Cynergy Bank transfer of equity example support desk enquires
- Have recently split up with my partner of twenty years. I'm now living with my parents again and she wishes to remain in the property and buy me out. What percentage do I get. Is it 50% of the equity after redeeming the mortgage with Cynergy Bank? I assume proper valuations are required but I really need ensure that I'm getting what I am entitled to
- I am hoping to refinance my home in Blaenavon
changing from Barnsley BS to Cynergy Bank. The home is currently in joint names but intend for it to be in my name only once I remortgage. My wife is OK with this and is willing to sign a form but neither of us want to incur conveyancing solicitor charges.
- Can you tell me how to have someone removed from the deeds to a property where the mortgage is with Cynergy Bank
- I bought a property with a friend in 2010 Since purchasing the property, we have both got married. We are now looking to do a transfer of equity so my name comes off the Cynergy Bank mortgage. There is a significant difference between the 'rightmove estimate' and what the property would sell for currently. Can you offer any advice?
- Online reading suggests 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 am transferring equity and simultaneously refinancing with Cynergy Bank
- I am filling out a Cynergy Bank transfer of equity form and have arrived at the questions regarding debts etc. There are some debts that I have been discharging over a long period, in fact they have long since disappeared from my credit score. Must I reveal these?
- Is it sensible to stop my mortgage payments with Cynergy Bank as soon as a date for my remortgage and transfer of equity has been agreed?
Information that may be required from your conveyancing solicitor could ask regarding your Cynergy Bank Transfer of Equity
Would you like us to draw up a Declaration of Trust. If so are you willing to incur the additional fee (beyond the Transfer of Equity fee)?
If are intent on holding the property as beneficial Tenants in Common in unequal shares, what is the split to be. For e.g. 50-50, or 60-40?
Please list all persons who occupy the property, their respective ages and relationships to you.
Has consent been obtained from Cynergy Bank to the proposed transfer of equity?
Who will be responsible for the costs of the Transfer of Equity?
Please let us know if you are providing any payment for the Transfer of Equity and to whom and disclose the amount?
Information to consider in supporting the above Cynergy Bank transfer of equity Info :
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 Cynergy Bank conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
If your property is 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 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 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 Cynergy Bank 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 Cynergy Bank 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 the time of completion of the transfer of equity transaction.
If you do not keep up the payments on your mortgage with Cynergy Bank your property may be repossessed.
Preparing the Transfer of Equity with a Cynergy Bank 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 Cynergy Bank 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 contained within 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.