Questions and answers: Co operative Bank transfer of equity
- My Co operative Bank home loan is in joint names with ex, he has agreed to come off the deeds and let me have the property. Co operative Bank will permit the transfer of equity to my individual name. Do Co operative Bank call my company to verify my salary?
- I got divorced two years ago. I simply never got around to transfer ownership from the current 'joint' status to just in my name. I am ready to do that and so is she. Transfer-of-equity is needed. Co operative Bank is happy to transfer the full equity in my name (affordability checks done). Does my ex need a solicitor?
- What should I be budgeting for when it comes to what solicitors fees are for a transfer of equity? I need to transfer equity and refinance - new loan with Co operative Bank - and have been quoted Four Hundred pounds excluding VAT by Co operative Bank's appointed lawyer, Is this a reasonable price?
- My former husband are looking to get a conveyancing solicitor lined up for a refinance with Co operative Bank. Transfer of Equity conveyancing is also neededI have used the different comparison based tools and the results are from all over the country. How necessary is it to have a conveyancer local to us?
- Given that we have been 2 a couple of years apart I have made the decision to give up my share of our former home to my husband who is refinancing with Co operative Bank. Could this transfer of equity be done in four weeks?
- I am completing a Co operative Bank transfer of equity request and have come to the part regarding debts etc. I do some debts that I have been reducing for a number of years, in fact they have long since disappeared from my credit score. Must I reveal these?
- Me and my former fiance and I are are looking to find a quality conveyancing lawyer to assist in a transfer of equity and remortgage with Co operative Bank. I really don't want to get ripped off and there are lots of conveyancing solicitors who do transfer of equity conveyancing out there...who's the best?
Information that may be required from your conveyancer is likely to ask regarding your Co operative Bank Transfer of Equity
Where you are adding someone on to the property how would you like to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Form.
Would you like us to draft you Declaration of Trust. If so are you happy to incur the additional fee (beyond the Transfer of Equity fee)?
Please give the details of anyone to be extracted from the title deeds?
Please give the name(s) and addresse(s) of anyone to be added to the title deeds?
Has one of the registered proprietors passed away? If so please supply us with a copy of all the relevant documents e.g. the will, death certificate etc..
Is there to be any payment between the parties for the Transfer of Equity? If so, please state the amount and who is to receive what figure
Important warnings to consider in supplemental the above Co operative Bank 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 Co operative Bank conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold premises
If your property is leasehold, provisions in the lease may require that you obtain the consent of the landlord. If such conditions are not complied with you may be in breach of the lease. This could potentially result in 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 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 lawyer will check with Co operative 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 Co operative 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 valuation of the property at the time of completion of the transfer of equity conveyancing.
If you do not keep up the payments on your mortgage with Co operative Bank your property may be repossessed.
Preparing the Transfer of Equity with a Co operative Bank 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 Co operative 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 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.