foreclosed house with solar lease

[Lilly Fang]

If we buy a foreclosed house from the bank, but the house has a solar lease on it, do we have to take over the lease?

I was planning to buy the house to prevent it from foreclosure but decided to pass it after reading its solar lease term carefully.

The term says that the owner must pay for all the electricity the panel produces. This is an 1190 s.f. house. and the panels produce about 1000kwh a month. sell is paying $200 a month no matter whether he uses the power or not! I can't take over this lease as a rental. I will pass on the house and let it go foreclosure, but not sure what happen to the solar lease after it's foreclosed.

I hope the foreclosure will get rid of this solar lease, then I can contact the bank directly. I am usually for solar, but this one is excessive. If it produces 400kwh a month and I can pass it to my tenant, but 1000 kwh, no way, unless the tenant has an EV.

[Chris Seveney]

Quote from @Lilly Fang:

If we buy a foreclosed house from the bank, but the house has a solar lease on it, do we have to take over the lease?

I was planning to buy the house to prevent it from foreclosure but decided to pass it after reading its solar lease term carefully.

The term says that the owner must pay for all the electricity the panel produces. This is an 1190 s.f. house. and the panels produce about 1000kwh a month. sell is paying $200 a month no matter whether he uses the power or not! I can't take over this lease as a rental. I will pass on the house and let it go foreclosure, but not sure what happen to the solar lease after it's foreclosed.

I hope the foreclosure will get rid of this solar lease, then I can contact the bank directly. I am usually for solar, but this one is excessive. If it produces 400kwh a month and I can pass it to my tenant, but 1000 kwh, no way, unless the tenant has an EV.

 Speak to an attorney on this, but if its a lease then I believe the lease could become void on foreclosure. You would not be able to keep the panels, the solar company would come and remove them. But again, this is a question for an attorney, dependent on state law and what the lease actually says and if there were liens filed as well etc.