If you see solar panels on a property during your listing presentation or during a buyer showing, be on high alert, ask questions, get things in writing, call the hotline, and get the parties’ attorneys working on the below issues asap.
SCR310 requires the seller to convey a vacant property free of encumbrances or liens.
Solar panels can be both an encumbrance and or lien.
Call the hotline! 803-712-3478. info
Get the lawyers working on solar panel issues right away. Lawyers need to modify SCR310 depending on the parties preferences for solar panels.
Some options and issues to consider:
Seller discloses solar panel info:
Installer info
Install date
Make model (all documentation, warranties)
Contact for billing
Lease info
Lien info
Payoff info
Lease payment
Lease term
Ditto all the above regarding the solar systems and batteries
Info on problems
Info on electric supply/use
Info on electric sell back to utilities (if any)
The lawyers can modify SCR310 for these potential issues:
buyer agrees to assume lease/lien,
seller agrees to clear the lease/lien,
seller agrees to remove solar panels,
seller agrees to price adjustment as settlement on the solar panels,
seller agrees to seller concessions as settlement on solar panels.
Do not forget to properly disclose these issues on the seller disclosure.
Posted by: Byron King on 08/22/22 (This information is only accurate as of 08/22/22. You must contact SCR for updates and changes to this information after 08/22/22 as laws and regulations may change over time. SCR 803-772-5206 or email info at screaltors.org or email byron at screaltors.org)
This information is not legal advice. This information is intended only to provide general information and may not be relied upon as specific legal guidance. Legal counsel should always be consulted before acting in reliance on this information.