Typical home: Worth it

Solar in South Valley, NM

With Public Service Co of NM's electricity at about 16.9¢ per kWh and 1,762 kWh of sun per kW, solar is worth it for a typical South Valley home today: about a 11.6-year payback.

Payback, typical home
11.6 yrsNew Mexico: 12.9 yrs
25-year net
$16,891after paying $12,620
Sun
1,762kWh per kW per year
Electricity
16.9¢6% below U.S. average

A typical South Valley home, by the numbers

UtilityPublic Service Co of NM
Electricity use555 kWh a month
Best-value system3.8 kW, about 9 panels, 6,694 kWh a year (101% of use)
Cost$12,620
First-year savings$1,097
Payback11.6 years
Exported powerFull retail net metering (Public Service Co of NM)

Cash purchase, no federal credit, 1.8% yearly rate increases. Run it with your own numbers.

Solar production per kW in South Valley

kWh per kW each month, south-facing at 20° tilt. PVWatts v8 with local typical-year weather.

Show as a table
PeriodValue
Jan122
Feb124
Mar157
Apr164
May180
Jun172
Jul163
Aug159
Sep142
Oct144
Nov122
Dec112

Homes in South Valley

Owner-occupied homes
74%
Single-family detached
74%
Median home value
$224k
Median year built
1970
Population
37,120
Solar installs, last 3 years*
1
Roofs suitable for solar†
86%

Census ACS 2020–2024. *Installations in public records for this area's ZIP codes. †Share of 15,014 buildings Google Project Sunroof rated technically suitable (2019 snapshot).

Older housing stock. Many homes here were built before 1975. Have the roof and electrical panel checked before signing; a roof or panel upgrade can add thousands. Roof first?

Installers working in South Valley

Companies with the most installations in South Valley's ZIP codes over the last 3 years, from public records. We don't take payment for placement.

  1. Positive Energy 1 installs

Always verify the license and get at least three quotes. Compare quotes side by side.

Questions about solar in South Valley

Is solar worth it in South Valley, NM?

For a typical home in South Valley, solar is worth it at 2026 prices: a 3.8 kW system costs about $12,620 after state incentives, saves about $1,097 in year one and pays back in about 11.6 years. Enter your address for an estimate based on your roof and bill.

How much solar power does a system produce in South Valley?

About 1,762 kWh per year for each kW of panels on a south-facing roof, based on PVWatts and local weather. That's 1% less than the New Mexico average. East- or west-facing roofs produce roughly 10–20% less.

Who is the electric utility in South Valley?

Most homes in South Valley are served by Public Service Co of NM, at about 16.9¢ per kWh on average. Some areas are served by Continental Divide El Cooperative.

How much do solar panels cost in South Valley?

A fair cash price is around $2.90 per watt before incentives, so about $12,620 for a 3.8 kW system. There's no federal tax credit for homeowners who buy in 2026.

Nearby

Data: PVWatts (National Laboratory of the Rockies), EIA-861 2025 adjusted to 2026, U.S. Census ACS, LBNL Tracking the Sun, state policy research as of October 2026.