Sample questions relating to Ecology Building Society transfer of equity
- My Ecology Building Society mortgage we jointly entered into with ex, who is agreeable to be removed and let me have the property. Ecology Building Society have consented to the transfer of equity to my individual name. Do Ecology Building Society get in touch with my boss to confirm my salary?
- My existing home loan is with Ecology Building Society. Can I transfer equity to someone who is not yet 18 years old?
- As things stand I have a joint Ecology Building Society mortgage with my brother and am investigating the option of him assuming responsibility for the whole mortgage and removing myself from it, so as to enable me to purchase somewhere with my partner. The outstanding mortgage is about 300k, and the property value is approx 600k. Is this a transfer of equity? Is land tax involved?
- My friend and I got a joint mortgage with Ecology Building Society on a house in 2013. I am now thinking of buying a house on my own and my friend would like to buy me out. On the basis that we can settle on an amount what are the next steps? Is there likely to be any problem with Ecology Building Society with him being solely liable for the total loan rather than only part of it?
- My divorce is through as is the consent order. Now I need to deal with the transfer of equity on title deeds and the Ecology Building Society home loan. I have contacted Ecology Building Society for the transfer of equity forms. What are my next steps?
- I own a flat in Winchelsea
, with a Ecology Building Society loan with my ex partner. He and his fiance are going to acquire my share. We had approval from Ecology Building Society to remove my name with hers. The transfer of equity has to be completed by a conveyancer for Ecology Building Society (supposedly). Is it possible for us to do the Land Registry formalities?
- I am trying to find a conveyancer to handle my transfer of equity. Ecology Building Society are dealing with the remortgage. I considered asking my mortgage broker. I understand he may get a kickback for suggesting a firm, but also of benefit will be that he knows the lawyer, has a working relationship with them. Any flaws you see in this way of thinking?
Information that may be required from your conveyancer could ask regarding your Ecology Building Society Transfer of Equity
If 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” Questionnaire.
Can you give the name(s) and addresse(s) of those who jointly own the property with you?
Have you approached Ecology Building Society to obtain consent to the Transfer of Equity
Has one of the registered owners died? If so please forward us with a copy of the Death Certificate, Probate and a copy of the Will.
Please confirm the person to be removed from the title deeds will not reside at the property after completion of the Transfer of Equity?
Please state the names and ages of anyone over the age of 17, other than the owners, who will occupy the property with you
Important warnings to consider in supplemental the above Ecology Building Society 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 Ecology Building Society 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 have a license to do so from 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 pursuant to 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 the conclusion of the transfer of equity transaction.
If you do not keep up the payments on your mortgage with Ecology Building Society your property may be repossessed.
Preparing the Transfer of Equity with a Ecology Building Society 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 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 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 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.