Common questions relating to Ecology Building Society transfer of equity
- My divorce is through as is the consent order. Now I must address the transfer of equity for the property and the Ecology Building Society home loan. I have asked Ecology Building Society for the transfer of equity forms. What do I do now?
- What do I need to do when it comes adding or removing names (transfer of equity) to or from my Ecology Building Society mortgage account?
- At what stage do I incur the Stamp Duty Land Tax due for the transfer of equity in my property in my sole name which is taking place simultaneously with a switching mortgage via Ecology Building Society?
- I am in the process of removing a name from a joint mortgage and the Ecology Building Society require me to use a conveyancing solicitor to carry out the legalities. Can you recommend a reasonably priced Wakefield
conveyancer to deal with the transfer of equity? They need to be on the Ecology Building Society conveyancing panel.
- I recently purchased a apartment without my partner's name on the deeds. My conveyancer claimed it is due to the fact that she was not in the loan offer with Ecology Building Society. I'm wondering is there any way that I can put her name on the documents at HM Land Registry?
- I jointly own a house in Wakefield
, with a Ecology Building Society loan with my ex partner. Him and his fiance are going to buy me out. We had consent from Ecology Building Society to replace my name with hers. The transfer of equity has to be done by a conveyancer for Ecology Building Society (supposedly). In order to save fees can I do the Land Registry formalities?
- When it comes to transfer of equity conveyancing involving a remortgage with Ecology Building Society should I be paying VAT on the following: (1) Land Registry fee on the transfer of equity (2) Pre - completion search fee (3) SDLT E submission on the transfer (4) Bank TT fee
Examples of questions in a conveyancer form concerning a Ecology Building Society Transfer of Equity
Can you provide the details of those who jointly own the property with you?
Is the transfer of equity subject to a court order? If yes please supply a copy
Please confirm the person to be removed from the title deeds will not reside at the property after completion of the Transfer of Equity?
Is it the case that one of the registered owners died? If so please provide us with a copy of the Death Certificate, Probate and a copy of the Will.
Please provide a copy of your National Insurance Number?
Please list all persons who occupy the property, their respective ages and relationships to you.
General Advice to read in supporting the above Ecology Building Society transfer of equity Info :
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 Ecology Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
Should the tenure of your property be 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 conditions are not complied with you may be in violation of the lease. This could trigger 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 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 lawyer will check with Ecology 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 Ecology 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 market value of the property at finalisation of the transfer of equity transaction.
Your property may be repossessed if you do not keep up repayments on your mortgage with Ecology Building Society.
Preparing the Transfer of Equity with a Ecology Building Society 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 Ecology 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.