The default rates in residential solar lending can vary depending on various factors such as the lender's underwriting standards, borrower creditworthiness, loan term, and the solar panel system's performance. However, according to industry data and reports, the default rates for residential solar loans are generally low, ranging from 0.5% to 1.5%.

For example, a report by the National Renewable Energy Laboratory (NREL) found that the default rate for residential solar loans in the United States was around 0.83%. Another study by the National Renewable Energy Association (NREA) showed that the default rate for solar loans offered by the Federal Credit Union was around 0.5%.

It's important to note that default rates may vary based on several factors and may not necessarily represent the overall market. 

For more information regarding the benefits and risks of starting a solar lending program, Schedule time with Atmos Financial.

Atmos builds bespoke best-in-class solar lending programs for lenders in as little as a few weeks. Program benefits minimize default risk while maximizing overall program benefits. Through Atmos, banks and credit unions earn fee income, an attractive NIM, minimize program operating costs and acquire high-potential customers.

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