Appraisal Should An Adjustment Be Made For Solar Panels Financed

Otherwise it s as much of a leased responsibility as it is a benefit given the uncertainties over the long term.

Appraisal should an adjustment be made for solar panels financed.

A refinance may require an appraisal but should address the value the system may or may not add to the property. For an overview of solar panels methods of valuation and challenges of appraising properties with solar check out our recorded webinar appraising solar panels. The only solar system which deserves a boost in the appraisal analysis is an owned system. If you own a home with a solar system the fha requires to your benefit that its value be assessed and added to the total appraisal value of your home when you want to sell it.

Solar panels financing through a loan that has since been paid in full means that you are now the owner of the system. This can be avoided by refinancing the house to finance the system. The interest rate on a refinance is typically lower than a solar loan. However if you do not own your panels whatever value that they may add cannot be included for an fha assessment.

This additional financial commitment makes it harder to market and sell the property. Whether the solar panels are leased and owned also may affect the appraisal. When the system is collateral for the loan it should not be mortgaged over. A primer presented by instructor mark buhler.

How many appraisers have boosted for solar on leased and non transferable systems. Buhler has over 25 years of appraisal experience and specializes in the valuation of energy efficient homes which are increasingly.