Landbay Partners transfer of equity: q and a’s
- I am in the process of removing a name from a joint mortgage and the Landbay Partners need me to use a conveyancer to carry out the conveyancing. Can you recommend a reasonably priced Blaenavon
conveyancing solicitor to deal with the transfer of equity? They need to be on the Landbay Partners conveyancing panel.
- Landbay Partners have just agreed I can take over the mortgage on my home. I have applied for a transfer of equity but is this a transfer of ownership of the title deeds on top?
- What should I be budgeting for when it comes to what conveyancing charges are for a transfer of equity? I'm in the process of remortgaging - moving over to Landbay Partners - and have been quoted £250 including VAT by Landbay Partners's approved conveyancer, Is this a reasonable price?
- Do I need legal advice when doing a transfer of equity where the home loan is to remain with Landbay Partners?
- I purchased a flat with my brother in 2010 Since then, we have both got married. We are now seeking to do a transfer of equity so my name is removed the Landbay Partners mortgage. There is a 30k difference between the value the mortgage company say and what the property would sell for currently. Can you offer any advice?
- The mortgage broker has recommended their lawyer for our Transfer of Equity plus remortgage with Landbay Partners - Surely it’s better to just instruct them?
- I intend to remortgage my apartment in Heathfield
changing from Barclays to Landbay Partners. The apartment is jointly owned but wish for it to be in my name only when I switch. My husband has verbally consented to this and is happy to transfer equity but neither of us want to incur conveyancing solicitor charges.
Information that may be required from your conveyancer could ask regarding your Landbay Partners Transfer of Equity
Please provide the name(s) and addresse(s) of anyone to be removed from the property title?
Is the transfer of equity subject to a court order? If yes please supply a copy
Who will be responsible for the costs of the Transfer of Equity?
Please provide a copy of your National Insurance Number?
Will there be any consideration monies passing between the parties for the Transfer of Equity? Where this is the case, please state the amount and who is to receive what sums
Please confirm the person to be removed from the title deeds will not reside at the property after completion of the Transfer of Equity?
General Advice to read in further to the above Landbay Partners transfer of equity Advice :
Tax and Legal
There are numerous potential tax and legal implications when transferring equity for your property. You should always seek the advice of a solicitor on the Landbay Partners conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold premises
If your property is leasehold, provisions in the lease may have a requirement for notices to be served and that you obtain the consent of the freeholder. If such terms are not adhered to you may be in violation of the lease. This could potentially result in the freeholder taking enforcement action against you.
Indemnity Insurance
If the transfer of equity is made pursuant to an Order of the Court, then Insolvency Indemnity Insurance is not required. In other cases, where a property is being transferred at less than market value between joint owners, an Insolvency Act Indemnity Insurance policy may be required. This is something that that your lawyer will check with Landbay Partners This is because, if the outgoing party is made bankrupt in the future, their Trustee in Bankruptcy could argue that they had transferred the property in order to avoid their creditors and apply to the Court to have the transaction set aside. If this happens, it could affect your lender or a future buyer from you as they would lose the property and the lender may not get back
what they have loaned to you. The Insolvency Act Indemnity Insurance policy only protects
lenders such as Landbay Partners or future buyers from you. If there is no mortgage and the outgoing owner is made bankrupt, there is a risk to you that you could lose your home if the transfer is set aside. The cost of the Insolvency Act Indemnity Insurance policy varies based on the market value of the property at the conclusion of the transfer of equity conveyancing.
Your property may be repossessed if you do not keep up repayments on your mortgage with Landbay Partners.
Preparing the Transfer of Equity with a Landbay Partners Mortgage
When it comes to preparing the the Land Registry documents your conveyancer should in the ‘consideration’ panel choose the first option, if consideration is given; otherwise ignore the consideration panel altogether.
If Landbay Partners is joining in the transfer to release someone from liability, put the release in the ‘additional provisions’ panel if someone is entering into a covenant relating to the charge, place it in the ‘additional provisions’ panel stamp duty land tax is not payable when there is no chargeable consideration for the transfer (Schedule 3, paragraph 1 of the Finance Act 2003). In the case of a transfer subject to a charge (even if the transfer is by way of gift) or if a property has been transferred for no value and there is an associated discharge, HMRC would view this as an assumption of an existing debt by the purchaser (Schedule 4, paragraph 8 of the Finance Act 2003) and stamp duty land tax may be payable
if you wish you may state in the ‘additional provisions’ panel that ‘This transfer is made subject to a charge dated… in favour of…’
On form AP1, your lawyer should describe the transfer as ‘transfer of equity’ to assist Land Registry staff.
Information contained within this webpage is for general information and only applies to England and Wales. It should not be regarded as advice for members of the public who should contact their lawyer,mortgage broker, insurer and accountant for specific advice relating to transfer of equity. Whilst we endeavour to keep the information up to date and correct we do not make any representation or warranties of any kind about its completeness, accuracy, reliability or suitability. Any reliance you place on the information is strictly at your own risk. Lexsure will not be liable for any direct or indirect loss or damage arising out of or in connection with the use of this information.