There is a growing increase in the number of homeowners leasing their roof space to specialist companies for the installation of solar panels. But is this arrangement making their property un-mortgageable?
The Council of Mortgage Lenders (CML) has issued guidance on what solar panel leases should, and should not, contain, if they are to be acceptable for mortgage purposes.
One crucial detail: if a property has a solar panel lease which does not contain a mortgage break right, then lenders will be unable to accept the property as security.
Because some situations are in doubt, all cases subject to solar panel leases will not therefore be eligible for the free standard legal fees that CML currently offer to remortgage customers. The reason is that these cases will require their panel solicitors to review the lease first to check that it complies with CML guidance.
If you are leasing your roof to a solar panels company, or are intending to do so, and want to remortgage, we recommend that you obtain this information as early as possible in the mortgage application process.
For further information on solar panel leases read the CML guidance.
For further information on mortgaging, and finding the best deal for you from the many available, contact Limetree Financial Services. It’s free to find out.
