PACE vs. Solar Loan: What's the Difference in Florida?

If a contractor financed your solar or roof, you have one of two very different things: a regular solar loan, or a PACE assessment (often through Ygrene). They can look similar on the sales sheet, but they behave very differently — and knowing which you have changes your options.

A solar loan

• A personal installment loan from a lender like GoodLeap, Mosaic, Sunlight, or Dividend.
• Repaid in monthly payments, separate from your property taxes.
• Usually secured by a UCC-1 filing on the equipment, which can still complicate a home sale.
• Protected by the FTC Holder Rule and the Truth in Lending Act.

A PACE assessment (Ygrene, HERO, etc.)

• Not a personal loan — it's a special assessment attached to your property.
• Repaid through your property tax bill, which is why taxes spike.
• Generally sits as a lien ahead of your mortgage.
• Falling behind can put your home into the tax-lien process — a different and serious risk.

The simplest tell: if your problem shows up on your property tax bill, it's PACE. If it's a separate monthly payment to a finance company, it's a solar loan.

Both can be challenged when the system never worked or the deal was misrepresented — but the legal levers and the urgency differ. PACE's tie to your taxes often makes it the more time-sensitive of the two.

General information, not legal advice.