Sunrun does not put a traditional lien on your house, but if you signed a lease or power purchase agreement, the company almost certainly filed a UCC-1 financing statement, sometimes called a fixture filing, in your property records. That filing isn’t a debt secured by your home. It’s a public notice that Sunrun owns the panels, inverters, and related equipment on your roof. For most homeowners the filing sits quietly in the record until it’s time to sell or refinance, when it behaves a lot like a lien and has to be dealt with before closing.
UCC-1 Fixture Filing vs. a Real Lien
A mortgage lien secures a debt you owe against the value of your home. A UCC-1 fixture filing does something different: it perfects a security interest in specific equipment attached to the property, so the filer’s ownership claim holds up against other creditors. Solar financiers use these filings to make clear that if a mortgage lender ever forecloses, the panels aren’t part of the collateral.
Two consequences follow from that distinction. First, Sunrun cannot foreclose on your house the way a mortgage holder could. Second, the filing still creates a cloud on your title, because title companies, buyers, and refinance lenders all see it and want it addressed before they’ll close.
You agreed to the filing when you signed the contract. Sunrun doesn’t have to notify you separately when it records the document, and the filing typically goes in when the system is installed, not later as some kind of penalty.
Whether You Have a Filing Depends on the Contract You Signed
Leases and Power Purchase Agreements
Under a lease, you pay Sunrun a monthly fee to use the system. Under a PPA, you pay a per-kilowatt-hour rate for the electricity it produces. In both cases Sunrun owns the equipment, and in both cases Sunrun files a UCC-1 fixture filing to document that ownership publicly. This is standard in residential solar, not something unique to Sunrun.
Solar Loans
If you financed the panels through a solar loan, you own the equipment from day one. The lender may place a traditional lien on your property to secure the balance, similar to a home equity loan, and releases the lien when you pay it off. Sunrun itself has no ownership interest in that scenario and wouldn’t file a UCC-1.
What the Filing Means When You Sell
A UCC-1 filing on a leased or PPA system has to be resolved before a sale closes. Buyers, their lenders, and the title company will all see it. You generally have three options:
- Transfer the agreement to the buyer, who assumes the monthly payments or per-kWh rate. Sunrun has to approve the transfer and will usually run a credit check on the buyer. This is the most common outcome.
- Buy out the contract by paying Sunrun the remaining balance or the cost to purchase the system outright. Buyout figures can be substantial early in a 20- or 25-year agreement. Once paid, Sunrun files a UCC-3 termination statement to clear the record.
- Have the system removed. This usually involves an early termination fee and leaves roof penetrations that need repair, so it’s the least practical route for most sellers.
The biggest risk is timing. Buyers who find out about the solar agreement late sometimes walk, and lenders can pause closings while they figure out how the UCC filing fits in. Disclosing the agreement early and starting the transfer or buyout process well before listing avoids most of these problems.
What the Filing Means When You Refinance
Mortgage lenders want first-lien position, meaning their claim has priority over anyone else’s if you default. A UCC-1 fixture filing is not a competing mortgage, but it still makes some lenders cautious.
Most lenders address this by asking Sunrun to sign a subordination agreement confirming that the mortgage takes priority over Sunrun’s interest in the equipment. Sunrun generally cooperates, but the paperwork can take several weeks, which can hold up a rate lock or push closing back. A smaller number of lenders won’t move forward until the filing is resolved. If you hit that wall, switching to a lender familiar with solar agreements is usually easier than trying to force the filing off the record. Most major mortgage companies now have a process for these situations.
How To Check Whether There’s a Filing on Your Property
You have two straightforward ways to find out what’s actually recorded.
Search your state’s secretary of state UCC filing database. Most states offer a free online search by debtor name. Look for your name as the debtor and Sunrun or a Sunrun affiliate as the secured party.
Order a title search through a title company. This is broader than a UCC-only search and will surface liens, judgments, and other encumbrances as well. Residential title searches typically run from $75 to $350 depending on location and provider. It’s worth doing if you’re preparing to sell or refinance.
While you’re at it, pull your original Sunrun contract and look for language authorizing UCC or fixture filings. Knowing what you agreed to makes it easier to evaluate whatever shows up in the records.
Getting a UCC Filing Removed
A UCC-1 fixture filing stays on the record until Sunrun files a UCC-3 termination statement, and Sunrun has no reason to file that termination while the lease or PPA is still active. Removal follows the end of the agreement, which usually happens one of three ways: you pay the buyout amount, the contract reaches the end of its term, or the agreement transfers successfully to a new homeowner at sale.
In practice, the termination filing doesn’t always happen promptly after an agreement ends. If yours is lingering, contact Sunrun in writing and request the UCC-3 filing. Keep copies of everything. If that gets no response, send a written demand by certified mail referencing your contract and proof that the agreement has been satisfied. Many states also let you file an authorization to terminate the financing statement yourself, or petition a court to order removal. Government fees for a UCC-3 termination filing are generally modest, ranging from nothing to about $40 depending on the state.
If the Filing Was Improper in the First Place
Not every filing is valid. If Sunrun recorded a UCC-1 without authorization in your contract, filed it after the agreement had ended, or filed it against the wrong property, you have grounds to challenge it.
Start with your contract. If the filing goes beyond what the contract allows, send Sunrun a written demand for removal that quotes the relevant contract language, explains why the filing is improper, and sets a reasonable deadline. If Sunrun refuses or ignores the demand, you can file a lawsuit seeking a court order to remove the filing. Courts can void unauthorized filings, and many states allow damages for financial harm the filing caused, such as higher interest rates paid during a refinance delay or lost proceeds from a home sale. Some states also allow recovery of attorney fees when a homeowner proves a filing was wrongful.
If court isn’t where you want to be, a complaint to your state attorney general’s consumer protection division or to the Consumer Financial Protection Bureau can sometimes prompt action, especially where there’s a pattern of improper filings.