Sample questions relating to Bank of Ireland Mortgages transfer of equity

• How and when do I incur stamp duty payable for the transfer of equity in my house in my sole name which is taking place simultaneously with a refinancing with Bank of Ireland Mortgages?
• 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 where I need to be transferring equity and at the same time refinancing with Bank of Ireland Mortgages
• I am answering a Bank of Ireland Mortgages transfer of equity application and have come to the section that asks about defaults etc. There are some debts that I have been clearing since 2007, in fact they no longer remain my credit rating. Am I obliged to set these out?
• Will I incur any charges for a Transfer of Equity where the current home loan is with Bank of Ireland Mortgages?
• My mother died seven months ago leaving a unencumbered property to me and my half brother in equal shared. Having continues to reside at the property, there was a condition in her will saying the propertycould not be sold for three years after her passing so he could reside there for a prescribed period. He now wants to remain in the house beyond the prescribed period. We have considered a transfer of equity. Would I be right in thinking that we should get a valuation then he'd get a home loan in the usual way to purchase my equity?
• My brother and I got a joint mortgage with Bank of Ireland Mortgages on a house about a year ago. I am now looking to get a property on my own and my friend would like to buy me out. Assuming we can agree a price where do we go? Is there likely to be any issue with Bank of Ireland Mortgages with him being on the hook for the total loan rather than only part of it?
• My divorce has gone through as is the consent order. Now I must deal with the transfer of equity on title deeds and the Bank of Ireland Mortgages mortgage. I have asked Bank of Ireland Mortgages for the transfer of equity application. What are my next steps?

Examples of information requested in a conveyancing solicitor form concerning a Bank of Ireland Mortgages Transfer of Equity

General Advice to read in further to the above Bank of Ireland Mortgages 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 Bank of Ireland Mortgages conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold properties

If your property is leasehold, the lease may require that you obtain the consent of the freeholder. If such terms are not adhered to you may be in violation 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 Bank of Ireland 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 Bank of Ireland 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 finalisation of the transfer of equity transaction.

Preparing the Transfer of Equity with a Bank of Ireland 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 Bank of Ireland 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 conveyancing solicitor 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 does not constitute 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.