In addition to producing electric vehicles (EV), Tesla is a major solar panel installer in the U.S., offering services in all 50 states. Tesla stands out for offering affordable solar panel systems backed by a price match guarantee. If you want to add energy storage to your home solar system, the Tesla Powerwall is one of the most advanced home batteries on the market. Tesla also installs solar roofs with built-in photovoltaic (PV) solar cells, offering a more aesthetically pleasing alternative to traditional panels.
In this article, the This Old House team will provide an in-depth review of Tesla solar panels, including the company’s advantages and drawbacks. We also will review the main features of the company’s solar roof and the latest battery system, the Tesla Powerwall 3.
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Our Take on Tesla Solar
Tesla is a clean energy company that offers solar panels, home batteries, solar roofs, and EVs. The company also provides a mobile app that allows you to manage its various products as a single renewable energy system. While some Tesla products, such as its EVs and solar roofs, come with higher price tags, the company sells relatively affordable solar panel systems.
The cost of a Tesla solar installation varies by location, but prices range from around $2.30–$3.10 per watt, according to the company’s online quote tool. By comparison, the average cost of home solar systems in the U.S. is $3.33 per watt, according to the Solar Energy Industries Association (SEIA). The company also offers a price match guarantee if you can provide competing quotes of comparable quality—a unique benefit compared to other installers.
Although Tesla offers branded solar panels, it does not manufacture its own equipment directly, but rather relies on third-party suppliers. Tesla panels were manufactured by Panasonic until 2020, but the company now works with various suppliers, including Qcells. Regardless of the supplier or installer, Tesla covers its solar panels with a 25-year equipment and performance warranty.
We recommend Tesla if you’re looking for an affordable solar panel system with a long 25-year warranty. For homeowners seeking a backup battery system, the Tesla Powerwall 3 offers more storage capacity than many competing products, while providing backup power during blackouts.
What Services and Options Does Tesla Solar Offer?
Tesla has installed over 500,000 solar panel systems across the U.S. The company also offers multiple products and services that integrate with its solar systems, including:
- Tesla Powerwall batteries
- Tesla solar roofs
- Tesla mobile app
- EVs and charging stations
You can order a Tesla Powerwall 3 directly from the company website for $9,300, excluding taxes and installation services. If you choose this option, you must look for a battery installer in your area. With installation services and taxes included, the price of a Tesla Powerwall 3 increases to around $16,000. The Powerwall 3 provides a storage capacity of 13.5 kilowatt-hours (kWh) and a maximum power output of 11.5 kilowatts (kW). You can add up to three 13.5 kWh battery expansion packs, reaching a total storage capacity of up to 54 kWh.
The Tesla solar roof is an alternative for homeowners who dislike the appearance of traditional solar panels. This product uses solar shingles with built-in PV cells, which look nearly identical to conventional roof shingles. However, while Tesla solar panels usually cost less than $3 per watt, the solar roof ranges from $7–$15 per watt, depending on your roof size and design. A Tesla solar roof may make financial sense if you have an old roof that already needs replacing, but traditional solar panels usually offer a higher return on investment over time.
Tesla Solar Warranties
Tesla covers its solar panel systems with a 25-year product and performance warranty, and a 10-year workmanship warranty, which covers installation. Under the performance warranty, Tesla offers a guaranteed power output of 98% after one year of operation, and 85% after 25 years. The Tesla solar roof includes a 25-year product and workmanship warranty.
If you add a Tesla Powerwall 3 to your solar installation, the equipment receives a 10-year product and workmanship warranty. Tesla also guarantees that your Powerwall 3 will retain at least 70% of its initial capacity after 10 years. However, this benefit only applies if you use the battery for conventional applications, such as nighttime energy usage and backup power during blackouts.
Tesla Solar Cost
The average cost of a Tesla solar system ranges from around $2.30–$3.10 per watt, depending on your location. This price range applies for a stand-alone solar system without a Tesla Powerwall battery or EV charging station. Tesla solar systems are usually among the most affordable in the market, with solar prices below the U.S. average.
| Tesla | National Average | |
|---|---|---|
| Average system size | 8 kW | 8 kW |
| Price per watt | $2.30–$3.10 | $3.33 |
| Total system cost | $18,400–$24,800 | $26,640 |
| Cost after the federal tax credit* | $12,880–$17,360 | $18,648 |
*The federal tax credit is a nationwide incentive that allows you to claim 30% of your total solar system costs against your income tax burden.
