I Can't Sell or Refinance Because of a Solar Lien

You finally went to sell or refinance, and the title search turned up a 'solar lien' you didn't know was there. Now the closing is stalled. This is increasingly common in Florida, and there are two different things it usually is.

UCC-1 fixture filing vs. a PACE assessment

• A UCC-1 fixture filing: when you financed the panels with a loan, the lender often filed a UCC-1 on the equipment. It shows up in a title search and buyers' lenders usually want it resolved before closing.
• A PACE assessment: if you used PACE or Ygrene, the balance is a lien tied to your property taxes that generally has to be paid off at sale — often ahead of your mortgage.

Many homeowners were told the financing would 'just transfer' to the buyer. In practice, most buyers' lenders won't allow that — which is exactly why your sale is stuck.

What to do

• Identify exactly what the lien is — a UCC-1 from a lender, or a PACE tax assessment.
• Get the payoff figure (and check for prepayment penalties).
• If the financing was obtained by fraud or the system never worked, that may be grounds to dispute the payoff — talk to an attorney before you simply pay it to close.

General information, not legal advice.