So as a solar home seller you have endured countless showings, open houses, and people driving by your home at all hours of the day but you finally have an acceptable purchase contract on your home. You hired the right solar home broker and made sure you had the proper solar addendum added to your purchase contract and provided your home buyer with a solar disclosure form. Your solar home broker made sure that the buyer (and the buyer’s agent) know how about the benefits and the buyer initiated the transfer of the solar lease but just learned that they do not qualify to transfer it over to them. Now what?
When you signed the solar lease, you were probably told that you had three options:
- Transfer the solar lease to the new home buyer
- Pay off the remaining lease balance
- Transfer the solar system to your new home
What the solar companies probably did not tell you is that there are other options to look into before thinking that you have to shell out thousands of dollars to prepay the remainder of the lease.
First, find out how much the buyer is going to put down as a down payment on the home. In some cases if the buyer is paying cash or putting at least 20-25 percent down to purchase the home, the solar leasing company may be willing to relax some of the credit requirements.
The second option to explore is to see if the solar leasing company will allow the buyer to have someone co-sign the lease. Often times a parent, relative, or a really good friend might be willing to co-sign, especially if they have a high enough credit score to satisfy the requirement needed for a solar lease transfer.
Third, have your solar home broker find out if the buyer would be willing to cover some or all of the cost of the lease prepayment in the sales price of the home. Lately a $1,000 increase in price only adds about $5 a month to the mortgage payment. If the balance of the solar lease is $5,000, for example, the increase in sales price may only translate into $25 or so more a month while possibly making the additional interest payments on the increased sales price tax deductible and resulting in an overall lower monthly payment (especially if the lease payment is $100 a month or so for example).
There are probably other options out there but given how EVERY real estate sale is unique (much like snowflakes), it is difficult to account for every little possibility though if you have the right solar home broker working for you, he will make sure that you do look into every option possible.
Thinking of selling a solar home in the Phoenix or surrounding area? Give the Solar Home Broker a call at 480-888-1234.