Examples of recent questions relating to Chelsea Building Society transfer of equity

• Will I have to pay any charges for a Transfer of Equity where the current home loan is with Chelsea Building Society?
• Me and my former wife and I are are looking to find a quality conveyancing lawyer to help me sell in a transfer of equity and refinance with Chelsea Building Society. I want to avoid being ripped off but with plenty conveyancing firms who do transfer of equity conveyancing out there...how do I know which one is best appoint?
• How and when do I pay the Stamp Duty Land Tax chargeable for the transfer of equity in my house in my name alone which is taking place at the same time as a remortgage with Chelsea Building Society?
• Law month I split up with my ex of twenty years. I'm now back with my mum and dad and she wishes to stay in the apartment and buy me out. What portion do I get. Is it 50% of the equity after paying off the Chelsea Building Society home loan? I assume proper valuations are required but I really need ensure that I'm getting the best deal
• My current mortgage is with Chelsea Building Society. Can I transfer equity to someone under eighteen years old?
• I am considering remortgaging my flat in Witham does my lawyer have to be on the Chelsea Building Society Solicitor panel. The conveyancing also involves a transfer of equity.
• Me and a friend got a joint mortgage with Chelsea Building Society on a apartment a couple of years ago. I am now thinking of purchasing a apartment on my own and my friend would like to buy me out. On the basis that we can settle on a figure what happens next? Is there likely to be any issue with Chelsea Building Society with him being on the hook for the total loan as opposed to only half of it?

Questions that your lawyer is likely to ask in relation to your Chelsea Building Society Transfer of Equity

Important warnings to consider in supplemental the above Chelsea Building Society 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 Chelsea Building Society conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold properties

Should the tenure of your property be leasehold, the lease may require 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 trigger the freeholder taking enforcement action against you.

Indemnity Insurance

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 conveyancer will check with Chelsea Building Society 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 Chelsea Building Society 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 time of completion of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a Chelsea Building Society 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 Chelsea Building Society 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.