microinverters. Power optimizers help regulate the voltage of each panel, increasing efficiency, energy production, and safety.
Warranties
Most solar inverters come with a warranty, but sometimes, you can pay for an extended warranty that guarantees extra coverage. The length of the warranty depends on the type of inverter. Most microinverters have warranties covering up to 25 years, while string inverters have warranties covering up to 10 years.
Solar Inverter Replacement vs. Repair
The average solar inverter lasts 10 to 20 years. They have about half the life span of solar panels because they have more electrical components that can wear down over time. If the warranty for your inverter has expired, minor repairs can save cash and extend the inverter’s life span.
A replacement runs $200 to $500 plus the cost of the inverter. You’ll want to replace your inverter if:
It’s failing and nearing the end of its expected life span
It has extensive damage
Repairs amount to more than 50% of the cost of a new inverter
Previous repairs failed
It’s important to repair or replace your inverter as soon as you notice problems. A damaged or overheating inverter can strain your battery system and other components, leading to even costlier repairs.
Ways to Save Money on Solar Inverter Installation
Solar energy systems are an investment, but there are some ways you can save on the cost of the job.
Government Credits and Tax Incentives
The U.S. Department of Energy reported that the Solar Investment Tax Credit, which passed as part of the Inflation Reduction Act in 2022, can help save thousands of dollars on the cost of a solar energy system. As part of the credit, you can write off 30% of the installation costs on your federal return (or more than $7,500 for the average system). The full federal credit is available until 2032.
Choose a String Inverter
Stringer inverters are more wallet-friendly than microinverters or hybrid inverters. You can save some money up front if you install this type.
Send Power Back to the Grid
Depending on your system, you may be able to send excess power back to the grid if you don’t store it in a battery. This can sometimes warrant energy bill credits or compensation from your local utility company, which helps offset some of the costs of installation. You can use the Utility Rate Database from OpenEI to estimate how much you can expect.
Does a Solar Energy System Increase Home Value?
Solar panels do increase the value of your home. According to a report from Zillow, homes with solar energy systems sold for about 4% more than average. The added value was around $9,275.
The average ROI for solar panel installation is not exceedingly high. You can expect a 35% return, but you’ll save between $650 and $1,500 per year on your energy bills. Eventually, your solar panel system could pay for itself.
How Angi Gets Its Cost Data
Home is the most important place on earth, which is why Angi has helped more than 150 million homeowners transform their houses into homes they adore. To help homeowners with their next project, Angi provides readers with the most accurate cost data and upholds strict editorial standards. We extensively research project costs to develop the pricing data you see, so you can make the best decisions for you and your home. We rely on reputable sources, including the U.S. Bureau of Labor Statistics, academic journals, market studies, and interviews with industry experts—all to ensure our prices reflect real-world projects.
Want to help us improve our cost data? Send us a recent project quote to costquotes@angi.com. Quotes and personal information will not be shared publicly.
Frequently Asked Questions
Most solar inverters last between 10 and 20 years, depending on the type. Microinverters have a longer life span. They can last 20 to 25 years, and many come with a 25-year warranty. String inverters last 10 to 15 years and come with a five- to 10-year warranty.
The cost to replace a solar inverter averages from $350 to $3,500 and depends on the type and number of inverters. Replacing a single microinverter costs less than replacing a string inverter. Expect to pay $200 to $500 for the labor, plus the cost of the inverter (or inverters).
Replacing a solar inverter is not a suitable DIY project for most homeowners. This job requires extensive knowledge of electrical codes and can be dangerous to perform on your own. DIY work can also void your solar inverter’s warranty and lead to expensive repairs. Instead, hire a licensed electrician who specializes in solar energy systems.
