Mosaic, a peer-to-peer platform for solar finance, and microinverter manufacturer Enphase Energy join forces to launch what they say is the first home solar loan packaged with residential operations and maintenance (O&M) services, offering simplicity and value for homeowners and installers.
Prior to today, many homeowners have preferred solar leases to loans because of the worry-free maintenance and performance guarantees offered with most leases. Today, this “service gap” closes as Mosaic and Enphase work together to offer homeowners solar ownership for no down payment and immediate savings on energy bills. Mosaic’s new loan product, packaged with Enphase O&M services, will fulfill at least $100 million in loan volume with this new market initiative over the next 18 months. The companies announced this alliance together at Intersolar North America, the most-attended solar exhibition in the United States.
The Mosaic Home Solar Loan, leveraging Enphase’s unparalleled technology, can provide homeowners hassle-free ownership of a solar PV system. Mosaic offers a fully-automated online portal that allows homeowners to process all paperwork instantaneously, to have a solar energy system installed and to benefit from a prepaid service plan for no money up-front, while lowering their monthly electric bill. Through the Mosaic Home Solar Loan, homeowners maximize their return on investment by keeping the investment tax credit and owning their solar system. Additionally, the Mosaic Home Solar Loan mitigates any potential issues for the homeowner when selling the house as the loan can be paid off at any time with no penalty or transferred to the new homeowner.
The Enphase service offering provides the homeowner peace of mind through Enphase managed monitoring, analytics and proactive maintenance programs. Enphase will leverage its Enlightenplatform for the loan package, which allows the company to monitor module-level performance through its microinverters. Currently, Enphase monitors 160,000+ systems globally and collects over 500 GB of performance data daily. In addition, Enphase MyEnlighten brings homeowners an elegant interface to view and share their solar energy production and performance online and with most mobile devices.
For installers, this joint offering unlocks solar for a new set of customers seeking the benefits of ownership and the comfort of O&M services. In conjunction with the installer, Mosaic and Enphase will leverage their expansive marketing capabilities to reach the homeowners who are seeking out the bundled offering. Additionally, the Mosaic and Enphase software-based platforms bring speed and efficiency to the installer’s sales process, allowing the installer to close more deals and efficiently manage their working capital. Finally, the service offering mitigates the installer’s time spent on services and O&M allowing them to focus on selling and installing systems.
“We are very excited to partner with Mosaic and offer installers and homeowners a new way to finance and manage a residential PV systems,” says Marty Rogers, vice president, global customer service and support at Enphase. “Enphase offers a comprehensive solar energy system with proactive O&M services that will transform the installer’s ability to capitalize on the growing segment of solar loans by having more time and resources to contribute to the sales process.”
“Mosaic homeowners can now have complete peace of mind when getting a Mosaic Home Solar Loan,” says Billy Parish, Founder and Chairman of Mosaic. “We are thrilled to launch this ground-breaking product with Enphase as our qualified O&M service provider.”
This alliance is a significant step forward for the residential solar loan asset class. Lenders and investors have historically viewed solar loans as riskier than their lease counterparts because there is no assurance that the system will continue to produce energy after installation. With the proactive service offering from Enphase Energy, loans now join leases in their appeal to more conservative investors and move one step closer to securitization.