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Solar Loans
For a brighter future.
Bring clean, renewable energy to your home without using any of your home's equity. We offer two different solar loan types to best meet your individual needs.
UMassFive, in partnership with the Massachusetts Department of Energy Resources (DOER) and the Massachusetts Clean Energy Center (MassCEC), is proud to support the Mass Solar Loan program. The program provides low interest loans to qualified homeowners for the purchase and installation of solar electric systems.
For those who do not qualify for the Mass Solar Loan, we have developed our MySolar Loan as an alternate solution for your Solar Financing needs. With higher maximum loan amounts, longer terms, funding for tree work and roof repair, along with generally more flexible terms and conditions, the MySolar Loan may be right for you. Other solar lenders typically charge origination fees, but not so with the MySolar Loan.
Solar Financing Options
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Rates Starting at... |
3.75% APR |
4.49% APR |
| Maximum Loan | $60,000 | $75,000 |
| Maximum Term | 10 Years | 15 Years |
| Origination Fees | None | None |
| Interest Only Period | Typically 2-4 Months | 12 Months |
| Lending Territory | MA only | MA+ Contiguous States |
| Low Income Subsidies | Yes1 | No |
| Mortgage Required? | No2 | No2 |
| Allowable Costs | Installation Costs Only | Installation+Tree Removal & Roof Repair3 |
| Disbursements | Two4 | Three5 |
| "Off Grid" Financing? | No | Yes |
| Minimum Efficiency (TSRF)6 | 70% | 65% |
| Maximum Production7 | 125% of Consumption | 150% of Consumption |
| Project Oversight | Yes8 | No |
| Application/ Loan Closing Process | 100% Online | 100% Online |
| Pre-payment Penalty | No | No |
| Re-amortization Max/ Fee9 | No Limit/ No Fee | No Limit/ No Fee |
Next Steps
Let our solar expertise work for your needs. To learn more about which Solar Financing option is right for you, we recommend you first consult with your installer. Any questions? Email us at SolarLoans@UMassFive.coop, call us at 800.852.5886, or visit a UMassFive branch so we can help you decide the solution that will best fit your solar electricity needs, your budget, and your financial life.
1. The Clean Energy Center provides Income Based Loan Support (grants to pay down the loan) if household income is at or below 120% of the median Massachusetts income. The CEC also provides an Interest Rate Buy Down of 1.50% if household income is at or below 80% of Median Massachusetts income. More information can be found at http://www.masssolarloan.com/loan-support-incentives
2. Only a lien will be placed on the solar equipment, not on your home, unless unusual circumstances exist.
3. Site preparation, roof repair, and other related costs are limited to 15% of the installation expense.
4. 35% of loan proceeds are disbursed upon project approval by the CEC. The remaining 65% is disbursed upon project completion (as certified by the CEC).
5. 30% of loan proceeds are disbursed upon contract signing with installer; 30% disbursed after permits issued; 40% disbursed upon utility interconnectivity.
6. A copy of the shading analysis is required to ensure the system will meet the 70% optimal output for the Mass Solar Loan or 65% for the UMassFive Solar Loan.
7. Expected annual system production may not exceed 125% of the System Owner’s annual electricity consumption for the Mass Solar Loan or 150% for the UMassFive Solar Loan.
8. The CEC reviews and approves the technical specifications of the installation, ensures the project has been completed properly, and vets the installers.
9. UMassFive permits an unlimited number of re-amortizations (recasting/lowering the payment) after a 20% principal reduction is made.