Top seven questions relating to Handelsbanken transfer of equity

• I got divorced three years ago. For some reason I never got around to transfer ownership from both our names to my name alone. I am ready to do that and so is she. Transfer-of-equity is presumably the way forward. Handelsbanken is content to transfer the full equity in my name (affordability checks done). Does she need any legal representation?
• I am thinking of remortgaging my apartment in Wakefield does my lawyer have to be on the Handelsbanken Solicitor panel. The conveyancing also involves a transfer of equity.
• Three years ago I purchased a flat without my partner's name on the deeds. My conveyancing solicitor advised it is because she was not in the mortgage with Handelsbanken. I'm wondering is there any way that I can put her name on the deeds?
• Is stamp duty payable when it comes to an transfer of equity with a mortgage with Handelsbanken?
• My Handelsbanken mortgage is in joint names with ex, who has agreed to come off the deeds and let me have the property. Handelsbanken will permit the transfer of equity to my individual name. Will Handelsbanken contact my employer to verify my salary?
• Do I need legal representation when doing a transfer of equity where the mortgage is to remain with Handelsbanken?
• How much the typical solicitors fees are for a transfer of equity? I'm in the process of remortgaging - moving over to Handelsbanken - and have been quoted Three Hundred pounds plus VAT by Handelsbanken's approved conveyancing solicitor, Is this a reasonable price?

Information that may be required from your lawyer is likely to ask in relation to your Handelsbanken Transfer of Equity

General Advice to read in conjunction with the above Handelsbanken transfer of equity Advice :

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 Handelsbanken conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold properties

Should the tenure of your property be leasehold, the lease may require 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 potentially result in the freeholder taking enforcement action against you.

Indemnity Insurance

If the transfer of equity is made pursuant to 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 conveyancing solicitor will check with Handelsbanken 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 Handelsbanken 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 varies based on the valuation of the property at the conclusion of the transfer of equity transaction.

Preparing the Transfer of Equity with a Handelsbanken 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 Handelsbanken 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.