Tesla Solar Payment and Financing Options
Tesla offers two payment options for its solar panel systems: a cash purchase and loans.
- Cash purchase: You pay the full price of your solar panel system. Your payment is due once the system has been inspected by the local authority.
- Loan financing: Tesla offers solar loans with a $0 down payment, subject to a credit check. However, the company does not disclose its interest rates on its website.
While Tesla previously offered solar leases and power purchase agreements (PPAs), the company discounted these options in 2021.
Solar Incentives and Rebates
Tesla solar panels and Powerwall 3 batteries qualify for the 30% federal solar tax credit, a nationwide incentive. Depending on your location Tesla products may qualify for additional incentives from state governments or utility companies. Here’s a list of the main types of solar and battery incentives you can find throughout the U.S.:
- Investment Tax Credit (ITC): You receive a federal tax credit that equals 30% of your total solar system and battery costs. However, if you select the Tesla solar roof, this credit only applies for components directly involved in solar power generation.
- State tax credits: Some states offer local tax credits for solar panels or batteries, which you can combine with the 30% federal tax credit.
- State tax exemptions: Certain states exempt solar panels and battery systems from local sales taxes, property taxes, or both.
- Solar and battery rebates: State governments and local utility companies may offer cash rebates for purchasing a solar panel system or home battery.
The federal tax credit is the only incentive that applies in all 50 U.S. states. However, additional tax credits and rebate programs vary by location. To search for state-specific solar and battery incentives, you can visit the Database of State Incentives for Renewables and Efficiency (DSIRE).
Comparing Tesla Solar to Other Top Providers
Tesla solar panel systems are typically more affordable than those from competing providers, backed by a price-match guarantee. Tesla’s 25-year product and performance warranty meets industry standards. However, Tesla only offers a 10-year workmanship warranty, while some installers offer 25 years worth of coverage. Compare Tesla against our team’s other top-rated solar companies using the chart below.
| Company | Star Rating (Out of 5) | BBB Rating* | Warranties |
|---|---|---|---|
F | 25-year equipment, 10-year workmanship | ||
A+ | 25-year equipment, 10-year workmanship | ||
NR | 25-year equipment and workmanship | ||
A+ | 25-year panels, 10-year workmanship | ||
A+ | 25-year panels, 10-year workmanship |
*BBB ratings are accurate as of February 2025. A rating of “NR” or “No Rating” indicates that a company is not currently accredited with the BBB.
One major advantage Tesla offers is having an online quoting and purchasing process, which allows you to view prices upfront and customize your system. In contrast, most solar installers don’t provide pricing details until you submit your contact information and request a customized offer.
Customer Reviews: Reddit, Trustpilot, and More
Most online reviews for Tesla focus on its EVs, with solar panel and battery reviews being less common. However, many Reddit users have shared posts about Tesla’s solar panel systems.
Positive reviews often praise Tesla for its affordable solar panel systems. Customers have also highlighted the company’s efficient quoting and sales process, which customers can complete online.
“I had a good experience with Tesla in the Bay Area. Although [the panels] took a bit longer to install so I missed the 30% federal rebate for that year, [Tesla] refunded me the 4% difference. We did make some changes to my panel placement mid-install without any hassle or extra upcharge. I also trust [Tesla will] be around supporting my system long term. Dealing with them through the same app I use for my car has been very convenient and fairly responsive.” —mmccki via Reddit
Negative reviews often mention Tesla’s customer service department, which reviewers have described as slow and inefficient. Tesla has also received complaints from customers who purchase a solar roof but experienced long waiting times for delivery and installation. However, many reviewers still seemed overall pleased with their solar system and the cost.
“Customer service is pretty bad, [but] they seem to be more reachable these days. They’ll deflect any issues by having you do some random tasks or just waiting a few days for whatever reason. But when the system does work, it works great and the price is very competitive. I got [the] final permits, system installed, system repaired, and permission to operate (PTO) all done in less than a month and it’s been running without issue for a couple months.” —rwrife via Reddit
Is Solar Worth It?
