Home with a Solar System Lease; should I buy or not?
 

Assumptions:

1. The system is leased.
2. Net Profit/Loss I estimate to be a loss; meaning I pay more for system than what I save on electric based on average cost per kwh.
3. Cost of all payments over 25 years is $56k
4. No Batteries; so won't have power fail backup
5. Lease is assumable to new homeowner.
6. We love the home they are attached to.
7. Seller has reduced asking price by $20k

Asking the Hive mind if we should just go ahead and purchase the home; which we really love.

Thank you!

The lease is assumable. But can you buy without solar power?

Yeah, if it's price $100,000 less than what it's worth, without the Solar System.

$56,000 to pay for a Solar System that's going to lose you money.

An extra $15,000 when you need to replace the roof ... & take the solar system on & off.

Plus aggravation.

There's nothing special about any home in The Villages. No matter what you want or where you want it, another will be coming along for sale.

How about breaking the lease and removing it? Is that an option?

So what does the electric bill indicate on how much is saved on the bill? What is the return money from seco or duke?

How old is the roof. Because as pointed out it’s not cheap to remove and replace.

Whatever the model, if it’s a spec home, I assure you there will be more than 100 with the same exact interior and exterior.

You didn’t say if this was a view to die for, or a giant garage which is most important over the house. What makes this home special.

If you have to have the house I would make the deal that the solar has to be paid off. But that just me

since you asked, I would find another house to love. There are many available.

Wouldn’t take on that solar contract during this buyers market with so many other options available. Make an offer to purchase, adjusting the price for not taking on the contract. If the seller resists, walk away. The sellers poor decision shouldn’t become your responsibility.

Also, check to see if there is a lien on the house for the solar system, if so, RUN away, as you may not be able to break the contract. IMHO, I would not consider any house with solar, unless this was completely paid for, and then as noted previously you are assuming the additional costs when the roof is replaced. One final item, check with your proposed insurance company about the implications of the solar panels, additional costs for coverage, etc.

I would find a new love. :0000000000luvmyhors

I would make an offer contingent upon the seller removing the solar panels and and clearing any liens.

I wouldn’t touch a solar house with a ten foot pole!

The only people that talk positive about them are those that bought the solar premise already. As in misery loves company!

I am a GREEN certified REALTOR. Not all solar system are as efficient. You can ask the sellers to provide a certificate to show the efficiency of the system. A Pearl certificate is one. You can ask for before and after electric bills to ascertain how much savings you are getting from the solar system. If it proves you would be paying more monthly fore the system than you would pay on an electric bill, do not buy the house. Or, if you love it, give an offer that request them to remove the panels with them paying the penalty, if applicable. Other questions to ask: Is the net metering plan grandfathered? What is the warranty on the system? Does it include a reduction of fees when the roof has to be replaced? How old is the system? the inverter? Who was the manufacturer? Look up that manufacturer though a thorough AI (NOT Google AI) to find out how reputable of a company it is.

I would never purchase home with solar not sure how Florida works but in other parts of the country usually when the solar is leased there is a lien on the house from the solar company.Also when you have to replace your roof, you can add an extra 15 thousand to remove those solar panels and replace them. There are so many homes available six in our courtyard villa neighborhood right outside of Brownwood available inventory is high location is so important.

This sounds just like the house next to ours.
We warned the guy not to get into this type of contract as they are either very difficult to get out of or are very expensive.
Unfortunately he was in declining health and went ahead. His family have been trying to sell the house for about 18months. Many viewings but so far no sale.
Even if you can make it work financially - you still have that issue of any future sale bias to consider.
Be careful.

I would not even consider it.. The lease stays on the home and your stuck with it.