“I’ve heard that those solar loans are a problem when you sell. Is that true?”
Yes, most if not all solar loans (often called HERO or PACE loans) are a problem unless your buyer is paying cash.
That’s because they won’t go “junior” to a buyer’s new loan, meaning the solar loan stays in “first position” and the new loan would be in “second position.” And the buyer’s lender on a first mortgage — by definition — won’t agree to go second.
Without going too far into the weeds of first and second mortgages, I’ll just say that this won’t work and the seller would have to pay off the solar mortgage.
Solar liens and leases are another story and another whole set of challenges, but they’re not necessarily as problematic as solar loans.