Examples of recent questions relating to Clydesdale Bank transfer of equity

• Have recently separated from my ex of thirty years. I'm now living with my parents again and she wants to remain in the property and buy me out. What portion do I get. Is it half of the equity after paying off the mortgage with Clydesdale Bank? I assume proper valuations are necessary but I really need ensure that I'm getting I am not being taken advantage of
• As things stand I have a joint Clydesdale Bank mortgage with my cousin and am investigating the possibility of him assuming responsibility for the outstanding mortgage and removing myself from it, so as to enable me to purchase a property with my fiance. The remaining mortgage is approx 250k, and the property value is about 600k. Is this a transfer of equity? Is stamp duty involved?
• I am under the impression we would need at least AP1 and Transfer Deed. Is this true?
• What can I do where I am unhappy with the conveyancing solicitor who handled my transfer of equity transaction?
• Is it possible to apply to request more money from Clydesdale Bank as part of a Transfer of Equity?
• Clydesdale Bank have just agreed I can take over the home loan on the house. I previously applied for a transfer of equity but presumably there is a transfer of ownership of the house on top?
• I am selling my share of a property in Warwick to the other co-owners fiance, they are reapplying to Clydesdale Bank. We are haggling as to who should cover the legal bill for the transfer of equity. Is this usually split or is one party obliged to cover the charges for?

Examples of questions in a conveyancer questionnaire concerning a Clydesdale Bank Transfer of Equity

Important warnings to consider in further to the above Clydesdale Bank transfer of equity Advice :

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 Clydesdale Bank conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold premises

If your property is leasehold, the lease may have a requirement for notices to be served and that you obtain the consent of the freeholder. If such terms are not adhered to you may be in breach of your covenants under the lease. This could potentially result in 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 Clydesdale 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 Clydesdale 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 varies based on the market value of the property at finalisation of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a Clydesdale 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 Clydesdale 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 lawyer 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.