No, we will not put a lien on your home. However, if you are selling a home or securing financing using your home as collateral, there may be conditions that require the removal of a Uniform Commercial Code (UCC) filing before the home can be sold or the financing process is completed. UCC laws are established to regulate the sales of personal property and other business transactions. For example, when a lender gives a car loan to a person buying a car, both parties sign a UCC-1 form. The form is filed by the lender and the title is kept by the lender until the loan is paid off.
In matters of solar systems, the UCC provides for a way to protect Sunnova’s ownership on the solar system (typical under Easy Save Simple, Easy Save Monthly and Easy Save), or its collateral under finance agreements (Easy Own), in the event a customer decides to sell (or transfer in any way, including foreclosures) the home where the system is installed. While Sunnova does not put liens on homes, Sunnova files a UCC financial statement with respect to the solar system -- not your home. This filing is known as a UCC-1 filing (mentioned before). Some states refer to these filings as a lien on a collateral, which in our case, is the solar system we (or our dealers) installed on your home.
The UCC-1 filing should not impact your ability to sell your home as it will be removed and refiled under the new title owner’s name. However, it’s important that you contact us as soon as you think you will be selling (or transferring) your home as the UCC removal process may take a few weeks. Also, removal fees apply in most jurisdictions and customers are responsible for these. The sale of a home is the most common scenario where the UCC-1 filing will need to be removed in advance. However, this applies also to any process that may affect your home’s title with the county. For example, if you decide to secure a second mortgage on the home on which the solar system is installed, we will also need to remove the UCC filing before you can do so.