Recently asked questions relating to Aviva Equity Release transfer of equity
- What should I be budgeting for when it comes to what solicitors fees are for a transfer of equity? I'm in the process of remortgaging - moving over to Aviva Equity Release - and have been quoted £250 excluding VAT by Aviva Equity Release's appointed conveyancer, Have I been over quoted?
- My partner and I jointly own a house in Rye
. Mortgage is with Aviva Equity Release. I would like to transfer full ownership to him with no exchange of money but without using a conveyancing solicitor. Do you think this should be straightforward?
- Me and my former wife and I are searching for an affordable conveyancing solicitor to help me sell in a transfer of equity and remortgage with Aviva Equity Release. I I am concerned about by bill escalating out of control and there's many conveyancing solicitors who do transfer of equity conveyancing to choose from...how do I know which one is best appoint?
- I am disposing of my equity in house in Warwick to the other co-owners husband, they are sticking with Aviva Equity Release as the the existing mortgage company. We are haggling as to who must pay the costs of the transfer of equity. Should this be shared or is one of us obliged to cover the fees for?
- I bought a property with a friend in 2009 Since then, we have both got married. We are now looking to do a transfer of equity so my name is taken off the Aviva Equity Release mortgage. There is a 30k difference between the 'rightmove estimate' and what the property would sell for currently. Can you offer any advice?
- I understand we would need at least AP1 and TR1. Is this true?
- Our financial adviser has recommended their lawyer for the Transfer of Equity plus remortgage with Aviva Equity Release - won’t it be better to just instruct them?
Examples of questions in a lawyer questionnaire concerning a Aviva Equity Release Transfer of Equity
Please give the name(s) and addresse(s) of anyone to be added to the title deeds?
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and give details of the amount?
Have you approached Aviva Equity Release to seek consent to the Transfer of Equity
Where you are adding someone on to the property how would you like to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Questionnaire.
Please give the details of those who jointly own the property with you?
Please confirm the person to be removed from the title deeds will not reside at the property after completion of the Transfer of Equity?
Caveats to be read in in addition to the above Aviva Equity Release transfer of equity information :
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 Aviva Equity Release 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.
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 Aviva Equity Release 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 Aviva Equity Release 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 valuation of the property at the conclusion of the transfer of equity conveyancing.
If you do not keep up the payments on your mortgage with Aviva Equity Release your property may be repossessed.
Preparing the Transfer of Equity with a Aviva Equity Release Mortgage
When it comes to preparing the the Land Registry documents your conveyancing solicitor should in the ‘consideration’ panel choose the first option, if consideration is given; otherwise ignore the consideration panel altogether.
If Aviva Equity Release 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.
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.