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Generation Home

Top seven questions relating to Generation Home transfer of equity

  • My divorce is through as is the consent order. Now I must deal with the transfer of equity for the property and the Generation Home mortgage. I have called Generation Home for the transfer of equity forms. What are my next steps?
  • What are my options where I am dissatisfied with the conveyancer who carried out our transfer of equity conveyancing?
  • Have recently split up with my partner of 18 years. I'm now living with my mum and dad and she wishes to stay in the apartment and buy me out. What portion am I entitled to. Is it 50% of the equity after redeeming the mortgage with Generation Home? I assume proper valuations are necessary but I would like ensure that I'm getting I am not being walked over
  • Generation Home yesterday agreed I can take over the home loan on the flat. I have applied for a transfer of equity but presumably there is a transfer of ownership at the Land Registry in addition?
  • I am completing a Generation Home transfer of equity application and have come to the questions that asks about defaults etc. There are some debts that I have been reducing over a long period, I understand that they have long since disappeared from my credit records. Am I obliged to set these out?
  • What is the process for adding or removing names (transfer of equity) to or from my Generation Home mortgage account?
  • How much the typical conveyancing costs are for a transfer of equity? I'm in the process of remortgaging - moving over to Generation Home - and have been quoted £250 including VAT by Generation Home's approved conveyancing solicitor, Is this is a good price or not?

Examples of questions in a conveyancing solicitor questionnaire relating to Generation Home Transfer of Equity

Can you give the details of anyone who jointly owns the premises with you?

Has consent been obtained from Generation Home to the proposed transfer of equity?

Please provide the details of anyone to be added to the title deeds?

Would you like us to draft you Declaration of Trust. If so are you happy to pay for the additional fee (beyond the Transfer of Equity fee)?

Please provide the name(s) and addresse(s) of anyone to be extracted from the title deeds?

Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and give details of the amount?

Caveats to be read in conjunction with the above Generation Home 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 Generation Home conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold titles

Should the tenure of your property be leasehold, provisions in the lease may require that you obtain the consent of the landlord. If such conditions are not strictly observed you may be in violation of the lease. This could potentially result in the freeholder taking enforcement action against you.

Indemnity Insurance

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 conveyancing solicitor will check with Generation Home 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 Generation Home 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 conveyancing.
If you do not keep up the payments on your mortgage with Generation Home your property may be repossessed.

Preparing the Transfer of Equity with a Generation Home 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 Generation Home 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 contained within 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.


Frequently asked questions relating to Generation Home transfer of equity