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Bank of Ireland

Recently asked questions relating to Bank of Ireland transfer of equity

  • My Bank of Ireland mortgage we jointly entered into with ex, he is agreeable to come off the deeds and put the house in my name alone. Bank of Ireland have consented to the transfer of equity to my individual name. Will Bank of Ireland contact my boss to check my salary?
  • How and when do I pay the Stamp Duty Land Tax chargeable for the transfer of equity in my property in my name alone which is happening simultaneously with a refinancing via Bank of Ireland?
  • My mum died last May leaving a mortgage-free house to me and my brother in equal shared. He has always lived in the house, there was a provision in the will saying the housecould not be sold for 24 months after her passing so he could reside there for a specified time frame. He now wishes to remain in the house beyond the specified period. We have discussed a transfer of equity. Am I right in saying we'd get a valuation then he'd get a mortgage in the conventional way to purchase my share?
  • What if my application doesn't meet Bank of Ireland lending criteria for a transfer of equity?
  • What legal advice do I need when doing a transfer of equity where the home loan is to remain with Bank of Ireland?
  • I am completing a Bank of Ireland transfer of equity form and have arrived at the questions that asks about defaults etc. There are some debts that I have been paying off for a number of years, I understand that they have long since disappeared from my credit score. Must I set these out?
  • I co-own a property in Heathfield , with a Bank of Ireland loan with my former husband. He and his fiance are going to acquire my share. We had consent from Bank of Ireland to replace my name with hers. The transfer of equity has to be completed by a conveyancing solicitor for Bank of Ireland (supposedly). Can we deal with the Land Registry change?

Examples of information requested in a conveyancing solicitor questionnaire relating to Bank of Ireland Transfer of Equity

Please list all persons who occupy the property, their respective ages and relationships to you.

Have you approached Bank of Ireland to obtain consent to the Transfer of Equity

Where you are adding someone on to the property how do you wish to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Questionnaire.

Is the transfer of equity subject to a court order? If yes please supply a copy

Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and provide details of the amount?

Please give the details of anyone to be added to the property title?

Important warnings to consider in conjunction with the above Bank of Ireland transfer of equity Questions and Answers :

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 Bank of Ireland conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold properties

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 landlord. If such conditions are not complied with 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 conveyancing solicitor will check with Bank of Ireland 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 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.
If you do not keep up the payments on your mortgage with Bank of Ireland your property may be repossessed.

Preparing the Transfer of Equity with a Bank of Ireland 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 Bank of Ireland 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 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.


Frequently asked questions relating to Bank of Ireland transfer of equity