Freddie Mac Solar Panels

Starting in march 2017 freddie mac mortgage guidelines will be kinder to homes with solar panels whether owned by the borrower or leased from a third party.

Freddie mac solar panels.

Solar pv systems provide financial benefits and are financially feasible in some areas. I properties with solar panels owned by the borrower if the borrower owns the solar panels on the property. We are also updating guide section 5601 12 to expand our collateral valuation guidance for properties with solar panels energy efficiency improvements and or water efficiency improvements. Through our greenchoice mortgage offering we are committed to facilitate the financing of energy efficient home improvements and energy efficient homes helping more families attain and.

To learn more start with our requirements for properties with solar panels in guide section 5601 2. Homeowner interest in solar panel systems has grown in the past decade and we have begun to receive questions from sellers about the eligibility of mortgages secured by properties with solar panels. Its guidelines are being updated to allow underwriters to exclude solar panel lease payments from applicants debt to income ratios. Freddie mac believes that reducing home utility costs places families in a better financial situation and helps preserve home affordability over time.

Effective for mortgages with settlement dates on and after march 1 2017. Engaging a skilled appraiser that understands solar photovoltaics and how to value them is a smart move before the purchase. Solar panels get special treatment. Freddie mac purchases mortgages secured by properties with solar panels.

Solar panels are an eligible improvement for greenchoice mortgages. Effective for mortgages with freddie mac funding or settlement dates on and after january 1 2020.