Frequently asked questions relating to April Mortgages transfer of equity

• What if my application doesn't meet April Mortgages lending criteria for a transfer of equity?
• How much the typical legal costs are for a transfer of equity? I need to transfer equity and remortgage - new loan with April Mortgages - and have been quoted £350 including VAT by April Mortgages's approved conveyancing solicitor, Is this a reasonable price?
• I am in the process of removing a name from a joint mortgage and the April Mortgages require me to use a conveyancing solicitor to carry out the legalities. Can you recommend a reasonably priced Sedgefield lawyer to deal with the transfer of equity? They need to be on the April Mortgages conveyancing panel.
• April Mortgages have today agreed I can take over the home loan on the house. I previously applied for a transfer of equity but is this a transfer of ownership of the title deeds in addition?
• My ex are seeking to get a lawyer in place for a refinance with April Mortgages. Transfer of Equity conveyancing is also necessaryI have used the different rating based services and the results are from all over England and Wales. How necessary is it to appoint a conveyancer local to us?
• What can I do where I am not happy with the lawyer who carried out our transfer of equity transaction?
• My partner and I jointly own a house in Heathfield . Mortgage is with April Mortgages. I want to transfer full ownership to him with no payment of money but without using a lawyer. Is this likely to be simple?

Information that may be required from your lawyer could ask about your April Mortgages Transfer of Equity

General Advice to read in supplemental the above April Mortgages transfer of equity Questions and Answers :

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 April Mortgages conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold titles

If your property is leasehold, provisions in 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 conveyancer will check with April 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 April 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 varies based on the market value of the property at the conclusion of the transfer of equity transaction.

Preparing the Transfer of Equity with a April Mortgages 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 April 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.

Content 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.