Examples of recent questions relating to Kent Reliance transfer of equity
- My dad died half a year ago leaving a unencumbered semi to me and my step brother in equal shared. Having continues to reside at the premises, there was a clause in her will saying the propertycould not be sold for 24 months after her death so he could remain there for a while. He now wishes to remain in the house beyond the specified period. We have considered a transfer of equity. Am I right in saying we should get a valuation then he'd get a home loan in the conventional way to purchase my share?
- What do I do if I am not happy with the conveyancing solicitor who conducted our transfer of equity transaction?
- I am thinking of remortgaging my apartment in Crabtree
does my lawyer have to be on the Kent Reliance Conveyancing panel. The conveyancing also involves a transfer of equity.
- I intend to refinance my flat in Winchelsea
moving from Accord to Kent Reliance. The home is jointly owned but intend for it to be in my name only as and when I switch. My wife is OK with this and is willing to transfer equity but neither of us want to incur conveyancing solicitor charges.
- I am trying to find a lawyer to handle my transfer of equity. Kent Reliance have been approached for a refinancing. I considered asking my financial adviser. I understand he may get a kickback for suggesting a firm, but also of benefit will be that he knows the lawyer, has a working relationship with them. Any flaws you see in this way of thinking?
- I am transferring my share of a property in Warwick to the other co-owners husband, they are sticking with Kent Reliance being the the existing lender. We are in heated discussion as to who should pay the fees for the transfer of equity. Is this normally shared or is one party liable for the legal bill?
- I got my Decree Absolute in 2011. I simply never got around to change the ownership from the current 'joint' status to my name alone. I am ready to do that and so is she. Transfer-of-equity is presumably the way forward. Kent Reliance is content to transfer the property and loan in my name (affordability checks done). Does my ex need a lawyer?
Information that may be required from your conveyancer could ask in relation to your Kent Reliance Transfer of Equity
Please provide a copy of your National Insurance Number?
Please give the name(s) and addresse(s) of anyone who jointly owns the property with you?
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 give the name(s) and addresse(s) of anyone to be extracted from the property title?
Please give the name(s) and addresse(s) of anyone to be added to the title deeds?
Is it the case that one of the registered owners died? If so please forward us with a copy of all the relevant documents e.g. the will, death certificate etc..
General Advice to read in supporting the above Kent Reliance transfer of equity Advice :
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 Kent Reliance conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
Should the tenure of your property be leasehold, provisions in the lease may require that you have a license to do so from the freeholder. If such restrictions are not strictly observed 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 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 Kent Reliance 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 Kent Reliance 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 market value of the property at the conclusion of the transfer of equity transaction.
If you do not keep up the payments on your mortgage with Kent Reliance your property may be repossessed.
Preparing the Transfer of Equity with a Kent Reliance 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 Kent Reliance 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.