Recently asked questions relating to Harpenden Building Society transfer of equity
- My divorce has gone through as is the consent order. Now I need to deal with the transfer of equity at the land registry and the Harpenden Building Society home loan. I have asked Harpenden Building Society for the transfer of equity forms. What happens next?
- I currently have a joint Harpenden Building Society mortgage with my brother and am investigating the feasibility of him taking on the whole mortgage and removing myself from it, to enable me to buy a property with my soon-to-be-wife. The remaining mortgage is about 250k, and the property value is about 600k. Is this a transfer of equity? Is stamp duty payable?
- My Harpenden Building Society home loan we jointly entered into with ex, who has agreed to be removed and put the house in my name alone. Harpenden Building Society have consented to the transfer of equity to my individual name. Will Harpenden Building Society get in touch with my boss to confirm my salary?
- Me and my former husband and I are searching for an affordable conveyancing lawyer to assist in a transfer of equity and refinance with Harpenden Building Society. I am aware of the chance of getting ripped off and there are various conveyancing practices who do transfer of equity conveyancing to pick from...who do I opt for?
- Will I incur any charges for a Transfer of Equity where the existing mortgage is with Harpenden Building Society?
- I purchased a house with my cousin five.seven years ago Since then, we have both got married. We are now looking to do a transfer of equity so my name is taken off the Harpenden Building Society mortgage. There is a 30k difference between the 'rightmove estimate' and what the property would sell for currently. Can you offer any advice?
- Harpenden Building Society yesterday agreed I can take over the home loan on my home. I had applied for a transfer of equity but is this a transfer of ownership of the house as well?
Questions that your lawyer is likely to ask in relation to your Harpenden Building Society Transfer of Equity
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 let us know of you wish us to draw up a Declaration of Trust. If so are you happy to pay for the further fee (beyond the Transfer of Equity fee)?
Please give the details of anyone to be extracted from the property title?
Can you provide the details of anyone who jointly owns the property with you?
If you are adding a person on to the property how do you wish to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Questionnaire.
Has consent been obtained from Harpenden Building Society to the proposed transfer of equity?
Information to consider in conjunction with the above Harpenden Building Society 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 Harpenden Building Society 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 obtain the consent of the freeholder. If such conditions are not complied with you may be in breach of the lease. This could potentially result in 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 conveyancer will check with Harpenden 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 Harpenden 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 varies based on the valuation of the property at the time of completion of the transfer of equity transaction.
Your property may be repossessed if you do not keep up repayments on your mortgage with Harpenden Building Society.
Preparing the Transfer of Equity with a Harpenden Building Society 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 Harpenden 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 conveyancer 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.