The importance of this study is to make use of the solar radiation to generate electricity and heat-up water simultaneously. The problem with PV cells is that its efficiency is lowered when its temperature is higher. Taking the excess thermal energy to heat water raises the efficiency of the hybrid PV/T system. Using hybrid PV/T system is a very promising alternative for home applications where the system can be used for producing electricity, desalinated water and domestic hot water in one device, which may be called sometimes “the energy center” of the home. . A hybrid PV/T system integrates photovoltaic and solar technologies into one single solar energy device, with dual generation of electricity and heat. Such combined systems usually take less space, and utilize energy more efficiently. PV technology is currently highly promoted, however, its disadvantage lies in the low conversion efficiency and the high price of the PV cells, resulting in high payback periods. However, nowadays the prices of PV cells are continuously decreasing and they are about 1$/Wp.