Sample questions relating to Accord Buy to Let transfer of equity

• I am led to believe we would need at least AP1 and Transfer Deed. Is this true?
• I purchased a property with my cousin six years ago Since then, we have both got married. We are now intending to do a transfer of equity so my name is removed the Accord Buy to Let mortgage. There is a meaningful difference between the value the mortgage company say and what the property would sell for currently. Can you offer any advice?
• Have recently split up with my wife of thirty years. I'm now living with my mum and dad and she wants to remain in the apartment and buy me out. What percentage do I get. Is it 50% of the equity after discharging the mortgage with Accord Buy to Let? I assume proper valuations are required but I really need ensure that I'm getting I am not being taken advantage of
• How and when do I cover the costs of the Stamp Duty Land Tax due for the transfer of equity in my house in my name alone which is taking place at the same time as a switching mortgage via Accord Buy to Let?
• I currently have a joint Accord Buy to Let mortgage with my brother and am investigating the option of him assuming responsibility for the whole mortgage and extracting myself from it, to enable me to buy somewhere with my partner. The remaining mortgage is about 175k, and the property value is in the region 600k. Is this a transfer of equity? Is land tax payable?
• My Accord Buy to Let home loan is in joint names with ex, who is agreeable to be removed and put the house in my name alone. Accord Buy to Let have consented to the transfer of equity to my individual name. Will Accord Buy to Let contact my employer to check my salary?
• I intend to remortgage my home in Littleborough changing from Coventry BS to Accord Buy to Let. The maisonette is jointly owned but wish for it to be in my name only as and when I switch. My husband has verbally consented to this and is happy to transfer equity but neither of us want to get a second lawyer involved.

Information that may be required from your conveyancer may ask in relation to your Accord Buy to Let Transfer of Equity

General Advice to read in supplemental the above Accord Buy to Let transfer of equity Questions and Answers :

Tax and Legal

There may be various tax and legal implications when transferring equity for your property. You should always seek the advice of a solicitor on the Accord Buy to Let conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold properties

Should the tenure of your property be leasehold, the lease may have a requirement for notices to be served and that you have a license to do so from the freeholder. If such restrictions are not strictly observed you may be in breach 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 situations, 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 conveyancer will check with Accord Buy to Let 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 Accord Buy to Let 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 time of completion of the transfer of equity transaction.

Preparing the Transfer of Equity with a Accord Buy to Let Mortgage

When it comes to preparing the the Land Registry documents your lawyer should in the ‘consideration’ panel choose the first option, if consideration is given; otherwise ignore the consideration panel altogether.

If Accord Buy to Let 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 conveyancing solicitor should describe the transfer as ‘transfer of equity’ to assist Land Registry staff.

Information provided on this webpage is for general information and only applies to England and Wales. It does not constitute 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.