Top 5 Tips for Buying/Selling a House with Solar Panels
COP26 – Solar Panels
The UK will host the 26th UN Climate Change Conference of the Parties (COP 26) with the aim of accelerating action on climate change caused by human activities. A focal point of the summit will be targets on reducing the amount of carbon emissions released into the atmosphere.
In recent times a popular way of both reducing carbon emissions and electricity bills has been for homeowners to install solar panels onto the roof of their home.
Our Residential Property and Conveyancing team share their tips for buying a property and how to prepare for the sale or purchase or a property with solar panels on the roof.
Top Tips for Buying/Selling a House with Solar Panels
Solar panels on the roof of a property can cause delays and difficulties when a property is sold, below are our top 5 tips for ensuring the sale proceeds as smoothly as possible:
- Find out what type of panels have been installed onto the roof. There are two main types of panels which can be installed onto your roof. Solar thermal heaters generate energy used to heat water and Solar Panels which generate electricity.
- Refer the solar panels to your surveyor. The presence of solar panels on the roof may affect the value of the property. You should refer the solar panels to your surveyor as earlier in a property purchase to ensure the value of the property is not affected and the roof structure is strong enough to support the weight of the panels.
- Find out who owns the solar panels. It is not unusual for an investment company to rent roof space from homeowners to install Solar Panels. The owner of the solar panels will be paid by the Government for the electricity generated by the Solar Panels. This payment is called the Feed in Tariff (“FiT”).
- Ask your solicitor to review any lease associated with the solar panels. Should the Solar Panels be owned by an investment company it is likely that the relationship between the owner of the property and the owner of the Solar Panels will be governed by a lease. Mortgage lenders have strict requirements which must be complied with in relation to solar panel leases. Bringing the lease to your solicitor’s attention early will help minimise any delay should the lease not meet the lender’s requirements.
- Find out how to transfer the benefit of the Feed in Tariff Agreement to you. If the solar panels are owned by the homeowner they will have the benefit of a Feed in Tariff Agreement. Under the terms of the Agreement the money paid by the Government for the electricity generated by the solar panels will be deducted from the homeowner’s electricity bills. To ensure a smooth hand over of the property you should made enquiries with your utility provider as to how to transfer the benefit of the Agreement to the new owner upon completion.
Residential Property & Conveyancing Team
At Morrish Solicitors we understand that moving can sometimes be a stressful experience, but our friendly and professional residential property and conveyancing team will do everything we can to ensure that it is also an exciting and positive experience.
To enquire about our residential property and conveyancing services please call us on 033 3344 9600 or simply email [email protected] with your request.
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