How to Solar

Solar is one of the best investments a homeowner can make — but it is also one of the easiest to get wrong. The industry is full of high-pressure salespeople, predatory loan products, and companies that won’t be around to honor their warranties. This guide exists because we believe an educated homeowner makes a better decision. Take your time. Ask hard questions. And don’t let anyone rush you.


Step 1: Understand What You Actually Need

Before you talk to a single installer, spend 20 minutes on PVWatts.gov — a free tool from the National Renewable Energy Laboratory. Enter your address and it will estimate how much solar energy your roof can produce based on your location, roof pitch, and orientation.

Then pull 12 months of utility bills. You want to know your annual kWh consumption — not just last month’s bill. Most utilities print this on the bill or show it in your online account. Your goal is to size a system that offsets 80–100% of that number. Oversizing costs more and may be restricted by your utility; undersizing means you’re still paying a significant electric bill.

Rule of thumb for Texas: roughly 1 kW of solar produces about 1,400–1,500 kWh per year in Houston and 1,500–1,600 kWh per year in Dallas. A 10 kW system in Houston produces approximately 14,000–15,000 kWh annually.


Step 2: Know How Solar Actually Works

You don’t need to be an engineer, but understanding the basics helps you evaluate proposals and avoid being oversold.

  • Solar panels generate DC electricity from sunlight. More watts per panel means fewer panels on your roof for the same output.
  • Inverters convert DC power to AC power your home can use. A hybrid inverter (like Sol-Ark or Sigenergy) also manages battery storage. Microinverters (like APsystems or Hoymiles) convert at the panel level — better for shaded or complex roofs.
  • Batteries store excess solar production for use at night or during outages. They are optional but increasingly popular, especially in Texas after the 2021 grid events.
  • Net metering credits you for excess power sent to the grid. Texas net metering policies vary significantly by utility — ask specifically about your utility’s buyback rate before assuming you’ll offset your bill dollar-for-dollar.

Step 3: Choose the Right Installer — This Is the Most Important Decision You Will Make

The equipment on your roof will last 25+ years. The company that installs it may not. Choosing the wrong installer is the single biggest mistake homeowners make in solar.

Green flags — what a good installer looks like

  • Local, independently owned. A company with a physical office in your city has something to lose if they do poor work. They depend on local referrals and community reputation.
  • In business for 5+ years. Solar is a young industry and many companies have come and gone. Longevity matters.
  • Licensed electrical contractor. In Texas, solar installation involves electrical work that requires a licensed electrician or master electrician on staff. Ask for their TECL license number.
  • Verifiable reviews. Look for reviews on Google, not just their own website. Look for specifics — reviewers who mention the crew, the timeline, how issues were resolved.
  • Pulls permits. Every legitimate solar install requires building and electrical permits. If an installer offers to skip permits to save time or money, walk away.

Red flags — warning signs to take seriously

  • High-pressure sales tactics. “This price is only good today” is not how reputable companies operate. A good installer will give you a proposal and let you think about it.
  • Door-to-door salespeople. Most large national installers rely on door-to-door sales teams that work on commission. The salesperson’s incentive is to close the deal, not to design the right system for your home.
  • Vague about equipment brands. Ask exactly what panels, inverter, and mounting hardware will be used. If they can’t tell you or say “we use whatever’s best for your home” without specifics, that’s a problem.
  • Financing pushed before you’ve agreed on a system. Some companies lead with financing — specifically high-interest solar loans sold to third-party lenders. Read the full loan terms before signing anything. Dealer fees, prepayment penalties, and interest rates on these products can add 20–40% to the total cost of your system.
  • No local presence. If the company is headquartered in California or Arizona and has no physical office near you, ask who will service your system if something goes wrong three years from now.
A word on large national installers: In recent years, several of the largest solar installation companies in the country have filed for bankruptcy or abruptly shut down — leaving homeowners with unresolved warranty claims, roof damage, and no one to call. Freedom Forever, one of the largest national solar installers in the U.S., filed for bankruptcy in 2025. We have had customers walk into our Houston location with active problems — including roof leaks caused by the installation — with no recourse from the company that installed their system. This is not rare. It is an industry-wide pattern. A locally owned installer with deep roots in your community is not a guarantee, but it is meaningfully better protection than a national brand with a 1-800 number.

Step 4: Evaluate Equipment — Not All Solar Is the Same

Solar panel efficiency has improved dramatically in recent years. The most important specs to compare:

  • Panel wattage: Higher wattage panels (400W+) mean fewer panels for the same system size. Most residential installs today use 400–600W panels.
  • Panel technology: N-Type TOPCon panels (like Talesun, Thornova, and SEG Solar in our lineup) are the current standard for efficiency and long-term performance. They degrade less over time than older PERC panels.
  • FEOC compliance: The Inflation Reduction Act’s residential tax credit requires panels to be free of components from Foreign Entities of Concern to qualify for the full 30% credit. Ask your installer or distributor specifically whether the panels are FEOC-compliant.
  • Inverter warranty: Hybrid inverters from Sol-Ark and Sigenergy carry 10-year warranties. Microinverters from APsystems carry 25-year warranties. Ask what the warranty covers and who handles claims.
  • Mounting hardware certification: Racking should be UL 2703 listed. This matters for permits and ensures your roof attachment meets wind and snow load requirements.

Step 5: Understand Pricing — What’s Fair and What’s Not

Installed solar system costs in Texas currently range from roughly $2.50 to $3.50 per watt for a quality residential system. A 10 kW system should run $25,000–$35,000 before incentives. Adding battery storage adds $8,000–$20,000 depending on capacity.

