Mortgage with leased solar panels?

D4nny

Hi i hope someone is able to shed some light on our situation,
We found a house for sale that had solar panels on that are leased
We love the house and after talking to the vendors it seemed fairly straight forward and we were happy anyway we put an offer in that was accepted and have got so far through the purchase and have now
received A letter from our solicitor stating there not happy woth some of the terms in the solar panel lease contract and it will have an imapct on future property sale ect and they state that alot of banks/mortgage companies are really cutting down on giving out mortgages and have advised us to renegotiate the purchase price or ask the vendors to buy out of the lease.

We have a mortgage approved now but it is just puttting worry in our mind that when we come to remortgage in a couple of years we may not get one.
Has anybody been in the same situation?
If so how did you get on?

amnblog

Wrong Lender, it won!!!8217;t work.

Right Lender it should work.

What has your Broker said?

D4nny

amnblog wrote: »

Wrong Lender, it won!!!8217;t work.

Right Lender it should work.

What has your Broker said?

Hi
We have got a mortgage for the property but its when we come to remortgage in a few years they feel we will have a problem we have spoken to our financial advisor and he said lenders are cracking down abit on leased solar panels but he still doesnt feel it will be a problem.

ashe

D4nny wrote: »

Hi
We have got a mortgage for the property but its when we come to remortgage in a few years they feel we will have a problem we have spoken to our financial advisor and he said lenders are cracking down abit on leased solar panels but he still doesnt feel it will be a problem.

Listen to them, they are trying to protect you.

it will probably cost the seller a pretty penny to buy out the lease which is why he is suggesting that they do that, else if you come too sell down the line any buyer from you will expect you to do that, or you may get declined for remortgaging.

https://www.theguardian.com/money/2018/jan/31/leasehold-solar-panels-lease-mortgage-house-sale

AnotherJoe

Ive seen figures of around £20k mentioned to buy out these leases, and I've seen many posts here from people whose lenders wont lend unless the lease complies with a particular set of requirements. If yours doesn't, which sounds like the case, a phrase involving bargepoles comes to mind.

Best case with a remortgage you might be stuck with the current company, worse case they might have changed their Ts&Cs and you'd be really stuck. This is let alone when it comes to selling.

How long does the lease have to run?

p.s. Who gets the Feed In Tariff? Would that transfer to you? Some cheeky sellers have tried to keep that as well. I'm in favour of solar but there's a lot of issues with leased installations which are only getting worse.