GoodLeap Securitizes $467 Million Residential Solar Loan

Leading American Solar loan provider GoodLeap (formerly Loanpal), announced on May 23 the closure of GoodLeap Sustainable Home Solutions Trust 2022-2 following the securitisation of residential solar loans worth $467 million to approximately 11,000 homeowners. Originated on the GoodLeap platform, the securitization was underwritten by Credit Suisse and Goldman Sachs.

Tanguy Serra, GoodLeap’s President and Chief Investment Officer, said, “Residential solar and home efficiency loans have proven to be a resilient asset class that have shown excellent payment performance. It is telling that in a volatile market, the deal was well received.”

GoodLeap’s proprietary technology platform supports more than 21,000 home efficiency sales professionals at the point-of-sale, creating an efficient option for financial institutions to deploy their capital in high-performing ESG assets.

In the United States, the annual residential PV capacity increased significantly from 2.8 GW in 2019 to 3.1 GW in 2020, reflecting a promise to keep the trend. Some of the major players operating in the residential solar energy market include Trina Solar Co. Ltd, Canadian Solar Inc., JinkoSolar Holding Co. Ltd, Hanwha Q Cells Co. Ltd, and Tesla Inc. Solar financing has played a key role in advancing solar installations in the market, with firms like Goodleap virtually taking shape around the demand. Other dedicated firms in the market include Mosaic, SunRun, SunPower and more.

The residential solar energy market is expected to register a CAGR of more than 10.5% during the forecast period of 2022-2027, primarily driven by the factors like the declining cost of solar photovoltaic (PV) systems owing to technological upgradations and competition in the market globally, expected savings in electricity costs, the need for an alternative source of electricity, the desire to mitigate climate change risk, coupled with supportive government policies and incentives.

The demand for residential solar energy is expected to increase over 2022-27 in the Asia-Pacific region accounting for more than 30% of the global residential solar PV market.