Mosaic cuts prices for its line of solar loan products – pv magazine USA
The company reports that since 2012, it has provided loans to more than 200,000 households to help them make lasting improvements to their homes.
Mosaic, a financing platform for solar and energy-efficient home renovations in the United States, has reduced prices on its entire line of solar loan products.
According to Patrick Moore, President and COO of Mosaic, one way to reduce costs is to reduce brokerage fees for loans with brokerage fees. The amount of the reduction varies considerably depending on the rate and term of the loan chosen. “The company also cut interest rates on brokerage-free loans by about 50 basis points. We also lowered our minimum FICO requirement and increased maximum loan amounts,” Moore said. photo magazine.
As the United States faces rising costs and interest rates, we asked how Mosaic can lower its prices right now. Moore explained that while prevailing interest rates impact the cost of borrowing, “but not all loans follow changes in prevailing rates.” Lending products such as mortgages tend to track overall interest rates closely, but supply and demand also matter. “Solar lending is a newer type of lending, still maturing, with growing investor appetite,” Moore said. As Mosaic realizes a lower cost of financing, the company passes that benefit on to its installer partners through better pricing, and they are able to “pass that on to homeowners,” he said.
Mosaic offers financing for solar systems, solar plus storage and other sustainable home improvements, often giving homeowners a credit decision in minutes for no-downpayment loans with fixed interest rates and multiple-term options. . The company reports that since 2012, it has provided loans to more than 200,000 households to help them transition to sustainable home improvements. Between 2017 and 2021, the company issued 11 securitizations of solar loans, totaling $2.9 billion in securities offered. The company also prides itself on the low cost of funds on bonds.
Just a year ago, Mosaic announced new financing partnerships that were expected to provide loans to more than 100,000 homeowners.
“By combining competitive pricing with MosaicScore, our proprietary credit score for solar loans, we believe we are able to offer our partners the best combination of pricing and homeowner approval coverage available anywhere in the market. “said Billy Parish, Founder and CEO.
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