Bluestone Mortgages transfer of equity example support desk enquires
- Me and a friend got a joint mortgage with Bluestone Mortgages on a house a couple of years ago. I am now looking to get a flat by myself and my friend would like to buy me out. On the basis that we can settle on a price what are the next steps? Would there be any potential concerns with Bluestone Mortgages with him being responsible for the total mortgage rather than only half of it?
- Bluestone Mortgages have just agreed I can take over the home loan on my home. I have applied for a transfer of equity but presumably there is a transfer of ownership of the title deeds on top?
- Having been 2 a couple of years separated I have opted to transfer my interest in the property to my husband who is re-mortgaging with Bluestone Mortgages. Could this transfer of equity be completed inside 28 days?
- My decree absolute is through as is the consent order. Now I have to sort out the transfer of equity at the HMLR and the Bluestone Mortgages home loan. I have called Bluestone Mortgages for the transfer of equity forms. What happens next?
- Online reading suggests that solicitors are more expensive than conveyancers when it comes to transfer of equity conveyancing. Am I better of using a conveyancer or a solicitor if I am transferring equity and simultaneously refinancing with Bluestone Mortgages
- Can you tell me how to have a person removed from the deeds to a house if the home loan is with Bluestone Mortgages
- Me and my former partner and I are are looking to find an affordable conveyancing solicitor to assist in a transfer of equity and refinance with Bluestone Mortgages. I I am fearful of appointing the wrong one and there are many conveyancing practices who do transfer of equity conveyancing out there...who do I opt for?
Sample of questions in a conveyancer questionnaire concerning a Bluestone Mortgages Transfer of Equity
Have you approached Bluestone Mortgages 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?
Please provide the details of anyone to be removed from the property title?
Please provide the details of anyone to be added to the property title?
If are going to hold the property as beneficial Tenants in Common in unequal shares, what is the split to be. For e.g. 50-50, or 60-40?
Who will be responsible for the costs of the Transfer of Equity?
Information to consider in supporting the above Bluestone Mortgages transfer of equity information :
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 Bluestone Mortgages conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold premises
Should the tenure of your property be leasehold, provisions in the lease may require that you have a license to do so from the landlord. If such restrictions are not strictly observed you may be in violation of the lease. This could trigger the freeholder taking enforcement action against you.
If the transfer of equity is made as a result of 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 Bluestone 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 Bluestone 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 is dependent 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 Bluestone Mortgages your property may be repossessed.
Preparing the Transfer of Equity with a Bluestone Mortgages 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 Bluestone 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 lawyer should describe the transfer as ‘transfer of equity’ to assist Land Registry staff.
Information provided 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.