Existing solar panels.House purchase?

Gastines2

Could someone clarify the position regarding solar panels on a house purchase?As an example---- All I understand is that the existing owner has entered a contract for probably 25yrs,and when the house is sold the new owner takes on the remaining years of the contract.This presumably affects the purchase price,unless you are in favour of them? Several properties I have seen look fairly horrendous with these installed and would put me off buying.Is there likely to be any upkeep,maintenance costs involved?

anselld

Two possible types -

(a). Owner funded, FIT contract. 25 year contract, income to house owner (transferred to new owner on sale of property). Generation income varies with installation date; need to check contract. Maintenance cost down to owner, likely at least one invertor replacement over 25 years, panel maintenance, who knows?
Apart from aesthetic issues this type are probably a good investment and should (at least from a purely financial view) enhance value.

(b). so called "rent a roof" schemes where the panels are owned by another company who also receive the generation income and pay maintenance.
The only benefit to the owner is circa £150 saving on electric bills. This type probably detract from value as the fact you have effectively sublet your roof and the aesthetics almost certainly outweigh any financial benefit.

csh_2

As above, you need to know about the contract to make an informed decision.

Mortgage lenders really aren't keep on the rent a roof type panels. There's been a few links posted recently on here about this issue so you could run a search for more info.

The house I just bought has panels that are owned now by us outright and pay out under the FIT scheme but I personally still don't view them as adding any value, especially when I would be paying interest of mortgage payments on any extra 'value' that they had added.
In the end I used the panels as a bargaining tool and said I'll give you X amount without the panels (low offer). They investigated the cost of moving them then came back and said what about X plus £10k with panels included and we settled on X plus £5k with panels and full FIT payments for the next 23 years

DRP

wouldn't touch a house with roof solar panels.

Too new a technology, applied to a building that wasnt designed to take 'em!

just my 2p.;)

csh_2

DRP wrote: »

wouldn't touch a house with roof solar panels.

Too new a technology, applied to a building that wasnt designed to take 'em!

just my 2p.;)

This is why you have to be careful buying with solar panels as it does hugely affect resale.
I certainly wouldn't have bought if I was only planning on being here short term (less than 5 years) however we intend to be here at least 15 years so resale wasn't a huge factor in purchasing decision

Mr_Moo_2

Virwed a place the other day with "rented" panels. Financial benefit was on daytime electricity only. Didn't seem worthwhile. quality of initial workmanship is a big unknown, ongoing maintenenance the same. Mortgage companies are understandably cagey. Seems like a no-brainer to me, and would need house to "wow" in so many other areas to make it worth considering.

Dave_Ham

Lenders are starting to ask more and more questions about the panels, ownership etc. and therefore I think we will see and hear more about these in years to come.

Future saleability could therefore be an issue and therefore like you are doing, would be thinking long and hard.

Starjust

Solar Panels (assuming rented) are currently holding up proceedings lower down our chain at the moment. Very frustrating as we've been ready to exchange for a month.
I believe the current issue is related to satifying the lender.

Furts

The over whelming majority of pv panels are fixed to roofs that were never designed to receive them. This has been compounded by the owners not seeking structural calculations, nor Building Regulations approval, nor monitoring and signing off the installation.

I remain amazed that so many home owners have panels installed without undertaking fundamental due diligence.

There will be roofs where the panels come adrift and problems arise - only time will tell how many this effects.

jackieblack

DRP wrote: »

wouldn't touch a house with roof solar panels.

Too new a technology,

:rotfl:
The photovoltaic effect was discovered by Edmund Becquerel, a nineteen-year-old French experimental physicist, in 1839!

grifferz

jackieblack wrote: »

:rotfl:
The photovoltaic effect was discovered by Edmund Becquerel, a nineteen-year-old French experimental physicist, in 1839!

Did he happen to note what his mortgage lender and insurance provider said about putting them on his roof?