Frequently asked questions relating to Ipswich Building Society transfer of equity

• What can I do where I am unhappy with the conveyancer who did our transfer of equity transaction?
• I am filling out a Ipswich Building Society transfer of equity application and have come to the questions regarding defaults etc. I do some debts that I have been clearing since 2008, I understand that they no longer remain my credit records. Am I obliged to set these out?
• I got my Decree Absolute in 2011. For some reason I never dealt with the change the ownership from the current 'joint' status to my sole name. I now plan to deal with it and there are no objections. Transfer-of-equity is presumably the way forward. Ipswich Building Society is content to transfer the property and loan in my name (affordability checks done). Does she need a conveyancer?
• How much the typical solicitors charges are for a transfer of equity? I'm in the process of remortgaging - new loan with Ipswich Building Society - and have been quoted Four Hundred pounds excluding VAT by Ipswich Building Society's approved conveyancer, Is this a reasonable price?
• Ipswich Building Society have today agreed I can take over the mortgage on the house. I have applied for a transfer of equity but is this a transfer of ownership of the house in addition?
• The financial adviser has recommended their conveyancer for my Transfer of Equity plus remortgage with Ipswich Building Society - won’t it be easier to just instruct them?
• I own a property in Timperley , with a Ipswich Building Society mortgage with my former husband. Him and his new partner are going to acquire my share. We had approval from Ipswich Building Society to substitute my name with hers. The transfer of equity needs to be done by a conveyancing solicitor for Ipswich Building Society (apparently). Can we deal with the Land Registry change?

Questions that your conveyancer is likely to ask about your Ipswich Building Society Transfer of Equity

General Advice to read in conjunction with the above Ipswich Building Society transfer of equity information :

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 Ipswich Building Society 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 obtain the consent of the freeholder. If such conditions are not strictly observed you may be in violation of your covenants under 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 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 Ipswich 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 Ipswich 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 is dependent on the valuation of the property at the conclusion of the transfer of equity transaction.

Preparing the Transfer of Equity with a Ipswich Building Society 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 Ipswich 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 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 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.