Recently asked questions relating to Accord Mortgages transfer of equity

• I plan to remortgage my apartment in Romsey changing from Chelsea BS to Accord Mortgages. The apartment is currently in joint names but intend for it to be in my sole name as and when I transfer. My former partner has agreed to this and is willing to sign a form but neither of us want to get a second lawyer involved.
• Last year bought a flat without my fiance’s name on the ownership paperwork. My conveyancer advised it is due to the fact that she is not in the loan offer with Accord Mortgages. I'm wondering is there any way that I can put her name on the documents at HMLR?
• Been reviewing online blogs that solicitors are more expensive than conveyancers for transfer of equity conveyancing. So is it better if I use a conveyancer or a solicitor if I need to be transferring equity and simultaneously switching mortgage with Accord Mortgages
• At what stage do I pay stamp duty due for the transfer of equity in my home in my name alone which is taking place simultaneously with a remortgage with Accord Mortgages?
• I am thinking of remortgaging my apartment in Timperley does my lawyer have to be on the Accord Mortgages Solicitor panel. The conveyancing also involves a transfer of equity.
• Our mortgage broker has recommended their conveyancer for our Transfer of Equity plus remortgage with Accord Mortgages - Surely it’s advisable to just use them?
• I already have a mortgage with Accord Mortgages and am maintaining my current mortgaging but applying to have have the equity transferred to my name alone so my ex won't be on it any longer. How long do Accord Mortgages take to deal with the application?

Information that may be required from your lawyer may ask in relation to your Accord Mortgages Transfer of Equity

Important warnings to consider in in addition to the above Accord Mortgages transfer of equity information :

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 Mortgages 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 require that you have a license to do so from the freeholder. If such terms are not adhered to you may be in breach of your covenants under the lease. This could trigger 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 lawyer will check with Accord Mortgages 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 Mortgages 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 is dependent on the valuation of the property at finalisation of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a Accord Mortgages 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 Mortgages 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 conveyancer 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 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.