SELLING A HOME WITH SOLAR
A solar agreement that seemed straightforward when you signed it can become a significant obstacle when you try to sell or refinance your home.
Homeowners are sometimes told that solar will increase their home's value and make it easier to sell. The reality can be very different — particularly when the solar system is financed through a loan, lease, or PPA that must be addressed at closing.
COMMON CHALLENGES
Buyers Who Won't Assume the Agreement
Many buyers are unwilling to take on a solar lease or PPA — particularly if the payments are high, the term is long, or the system is underperforming. This can significantly reduce your pool of potential buyers.
Loan Payoff Requirements
If your solar system is financed through a loan, you may be required to pay off the remaining balance at closing. Depending on the loan amount and your home's equity, this can be a significant financial burden.
UCC Filings on Title
UCC filings related to your solar system will appear on a title search and must typically be resolved before closing. This can delay your sale or require additional negotiations.
Reduced Home Value
Contrary to what some salespeople claim, solar systems with long-term financing obligations can actually reduce a home's marketability — particularly in markets where buyers are unfamiliar with solar agreements or unwilling to assume them.
Lender Approval Requirements
Some mortgage lenders require that solar agreements be addressed before approving a loan for the buyer. This can add complexity and delay to the closing process.
Misrepresentations About Transferability
Some homeowners were told that their solar agreement would easily transfer to a new buyer — or that it would increase their home's value. If those representations were inaccurate, that may be relevant to your review.
HOW WE CAN HELP
If you're trying to sell or refinance your home and your solar agreement is creating complications, we can review your situation and help you understand what options may be available. This may include reviewing the original sales representations, the financing terms, and the specific obstacles you're facing.
IS YOUR SOLAR AGREEMENT AFFECTING YOUR HOME SALE?
Find out what options may be available to you.
Results depend on individual circumstances. Submitting an inquiry does not guarantee cancellation or any particular outcome. Solar Relief Group is not a law firm and does not provide legal advice.