Aviva Equity Release transfer of equity: q and a’s
- Online research suggests that solicitors are more expensive than licensed conveyancers when it comes to transfer of equity conveyancing. So is it better if I use a conveyancer or a solicitor if I am transferring equity and simultaneously refinancing with Aviva Equity Release
- My financial adviser has recommended their lawyer for the Transfer of Equity plus remortgage with Aviva Equity Release - won’t it be better to just use them?
- I am in the market for an affordable conveyancing solicitor to assist in a transfer of equity and remortgage with Aviva Equity Release. I I am fearful of being overcharged but with various conveyancing firms who do transfer of equity conveyancing out there...who's the best?
- I acquired a property with my brother six years ago Since purchasing the property, we have both got married. We are now seeking to do a transfer of equity so my name is removed the Aviva Equity Release mortgage. There is a meaningful difference between the value the Aviva Equity Release hold and what the property would sell for currently. Can you offer any advice?
- My current home loan is with Aviva Equity Release. Can I transfer equity to someone under 18 years old?
- My ex are seeking to get a conveyancing solicitor lined up for a new mortgage with Aviva Equity Release. Transfer of Equity conveyancing is also requiredI have used the different rating based websites and the results are from all over UK. Is it important to instruct a conveyancer local to us?
- My dad passed away last May leaving a loan-free semi to me and my brother 50:50. Having continues to reside at the house, there was a condition in her will specifying that the housecould not be sold for three years after her passing so he could continue to live there for a specified time frame. He now wishes to remain in the house beyond the prescribed period. We have discussed a transfer of equity. Am I right in saying we should get a valuation then he'd get a mortgage in the conventional way to purchase my half from me?
Questions that your lawyer is likely to ask regarding your Aviva Equity Release Transfer of Equity
Please give the name(s) and addresse(s) of anyone who jointly owns the property with you?
Have you approached Aviva Equity Release to seek consent to the Transfer of Equity
Please confirm the person to be removed from the title deeds will not reside at the property after the transfer of equity has been formalised?
We need you to provide the National Insurance Number(s) of all the new owners (required for submission of the Stamp Duty Land Tax Form)
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and give details of the amount?
Has one of the registered owners died? If so please forward us with a copy of the Death Certificate, Probate and a copy of the Will.
Important warnings to consider in conjunction with the above Aviva Equity Release transfer of equity Info :
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 Aviva Equity Release 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 conditions are not complied with you may be in violation of your covenants under the lease. This could potentially result in 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 conveyancing solicitor 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 market value of the property at finalisation of the transfer of equity transaction.
Your property may be repossessed if you do not keep up repayments on your mortgage with Aviva Equity Release.
Preparing the Transfer of Equity with a Aviva Equity Release 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 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 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.