Are high efficiency solar panels worth it?
High-efficiency solar panels, those over 450 watts, are worth it when your roof space is limited. If you have plenty of unshaded roof, standard panels usually produce the same amount of electricity annually for less money, because most of your system cost is labor and permitting, not the panels themselves.
Installing more efficient panels over the same area will give you more energy production. But, these panels tend to come at a higher price. Is it worth it? It depends. Let’s talk about panel efficiency so you can decide what makes sense for you.
What does solar panel efficiency mean?
Efficiency is a measure of how good a solar panel is at converting sunlight to electricity. Solar panels collect sunlight to charge material in the panel. This creates an electric current that powers your home and your devices.
This output is measured in a unit called “watts (W).” More efficient panels will produce more watts of electricity. A typical solar panel is rated between 400–450 W.
What other factors should I consider?
The cost and efficiency of a panel is just one factor in the overall cost of your array. Other costs include labor, permitting, and overhead. These are called “soft costs” to differentiate them from the “hard costs” of the panels and related equipment, like racking and inverters. Typically, soft costs are higher than the cost of the hardware itself.
Should I buy high efficiency solar panels?
High-efficiency solar panels may make sense if you don’t have a lot of roof space. They allow you to maximize the area you do have. Put another way, the soft costs to install solar don’t vary that much based on how many panels you install. So, by investing in higher output panels, you’re able to maximize the value of your installation.
On the flip side, if you do have a lot of roof space, high-efficiency solar panels may not make sense. This is because most utilities limit how much electricity you can generate and still receive fair credit for the electricity you generate. Typically, you are limited to producing up to 100% of what you use. This means if you’re producing more, a chunk of your investment will go to waste.
Are solar panels getting more efficient?
Yes, solar panels are getting more efficient. In 2019, our group-buy participants used 310 W panels on average. In 2025, participants were using 440 W panels on average. This 30% increase in efficiency means that some homes that in the past were too small for a system can now host one. It also means that you can produce 30% more electricity with the same sized system. As panel efficiency is going up, the price for solar is going down. Most installers price systems as a price per watt. The average base price of our group-buy campaigns has dropped 21% between 2014 and 2026.
Where can I learn more?
If you have additional questions about panel efficiency, or any other aspect of going solar, download our Go Solar Guide.
Get the latest on solar straight to your inbox.
Fight for your solar rights.
Everyone has the right to go solar. Spread the sunshine nationwide and in your local community by taking action, joining events, and more.