Solar panel lease

Nicolawilliams86

Right! We are getting somewhere. Well my understanding is anyway.

The issue is that the solar panel company have a charge on the leasehold of the airspace above the property.

They have responded and said this shouldn’t be an issue with a mortgage as the charge is on the leasehold and doesn’t affect the freehold.

However, my solicitor says it changes nothing and the issue remains. I’ve asked him to pass it on to the mortgage provider anyway as they need to make the decision not him.

Having read the agreements, deeds, emails etc. it makes sense to me. The charge is on the leasehold. If we default on our mortgage then the mortgage providers are able to get out of the lease, therefore the charge would no longer be in effect on that property?

Any one able to offer any advice?

Thanks

mrschaucer

The solar panel company are leasing the roof from the owners of the property, yes? And they are saying they have a legal charge on this LEASE which is not going to affect the freehold of the house in any way? How does that work then?

teddysmum

Nicolawilliams86 wrote: »

Also I work from home and since doing so my electric bill has rocketed so I actually want the benefit of free electric during daylight hours as I think we’ll save quite a bit.

You will only get free the electricity which your system generates, depending on whether the panels face in the optimum direction and the weather. Once your power generated is used up you have to buy electricity and as it is not stored , so has to be used directly on generation.


People who have their own panels gain more because they receive the FIT as well and the older the panels, the higher the FIT is likely to be.

eddddy

Nicolawilliams86 wrote: »

However, my solicitor says it changes nothing and the issue remains. I’ve asked him to pass it on to the mortgage provider anyway as they need to make the decision not him.

Well... that might be wishful thinking.

Your solicitor will (almost certainly) be representing your lender, as well as you.

If your solicitor advises their other client (i.e. the lender) that there is an issue and they shouldn't proceed, it's very unlikely that they would ignore their solicitor's advice.

Nicolawilliams86

mrschaucer wrote: »

The solar panel company are leasing the roof from the owners of the property, yes? And they are saying they have a legal charge on this LEASE which is not going to affect the freehold of the house in any way? How does that work then?

Because if we default on our mortgage and our house is repossessed the mortgage provider can break from the lease with 2 months notice.

Nicolawilliams86

eddddy wrote: »

Well... that might be wishful thinking.

Your solicitor will (almost certainly) be representing your lender, as well as you.

If your solicitor advises their other client (i.e. the lender) that there is an issue and they shouldn't proceed, it's very unlikely that they would ignore their solicitor's advice.

The mortgage provider are the ones that have said they need to make the decision not the solicitor and to get him to send the email over.

Nicolawilliams86

teddysmum wrote: »

You will only get free the electricity which your system generates, depending on whether the panels face in the optimum direction and the weather. Once your power generated is used up you have to buy electricity and as it is not stored , so has to be used directly on generation.


People who have their own panels gain more because they receive the FIT as well and the older the panels, the higher the FIT is likely to be.

Yeah I get that but what I mean is I work from home and pay more for doing so now in a house without solar panels. I am definitely going to save money if I have solar panels on the new house regardless of whether I use more than is generated. It is a completely south facing garden too.

Cakeguts

Nicolawilliams86 wrote: »

Yeah I get that but what I mean is I work from home and pay more for doing so now in a house without solar panels. I am definitely going to save money if I have solar panels on the new house regardless of whether I use more than is generated. It is a completely south facing garden too.

You won't save money if the panels cost you £20,000 to buy the leasing company out. It doesn't cost that much to have your own fitted and people who have their own fitted get the FIT as well.

Cakeguts

I can't really see what is so fantastic about this house that it is worth this much hassle. Was it cheap for the area or something because the vendors knew about the problem getting a mortgage because of the solar panels lease?

cjmillsnun

Nicolawilliams86 wrote: »

Because if we default on our mortgage and our house is repossessed the mortgage provider can break from the lease with 2 months notice.

For most lenders that isn't enough. They want to be able to have an immediate break.