Solar panel systems offer multiple benefits for homeowners, especially when installed by an affordable provider such as Tesla. Here’s a list of the main benefits you can expect after installing a home solar system:
- Annual electricity savings: An 6 kW solar system, which represents an average residential size, can generate over 8,000 kWh of energy per year in a site with favorable sunshine conditions. At the national average electricity rate of 17 cents per kWh, this energy output can result in annual utility savings of $1,360.
- Tax incentives: Solar panels and battery systems qualify for the 30% federal tax credit. For example, if you purchase a Tesla solar system for $20,000 and a Powerwall 3 for $16,000, you could receive a combined incentive of $10,800. You may have access to additional incentives from your state government or utility company for more savings.
- Increased home value: According to the National Renewable Energy Laboratory (NREL), a solar panel system increases home value by around $20 for every $1 reduction in annual electricity bills. For example, a system that saves you $1,500 per year in power bills could increase your home value by an estimated $30,000.
- Reduced carbon footprint: Despite the recent growth of renewable sources, the U.S. still generates 60% of its electricity from fossil fuels. By installing solar panels, you can produce clean electricity and reduce your home’s dependence on fossil fuel energy.
Is Tesla a Good Choice for My Solar Installation?
We recommend Tesla if you’re looking for a traditional solar panel system for an affordable cost since the company offers some of the lowest prices in the market. Additionally, if you’re considering energy storage, the Tesla Powerwall 3 is a quality product with a high power output and storage capacity.
However, we generally don’t recommend the Tesla solar roof due to its high cost. While an 8 kW solar panel system from Tesla may cost between $18,400 and $24,800, a solar roof of the same capacity can exceed $60,000—or even more for homeowners with a large and complex roof. In this case, you end up paying 3–6 times more for a system that offers the same electricity output and annual savings.
FAQs About Tesla Solar Panels
Is a Tesla solar system worth it?
Deciding if a solar system is worth it is ultimately based on your home energy needs and budget. However, Tesla offers some of the most affordable solar panel systems in the market. Additionally, Tesla systems come with a 25-year equipment warranty and 10-year workmanship warranty, adding value if you experience equipment or installation issues.
Why is my Tesla solar bill so high?
Several factors can result in customers seeing a high monthly bill after installing a solar system with Tesla. For example, households using more power than their solar panels can produce must rely on grid power to cover any gaps, resulting in higher energy bills.
If you financed a solar panel system with a Powerwall battery, you may have a higher monthly loan payment because of the added equipment cost. A Powerwall can add $9,300 to your overall system cost. Increased monthly payments could also result from a high interest rate on your solar loan. In this case, we recommend contacting Tesla directly to review your financing terms.
What are the disadvantages of a Tesla solar roof?
The Tesla solar roof is considerably more expensive than a traditional solar panel system, leading to a much longer payback period. While a Tesla solar panel system costs $2.30–$3.10 per watt, a solar roof ranges from around $7–$15 per watt.
How We Evaluated Solar Companies
The This Old House team developed a scoring system to review and rank solar installation companies in the U.S., giving each company a rating out of 5 stars based on the following factors:
- Solar equipment and services: Solar companies earn points in our review for offering other products in addition to solar panels, such as home batteries and EV chargers. Companies also score more points for using in-house installers rather than third-party contractors, and providing additional services such as home energy audits and roofing.
- Warranty and performance guarantees: Companies receive higher scores for offering solar equipment with long warranty terms, such as 25 years for equipment and at least 10 years for workmanship. Companies earn additional points for offering warranties that cover other areas of solar installations, such as energy production and roof integrity.
- Brand reputation and professional certifications: We give installers more points for holding North American Board of Certified Energy Practitioners (NABCEP) certification, BBB accreditation, and positive online customer reviews. Companies facing active consumer lawsuits or customer alerts lost points.
- Financing options: Solar companies score higher in our review for offering four purchasing options: a cash purchase, solar loan, solar lease, and PPA. We also award additional points for installers with in-house financing, as opposed to using external partners.
- Industry experience: Solar companies with more years of experience earn higher scores in our review, with the benchmark set at 20 years in the industry.
- State availability: Companies earn more points for operating in multiple U.S. states.
