Mosaic, Enphase unveil partnership

Crowdsource financing pioneer Mosaic and Enphase Energy have joined forces to launch what they say is the first home solar loan packaged with residential operations and maintenance (O&M) services.

The Mosaic Home Solar Loan leverages Enphase’s technology and can provide homeowners with “hassle-free” ownership of a solar PV system, the partners claim.

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. At that time, the homeowner can re-pay the loan at any time with no penalty or transfer it to the new homeowner, according to the two companies.

Prior to today, many homeowners have preferred solar leases to loans because of the worry-free maintenance and performance guarantees offered with most leases.

Mosaic and Enphase say this so-called “service gap” closes as they now offer homeowners solar ownership for no down payment and immediate savings on energy bills.

Mosaic’s new loan product, packaged with Enphase operations and maintenance services, is expected to fulfill at least $100m in loan volume with this new market initiative over the next 18 months.

Currently, Enphase monitors 160,000+ systems globally and collects over 500 GB of performance data daily.

“Mosaic homeowners can now have complete peace of mind when getting a Mosaic Home Solar Loan,” says Mosaic chief executive Billy Parish.

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 service offering from Enphase Energy, loans now join leases in their appeal to more conservative investors and move one step closer to securitization, the companies argue.