Path-Q Solar

Should I disclose a leased solar system when selling my home?

Answer

Yes. Provide the lease, payment schedule, transfer or buyout terms, maintenance obligations, and production provisions early so the buyer and lenders can evaluate the obligation.

Key points

  • Disclosure duties depend on jurisdiction and transaction documents.
  • A lease is material to the property's financial and legal position.
  • Obtain a current payoff or transfer statement.

What it depends on

  • Lease contract
  • Applicable disclosure rules
  • Buyer and lender requirements

Risks and trade-offs

  • Late disclosure can delay or jeopardize closing.
  • A buyer may demand a discount or buyout.

Information you may need

  • Complete lease
  • Provider transfer process
  • Payoff and production records

Your next step

What to do next

Give the lease to the listing professional and obtain written provider instructions before marketing the home.

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Some details may depend on your location, installer, utility, incentives, regulations, or specific property.

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