Selling a home, but keeping the FIT?

ptrichardson

Does anyone have any knowledge of this?

I know it is possible to nominate the payments to someone else, but how is that process governed so that it is not reserved as soon as you are out of sight?

Appreciate there are probably some legal minefields ahead!


Lets say this is a theoretical question, to avoid people asking "why". If that's at all possible. Thanks in advance :rotfl:

rogerblack

You will need to get the purchaser to agree that the sale of the house comes with certain responsibilities, and that the rights to get the FIT does not transfer over.
In addition, that they must keep the solar panels up for however many years, and allow access for maintainance.

If I was to be asked to purchase a house with these limitations, I would want a significant discount.

Needless to say - a solicitor will be quite happy to draw up the appropriate agreements - for a not so small fee.

InVestor_2

rogerblack wrote: »

You will need to get the purchaser to agree that the sale of the house comes with certain responsibilities, and that the rights to get the FIT does not transfer over.
In addition, that they must keep the solar panels up for however many years, and allow access for maintainance.

If I was to be asked to purchase a house with these limitations, I would want a significant discount.

Needless to say - a solicitor will be quite happy to draw up the appropriate agreements - for a not so small fee.

I believe the 'rights to get the FiT' belong to (and nominated by) the owner of the installation, so you would have to get the purchaser to agree that the sale of the property does not include the installation (for the remaining period of the FiT payments at least). I can't see how you could sell the installation and retain rights to the FiT.

I think the best (only?) solution would be to negotiate a value for your installation & future FiT payments in the sale price.

Anyway, good luck with your 'theoretical' proposal..

Cardew

Homeowners agree to Rent a Roof companies having a 'lease' on their roof - in exchange for the in-house use of generated electricity.


We are told some even buy properties with such an agreement in place,

Your suggestion is little different.

However, as above, I would think any 'rent a roof' property would have a lower value.

Cardew

InVestor wrote: »

I can't see how you could sell the installation and retain rights to the FiT.

A Shade Greener(one of the biggest Rent a Roof firms) report that houses with their panels have been sold; and of course they retain rights to the FIT.

InVestor_2

Cardew wrote: »

A Shade Greener(one of the biggest Rent a Roof firms) report that houses with their panels have been sold; and of course they retain rights to the FIT.

Does A Shade Greener actually own the installations?

rogerblack

Cardew wrote: »

A Shade Greener(one of the biggest Rent a Roof firms) report that houses with their panels have been sold; and of course they retain rights to the FIT.

The reaction to 'the panels are owned by a company' and 'the panels will be owned by me for 25 years when you move in' - may differ.

InVestor_2

InVestor wrote: »

I can't see how you could sell the installation and retain rights to the FiT.

Cardew wrote: »

A Shade Greener(one of the biggest Rent a Roof firms) report that houses with their panels have been sold; and of course they retain rights to the FIT.

No idea why you quoted me, and said that. You clearly didn't understand what the OP was asking, nor seem capable of understanding that and what A Shade Greener do.

According to their website A Shade Greener retain ownership of the installation on a sale, and therefore the FiT payments. ie neither the owner of the property or the purchaser have or will own the installation. This is something completely different.

ptrichardson

Thanks for the replies. Yes, the freely installed panels have some kind of marker on the mortgage that passes with ownership. Some mortgage companies don't like dealing with that, some don't mind.


I'm interested in how having free electricity to the value on hundred of pounds per year would lower the value of a house. I understand there's a very minor inconvenience, but enough to negate this financial benefit? If it was so bad, people wouldn't have them fitted for free, which isn't the case.
I'd be delighted to buy a house and find that I was going to get a few hundred quid a year free electricity for panels that are certified and that I didn't need to maintain.

Suppose that's me - someone who doesn't mind the appearance whereas I can understand if someone felt they spoiled the look of their house or pushed up their mortgage costs.


Sounds like it would be very very tricky to retain the FiT after selling the property though.

InVestor_2

The average household is expected to save somewhere in the region of £80-£100 per year I believe?

withabix

If I was buying your house, I would be expecting the FiT to become mine or the solar panels would be scrapped as part of the Contract.

You should expect to sell at a significant discount on market value if you expect to profit from the solar panels - say 50% maybe in a buyers' market.