Solar panels can be an appealing feature, but buyers should understand the system, ownership structure, condition, costs, and transfer requirements before completing a purchase.

Determine Who Owns the System

Ask whether the panels are owned outright, financed, leased, or subject to a power purchase agreement. Review the original contract, current balance, payment terms, transfer requirements, warranties, and any recorded liens or related documents. Do not rely only on a listing description.

Review Production and Utility History

Request available production records and recent utility bills. Actual results depend on system size, orientation, shading, household use, rate plans, and equipment condition. Historical savings do not guarantee future performance.

Evaluate Physical Condition

A qualified professional can help evaluate panels, inverter equipment, visible wiring, roof penetrations, and remaining useful life. Buyers should also understand the roof's age and whether future roof work could require panel removal and reinstallation.

Coordinate Early With Lender and Escrow

Financed or leased systems may affect underwriting, title review, and closing timelines. Ask the lender, escrow holder, solar provider, and appropriate professionals about required approvals and documents as early as possible.

Review Incentives Carefully

Tax credits and incentives can change and may depend on individual circumstances. Consult a qualified tax professional rather than assuming that advertised benefits will apply.

EH WORLDWIDE REALTY helps buyers organize property questions and documentation throughout the San Fernando Valley and surrounding communities.

This article provides general information and is not legal, tax, lending, engineering, or solar advice.