Sample questions relating to Earl Shilton Building Society transfer of equity
- My former husband are looking to get a conveyancing solicitor lined up for a new mortgage with Earl Shilton Building Society. Transfer of Equity conveyancing is also neededI have used the different comparison based services and the results are from all over England and Wales. Is it important to have a lawyer local to us?
- I already have a home loan with Earl Shilton Building Society and am keeping my existing mortgaging but wish to have it in my sole name so my ex will no longer be on the mortgage. How long can it take for the forms to be processed?
- As things stand I have a joint Earl Shilton Building Society mortgage with my brother and am looking into the option of him taking on the outstanding mortgage and extracting myself from it, so as to enable me to purchase a property with my partner. The outstanding mortgage is in the region 250k, and the property value is in the region 600k. Is this a transfer of equity? Is land tax due?
- My fiance and I jointly own a investment property. I am a top rate tax payer. Ideally I wish to do a transfer of equity to her sole name with a view to mitigate tax on rental income. Assuming Earl Shilton Building Society are fine with this the legal fees are not prohibitive. However what happens when we sell? Would my GGT relief be lost.
- Can I apply to borrow a further advance from Earl Shilton Building Society as part of a Transfer of Equity?
- My father died half a year ago leaving a unencumbered property to me and my step brother 50:50. Having continues to reside at the house, there was a clause in her will saying the premisescould not be sold for three years following her death so he could remain there for a while. He now wishes to remain in the property beyond the specified period. We have discussed a transfer of equity. Am I right in saying we'd get a valuation then he'd get a home loan in the conventional way to acquire my half from me?
- I acquired a house with a friend six years ago Since then, we have both got married. We are now seeking to do a transfer of equity so my name is removed the Earl Shilton Building Society mortgage. There is a significant difference between the 'rightmove estimate' and what the property would sell for currently. Can you offer any advice?
Information that may be required from your conveyancing solicitor could ask regarding your Earl Shilton Building Society Transfer of Equity
Has consent been obtained from Earl Shilton Building Society to the proposed transfer of equity?
Is it the case that one of the registered proprietors passed away? If so please forward us with a copy of all the relevant documents e.g. the will, death certificate etc..
Please let us know of you wish us to draft you Declaration of Trust. If so are you happy to incur the additional fee (beyond the Transfer of Equity fee)?
Please provide a copy of your National Insurance Number?
Can you provide the details of those who jointly own the premises with you?
Who will be responsible for the costs of the Transfer of Equity?
Information to consider in in addition to the above Earl Shilton 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 Earl Shilton Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
If your property is leasehold, provisions in the lease may have a requirement for notices to be served and that you obtain the consent of the freeholder. If such restrictions are not strictly observed you may be in breach of your covenants under the lease. This could trigger the freeholder taking enforcement action against you.
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 conveyancing solicitor will check with Earl Shilton 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 Earl Shilton 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 is dependent on the valuation of the property at the conclusion of the transfer of equity conveyancing.
Your property may be repossessed if you do not keep up repayments on your mortgage with Earl Shilton Building Society.
Preparing the Transfer of Equity with a Earl Shilton Building Society Mortgage
When it comes to preparing the the Land Registry documents your lawyer should in the ‘consideration’ panel choose the first option, if consideration is given; otherwise ignore the consideration panel altogether.
If Earl Shilton 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.
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.