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With major federal incentives for clean energy upgrades ending, the solar panel industry has seen a dramatic shift over the past six months.
However, a report from the solar experts at EnergySage has revealed that, despite major market disruptions in late 2025, quoted prices remained relatively consistent until the close of the year.
EnergySage is a marketplace built to empower homeowners to switch to affordable, reliable, and clean energy solutions by offering free tools and connecting people with trusted resources and vetted installers.
Twice a year, EnergySage analyzes millions of transaction-level data points from homeowners shopping on its website. Using this data, EnergySage identifies trends in the wider solar industry and breaks down how and why homeowners are adopting domestic solar energy.
In a report from late February, EnergySage's data suggested that its marketplace model, which allows homeowners to compare installers and receive competitive prices for home solar systems, maintained competitive pricing despite market disruptions.
About 55% of quotes fell between $2.00 and $2.75 per watt, while 80% landed within the broader $1.75 to $3.00 range. Although there was a rush from homeowners to install before the tax credits ended in December 2025, the report noted "the overall price distribution held steady."
While the federal tax credit is gone, for now, home solar can still be a worthwhile investment with the potential to earn you over six figures in bill savings over the lifetime of the system. If you're interested in making the switch to clean solar energy, check out EnergySage's free tools for competitive quotes and quick solar estimates.
The report summarized that, despite overwhelming demand, the EnergySage marketplace helped solar prices remain relatively stable.
"Solar prices increased just 0.4% to $2.49/W in H2 2025," Emily Walker, EnergySage director of insights, explained. "These competitive prices demonstrate how marketplace transparency prevented price gouging even amid the year-end rush and soaring electricity rates."
Walker explained that without federal tax credits, installers who offer competitive pricing and adapt to the emerging trends are best positioned to grow in the new solar landscape. While federal incentives are gone, Walker explained that solar still has room to grow in the U.S.
"Rising electricity rates across much of the country continue to strengthen the case for energy independence even without federal incentives," Walker said.
To see how much solar panels can curb your rising energy costs and transform your home's energy, connect with EnergySage experts to save up to $10,000 on installation costs.
Although federal incentives are no longer available, you could be surprised by how many local solar discounts and rebates are offered by local governments and utilities.
EnergySage has a helpful mapping tool that shows details on all of the local incentives available, as well as the average cost of solar in your area. It can ensure you get the best price possible based on your home and budget.
Plus, if you want to protect your home from outages, save even more on energy bills, or even cut ties with the grid entirely, consider pairing solar with a home battery backup. Check out EnergySage's free battery resources to see what system could work for your home.
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