Covid-19 Bounce Back loans for property businesses16:06 PM, 5th May 2020
About 3 weeks ago 46
Some of you may have head of these ‘free’ solar panels we can have on our tenants houses.
A company is offering to put them on my houses at no cost to me.
The company trying to put them on for me, says I will earn money off them over the next 10-20 years. Something like £600,000 on 20 houses, but I can’t see that.
But my main reason for doing this is that my tenants already stay a long time, 15-16 years some of them. A lot of my tenants are on Housing Benefit and don’t have a lot of money. If they can have cheap or free electricity they might stay even longer.
Please feel free to correct me if I’m wrong on this, I only met the company yesterday, although their adjoining company have been installing insulation & boilers in for the past few years. They say it works, by the bank Siemans (linked with the Carbon Trust) gives us an unsecured loan to lease the panels over 10 years or costing £4500-£5500. The banks says everything must be externally monitored.
They have strict criteria to make sure the electric will pay the loan. The Landlord gets revenue of 50% of the electric generated not used (it’s all about the Govt having to get fuel efficiency up etc.)
They say they have a generation meter with sim card that tells them how much electricity has been generated.
They are MCS registered.
I do intend to sell some houses over the next few years.
I’ve heard through Property118 before about some people saying Lenders are reluctant to lend with these panels on the roof.
The company also say when I sell the house, I can still keep the panels & keep the feed-in-tariff.
They say there’s a maintenance plan guaranteed for 10 years. With extended warranties.
Most of my tenants have pay as you go electric meters – is this any different?
The income excess on the electric generated rises with index linked national inflation, not the cost of the electric inflation generated.
What do we do with future roof repairs when these solar panels are on top of roof’s?
Who pays for the repairs when the lease is up?
Who replaces when they wear out in 20 years or break?
Can anyone see or know any negatives with getting these panels?
Would there be a risk, not enough electric generated to pay for the lease cost? They say roughly 9 months of electric generated will pay for the 12 months lease.
It is not the rent a roof scheme?
I am going to get the paperwork looked at by a solicitor beforehand.
The company say by 2015, any property less than EPC E rating, we won’t be able to rent out anyway (I thought this was 2018), so should I be desperately going for this regardless of the risks?
All the best and I look forward to reading your responses.
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