DB UK Bank transfer of equity example support desk enquires
- Is it possible to transfer the equity held in my property with my DB UK Bank mortgage?
- My brother and I got a joint mortgage with DB UK Bank on a property in 2013. I am now thinking of buying a apartment on my own and my friend would like to buy me out. Once we have agreed a figure what are the next steps? Would there be any potential problem with DB UK Bank with him being on the hook for the total mortgage rather than only half of it?
- My ex are seeking to get a conveyancer in place for a new mortgage with DB UK Bank. Transfer of Equity conveyancing is also requiredI have used the different comparison based tools and the results are from all over UK. Do we need to appoint a conveyancer local to us?
- Been reviewing online blogs 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 where I am transferring equity and simultaneously switching mortgage with DB UK Bank
- I acquired a house with my cousin six years ago Since then, we have both got married. We are now looking to do a transfer of equity so my name is taken off the DB UK Bank mortgage. There is a 40k difference between the value the mortgage company hold and what the property would sell for currently. Can you offer any advice?
- My father passed away last May leaving a unencumbered bungalow to me and my half brother equally. Having continues to reside at the premises, there was a clause in the will specifying that the housecould not be sold for three years following her passing so he could remain there for a prescribed period. He now wants to remain in the property beyond the prescribed period. We have considered a transfer of equity. Am I right in saying we should get a valuation then he'd get a home loan in the usual way to acquire my equity?
- I jointly own a property in Rye
, with a DB UK Bank mortgage with my former husband. Him and his new partner are going to buy me out. We had consent from DB UK Bank to substitute my name with hers. The transfer of equity needs to be completed by a lawyer for DB UK Bank (supposedly). Is it possible for us to do the Land Registry formalities?
Information that may be required from your conveyancer is likely to ask in relation to your DB UK Bank Transfer of Equity
Please provide the name(s) and addresse(s) of anyone to be removed from the property title?
Can you give the name(s) and addresse(s) of those who jointly own the property with you?
Where you are adding a person on to the title deeds how do you wish to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Form.
Have you approached DB UK Bank to seek consent to the Transfer of Equity
Please give the name(s) and addresse(s) 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?
Caveats to be read in conjunction with the above DB UK Bank 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 DB UK Bank 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 have a requirement for notices to be served and that you have a license to do so from the landlord. If such conditions are not complied with you may be in violation 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 conveyancing solicitor will check with DB UK 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 DB UK 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 is dependent on the market value of the property at the conclusion of the transfer of equity conveyancing.
If you do not keep up the payments on your mortgage with DB UK Bank your property may be repossessed.
Preparing the Transfer of Equity with a DB UK 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 DB UK 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.
Information provided 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.