Questions and answers: Halifax transfer of equity
- My divorce is through as is the consent order. Now I must sort out the transfer of equity on title deeds and the Halifax mortgage. I have asked Halifax for the transfer of equity application. What are my next steps?
- My former wife are looking to get a conveyancing solicitor in place for a refinance with Halifax. Transfer of Equity conveyancing is also requiredI have used the different rating based websites and the results are from all over England and Wales. How necessary is it to instruct a conveyancing solicitor local to us?
- I recently purchased a property without my fiance’s name on the title documents. My conveyancing solicitor said it is due to the fact that she was not in the loan offer with Halifax. Is it possible for me to put her name on the title?
- How much the typical solicitors fees are for a transfer of equity? I'm in the process of remortgaging - new loan with Halifax - and have been quoted Four Hundred pounds excluding VAT by Halifax's approved conveyancing solicitor, Is this a reasonable price?
- I am searching for a dependable conveyancing lawyer to assist in a transfer of equity and remortgage with Halifax. I am aware of the possibility of getting ripped off but with so many conveyancing organisations who do transfer of equity conveyancing out there...who's the best?
- My partner and I jointly own a property in Dunnington
. Mortgage is with Halifax. I would like to transfer full ownership to him with no payment of money but without using a lawyer. Do you think this should be easy to so?
- I am in the process of removing a name from a joint mortgage and the Halifax require me to use a conveyancing solicitor to carry out the paperwork. Can you recommend a reasonably priced Miles Platting
lawyer to deal with the transfer of equity? They need to be on the Halifax conveyancing panel.
Questions that your conveyancer could ask about your Halifax Transfer of Equity
Please provide the details of anyone to be added to the title deeds?
Who will be responsible for the costs of the Transfer of Equity?
Have you approached Halifax to seek consent to the Transfer of Equity
Please provide the name(s) and addresse(s) of anyone to be removed from the title deeds?
We need you to supply the National Insurance Number(s) of all the new owners (required for completion of the Stamp Duty Land Tax Form)
Where 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.
Information to consider in supplemental the above Halifax transfer of equity Info :
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 Halifax conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold premises
Should the tenure of your property be leasehold, provisions in 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 strictly observed 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 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 lawyer will check with Halifax 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 Halifax 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.
Your property may be repossessed if you do not keep up repayments on your mortgage with Halifax.
Preparing the Transfer of Equity with a Halifax 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 Halifax 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.