If a quote is significantly below that range, ask why. It may mean lower-quality equipment, unlicensed labor, skipped permits, or a high-interest financing product baked into the price. If it’s significantly above that range, get competing bids.

Get at least three proposals from different installers. Ask each to specify exact equipment model numbers so you’re comparing apples to apples.


Step 6: Buying Equipment Directly vs. Through Your Installer

Most homeowners don’t know this is an option — but in many cases, you can purchase solar equipment directly from a distributor like Solwel and have your installer use it for your project.

Buying through your installer

The traditional path. Your installer sources equipment, marks it up (typically 15–40%), and includes it in the total project price. Simple, one-stop. The installer takes responsibility for equipment compatibility and warranty coordination.

Buying direct from Solwel

You purchase panels, inverter, batteries, and racking directly from us at distributor pricing, then provide the equipment to your installer for labor. This works best when:

  • You’ve already chosen your equipment and want to comparison shop on price
  • Your installer is open to owner-supplied material (most independent contractors are)
  • You want more control over what goes on your roof

The tradeoff: you own the equipment directly, so warranty claims go through you to the manufacturer rather than through your installer. For most major brands this is straightforward, but it’s worth understanding before you go that route.

Not sure which path is right for your project? Call us at (346) 432-4228 — we’re happy to walk through both options with no pressure.


Step 7: Claim Every Incentive — Done Correctly

Federal Investment Tax Credit (ITC) — 30%

The most valuable incentive available. You receive a tax credit equal to 30% of the total installed cost of your solar system — including panels, inverter, battery, labor, and permitting. This is a dollar-for-dollar reduction in your federal income tax liability, not a deduction.

Important: The ITC requires you to own your system. If you lease your solar or enter a Power Purchase Agreement (PPA), the installer or finance company claims the credit — not you. This is one of the most commonly misunderstood aspects of solar financing.

The 30% rate is set through 2032, then steps down. Consult a tax professional to confirm eligibility based on your specific situation.

Property Tax Exemption — Texas

Texas exempts the added value of a solar system from your property tax assessment. Your home’s value will likely increase with solar, but that increase won’t raise your property taxes.

Utility Rebates

Some Texas utilities offer rebates for solar and battery storage. CPS Energy (San Antonio) and Austin Energy have historically had programs. Most deregulated areas like Houston and Dallas do not have utility rebates — but always check with your specific utility before assuming.

PACE Financing

Property Assessed Clean Energy financing lets you finance solar through a lien on your property, repaid through your property tax bill. Available in some Texas counties. It transfers with the home if you sell — worth fully understanding before using.


We’re Here to Help — No Pressure, No Pitch

Solwel is a solar equipment distributor, not an installation company. We don’t make money by pushing you into a larger system or a financing product. We stock quality equipment from brands we’ve vetted, and we sell to homeowners and installers who want to do the job right.

If you’re early in the process and just have questions, call us. If you’ve already got proposals and want a second opinion on the equipment specs, call us. If you’re ready to buy, we have panels, inverters, batteries, and mounting hardware in stock at our Houston and Dallas/Irving locations and can ship anywhere in Texas.

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If Your Installer Goes Out of Business: How to Protect Yourself in Texas

KPRC 2 Houston recently covered a story that hits close to home for us — a Katy homeowner whose solar company vanished, leaving her unable to pay her bills and with no one to service her system. It is a situation we are hearing more and more often.

If you find yourself in this situation as a Texas resident, here are the steps to take:

1. File a Complaint with the Texas Attorney General

The Texas AG’s Consumer Protection Division investigates deceptive trade practices, including contractors who abandon customers or misrepresent their services. File online at texasattorneygeneral.gov. The more complaints filed against a company, the more likely the AG’s office is to take action.

2. Report to TDLR — Texas Department of Licensing and Regulation

Solar installers performing electrical work in Texas must hold a valid TECL (Texas Electrical Contractor License) through TDLR. If your installer was unlicensed or abandoned the job, file a complaint at tdlr.texas.gov/complaints. TDLR can revoke licenses and issue fines.

3. Dispute Charges with Your Lender

If you financed your system and it was never completed or is not functioning, contact your lender immediately. Under federal consumer protection law, you may have the right to dispute charges for services not rendered. Do this in writing and keep copies of everything.

4. File with the Better Business Bureau

A BBB complaint creates a public record that protects other homeowners from the same company. File at bbb.org/file-a-complaint.

5. Check if the Company Has Filed for Bankruptcy

Search the company name on PACER.uscourts.gov — the federal court’s public records system. If they have filed for bankruptcy, there will be an active case number and a trustee assigned. You can file a proof of claim in the bankruptcy proceedings to get in line as a creditor, which is often the only way to recover any money owed. Acting quickly matters — bankruptcy courts set deadlines for filing claims and missing that window means forfeiting your right to any recovery.

6. Document Everything

From day one, keep a paper trail: your contract, all emails and texts with the installer, photos of the installation at every stage, permit documents, and any warranty paperwork. If things go wrong, this documentation is what gives you standing to pursue a claim.

Our take: The best protection is choosing the right installer before you sign anything. But if you’re already in a difficult situation, don’t wait — file complaints with every agency listed above, contact your lender, and reach out to us. We work with vetted local installers in Houston and Dallas and may be able to connect you with someone who can assess your system and get it running properly.