Examples of recent questions relating to First Trust Bank transfer of equity
- My divorce has gone through as is the consent order. Now I must deal with the transfer of equity on title deeds and the First Trust Bank home loan. I have called First Trust Bank for the transfer of equity forms. What happens next?
- I co-own a apartment in Wakefield
, with a First Trust Bank loan with my former husband. Him and his new partner are going to acquire my share. We had the go ahead from First Trust Bank to replace my name with hers. The transfer of equity needs to be done by a conveyancer for First Trust Bank (supposedly). In order to save fees can I deal with the Land Registry change?
- I am answering a First Trust Bank transfer of equity form and have arrived at the section concerning defaults etc. There are some debts that I have been paying off over a long period, I understand that they no longer remain my credit score. Do I need to disclose these?
- What should I be budgeting for when it comes to what solicitors charges are for a transfer of equity? I need to transfer equity and remortgage - new loan with First Trust Bank - and have been quoted £350 including VAT by First Trust Bank's approved conveyancer, Is this is a good price or not?
- Am I best advised cancel my mortgage payments with First Trust Bank once a date for my remortgage and transfer of equity has been agreed?
- I am hoping to refinance my maisonette in Littleborough
changing from RBS to First Trust Bank. The apartment is jointly owned but intend for it to be in my name only as and when I switch. My former partner is OK with this and is happy to transfer equity but neither of us want to incur conveyancer fees.
- I am in the market for an affordable conveyancing solicitor to assist in a transfer of equity and remortgage with First Trust Bank. I really don't want to get ripped off but with so many conveyancing organisations who do transfer of equity conveyancing to choose from...who's the best?
Questions that your lawyer could ask regarding your First Trust Bank Transfer of Equity
Have you approached First Trust Bank to obtain consent to the Transfer of Equity
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and provide details of the amount?
Is there to be any consideration monies passing between the parties for the Transfer of Equity? If so, please state the amount and who is to receive the same
Please let us know of you wish us to draft you Declaration of Trust. If so are you willing to pay for the further fee (beyond the Transfer of Equity fee)?
Please give the name(s) and addresse(s) of those who jointly own the premises with you?
We need you to supply the National Insurance Number(s) of all the new owners (required for completion of the SDLT Form)
Important warnings to consider in further to the above First Trust Bank transfer of equity Questions and Answers :
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 First Trust Bank conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold titles
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 landlord. If such conditions 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 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 conveyancer will check with First Trust 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 First Trust 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 time of completion of the transfer of equity transaction.
If you do not keep up the payments on your mortgage with First Trust Bank your property may be repossessed.
Preparing the Transfer of Equity with a First Trust 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 First Trust 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 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.