Know the facts about Solar Leases
- A lease is a Third Party Ownership option, meaning you do not own the project. A third party pays for the installation on your property, owns the project, and leases the equipment to you for the prescribed lease term.
- Because you do not own the solar array, you are often not responsible for maintenance costs. Leases typically come with a warranty that matches the lease term.
- A lease has fixed monthly payments that will not change over the life of the lease.
- Leaseholder typically places a UCC-1 filing on the property notating interest in the solar array equipment
- A lease is considered to be an operating expense on your books, not debt
- Leases do not affect your DTI
- Can close and fund as quickly as 60 days from approval