Racheli Mortgage Lending

Mortgage Lending - (954) 800-0330

  • Home
  • About
    • Meet Racheli your Mortgage Fairy
    • Privacy Policy
    • Blog
  • Mortgage Info
    • Get Pre-Approved
    • Home Search | SOLD Home Alerts
    • How to Buy a Home | The Loan Process and Checklist
    • Loan Limits
    • Loan Programs
    • Credit–What Makes your Credit Score Ebook
    • Mortgages for Self-Employed
    • Mortgages After a Divorce
    • Mortgage Calculators
    • More Calculators
    • How to Buy A Home | Down Payment Assistant
    • Buyer Info
    • How to Buy a Home – Loan Process
    • First Time Home Buyer
    • Mortgage FAQ
    • Mortgage Glossary
    • Credit–What Makes your Credit Score Ebook
    • Seller Info
    • Closing Costs
    • Home Appraisal
    • Fixed Rate Mortgage
  • Real Estate Info
    • Fort Lauderdale Real Estate
    • Boca Raton
    • Miami
    • How to Buy a Home | The Loan Process and Checklist
    • Home Inspection
    • Real Estate News
  • FREE Reports
    • Get Your FREE Reports!
    • 5 Big Mistakes Buyers Make
  • Testimonials
    • Reviews
    • Additional Testimonials
  • Contact
    • Contact – Connect with Racheli Online
    • Ask Racheli
    • Meet Racheli your Mortgage Fairy
    • About-Contact Us
    • Racheli’s List

Racheli Refael May 4, 2018

Financing Your Solar Roof

Financing Your Solar RoofGoing solar can make life sunnier for some homeowners. In addition to reducing energy dependence by “borrowing” energy directly from the sun, purchasers may also enjoy a 30 percent federal Solar Investment Tax Credit and other incentives, according to SEIA.

Solar roofing can boost a home’s equity in some cases, while making it more attractive to future buyers in sun-drenched parts of the country. Best of all, financing that solar roof may be a more attainable goal than homeowners think.

Leasing vs. Owning

Perhaps the first question a green-minded homeowner should consider is whether to own solar roofing or lease it. Leasing solar panels from a third-party provider bypasses the need to take out a traditional loan or purchase a solar roof with cash.

Energy.gov notes that PPAs (Power Purchase Agreements) allow homeowners to pay fixed monthly payments based on the amount of energy the roof will likely generate over the period of the lease. But it’s worth noting that leasing also bypasses the tax credits and other financial benefits and incentives of ownership.

The Traditional Loan Route

Traditional loans can finance solar roofs just as they can other major home renovations or improvements. For homeowners who already own their homes outright, this approach offers a simple, cost-effective way to enhance the property. Other homeowners may want to look into the Department of Energy’s Residential PACE (Property Assessed Clean energy) loans aimed at promoting energy-efficient modifications.

Those who seek to take out a mortgage on a solar-roofed home, however, should watch out for the proverbial fine print. For instance, PACE loans trump mortgage loans, so having a PACE loan in place can make getting that mortgage loan impossible.

Fannie Mae’s HomeStyle Energy Mortgage

The HomeStyle Energy Mortgage from Fannie Mae offers an attractive alternative to traditional loans, according to the Washington Post. This product includes the solar roof (or other energy-efficient modification) within the overall mortgage loan.

A HomeStyle Energy Mortgage factors in the anticipated energy savings offered by the modification in figuring the loan terms. It also lets borrowers take out larger amounts that they might receive through traditional mortgages — up to 15 percent of the home’s “as-completed” appraisal value.

Some smart financing strategies can turn the objective of owning a solar roof from an out-of-reach dream into a practical reality. A skilled mortgage expert can help homeowners weigh all the available options and come up with a sensible plan that suits their needs.

Spread the Love

Filed Under: Mortgage Tagged With: Financing, Mortgage, Solar

Equal Housing Lender
Company NMLS #189233

Previous Posts

Categories

Recent Posts

Get Pre-Approved Today for a new Home Mortgage with Racheli

What’s Ahead For Mortgage Rates This Week – February 6, 2023

3 Tips To Consider When Buying A Home With An FHA Mortgage

S&P Case-Shiller Home Price Indices: Home Prices Fall In November

Is It Worth It to Put More Than 20 Percent Down?

What You Need To Know About A Closed-End Second Mortgage

How Much Home

Connect With Racheli

  • Facebook
  • LinkedIn
  • Twitter
Refer a FriendUse the quick and easy tool below to Refer a Friend today. We sincerely hope you will tell your friends, family, neighbors, and co-workers about our services. You'll be doing them (and us) a favor as they too will receive the same excellent service that you have experienced.

If you know someone who is thinking of buying or selling a home, please fill out the form below, or contact us directly using the number listed at the top of the page.

Click here to refer your friend!

RSS The Latest Real Estate & Lending News

February 2023
M T W T F S S
 12345
6789101112
13141516171819
20212223242526
2728  
« Jan    
Equal Housing Lender

Archives

Categories

  • Accessibility Statement
  • Privacy Policy

Loans 4 U - Fairway Independent Mortgage Corporation
1471 NE 26th St Suite 100
Fort Lauderdale, FL 33305

Return to top of page

Copyright © 2023 Racheli Mortgage Lending. All rights reserved.   Log In