Mass Solar Loan Program: Apply before funding runs out!
What is the Mass Solar Loan Program?
The Mass Solar Loan Program has among the lowest interest rates of any solar financing in Massachusetts. The state-administered program buys down the interest rate for solar projects and is open to Massachusetts homeowners with an electric account. Participating lenders offer loans between $3,000 and $35,000, with some offering up to $60,000. The program also offers Income-Based Loan Support as determined by your household income and household size.
Why was the Mass Solar Loan Program started?
DOER commissioned a study in 2013 that determined that Massachusetts homeowners can see a greater return on their investment when they own a solar electric system as opposed to investing in a solar lease or power purchase agreement. The loan program allows affordable solar financing and loosened credit restrictions to Commonwealth residents.
What are the terms and rates for the Mass Solar Loan Program?
Rates vary by the bank, your credit score, and the term of the loan. As of February 13th, 2017, the lowest interest rate we have seen has been 2.5% for a 5 year loan and 3% for a 10 year loan if you have a FICO score over 720. The maximum customer interest rate is 5% for a 10 year loan. Participating Mass Solar Loan banks only service certain counties or regions. It’s important to work with a knowledgeable local solar installer, such as Brightstar Solar, who can suggest which banks operate in your region, who has the best rates, and how long the process should take.
How much funding does the program have? How long will it last?
Massachusetts has allotted $30 million to their solar loan program and more than 70% has been paid out. At the rate applications are being submitted, funds for the Mass Solar Loan could be exhausted in the next one to three months (March to May 2017). As funding is close to being depleted, we expect the number of applications to rise as customers race to get in to the program. You don’t have to complete the installation in the next few months, but you do have to get your application in and approved to secure your place.
How do you qualify for the Mass Solar Loan?
The site of the installation must meet minimum technical requirements and must be grid-tied to a Massachusetts electric company. Only approved installers can submit a technical application to the Mass Solar Loan program. An interested homeowner should contact an approved Mass Solar Loan installer, such as Brightstar Solar, to apply to the program. About 90% of the Massachusetts solar installations that Brightstar Solar completed last year were financed by the Mass Solar Loan. Please contact us for free solar evaluation to determine if your home would qualify for the Mass Solar Loan Program.