Examples of recent questions relating to Kent Reliance transfer of equity
- Online reading suggests that solicitors are more expensive than licensed conveyancers when it comes to transfer of equity conveyancing. So is it better if I use a conveyancer or a solicitor where I need to be transferring equity and simultaneously refinancing with Kent Reliance
- My father passed away early last year leaving a unencumbered property to me and my step brother equally. Having continues to reside at the house, there was a provision in her will saying the propertycould not be sold for 24 months after her passing so he could reside there for a prescribed period. He now wants to remain in the house beyond the prescribed period. We have considered a transfer of equity. Am I right in saying we'd get a valuation then he'd get a home loan in the traditional way to buy my half from me?
- Have recently split up with my partner of twenty years. I'm now back with my mum and dad and she wishes to remain in the flat and buy me out. What percentage do I get. Is it half of the equity after discharging the Kent Reliance home loan? I assume proper valuations are required but I would like ensure that I'm getting the best deal
- Is it possible to transfer the equity held in my property with my Kent Reliance home loan?
- I am planning on removing a name from a joint mortgage and the Kent Reliance require me to use a conveyancer to carry out the conveyancing. Can you recommend a reasonably priced Romsey
conveyancing solicitor to deal with the transfer of equity? They need to be on the Kent Reliance conveyancing panel.
- I am thinking of remortgaging my property in Witham
does my lawyer have to be on the Kent Reliance Conveyancing panel. The conveyancing also involves a transfer of equity.
- How do I go about adding or subtracting names (transfer of equity) to or from my Kent Reliance mortgage account?
Examples of information requested in a lawyer questionnaire concerning a Kent Reliance Transfer of Equity
Is the transfer of equity subject to a court order? If yes please supply a copy
Where you are adding someone on to the property how do you wish to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Form.
Please clarify where you are providing any payment for the Transfer of Equity and to whom and disclose any such sums?
Please give the details of anyone to be removed from the title deeds?
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and provide details of the amount?
Would you like us to draft you Declaration of Trust. If so are you happy to incur the additional fee (beyond the Transfer of Equity fee)?
Caveats to be read in further to the above Kent Reliance transfer of equity Questions and Answers :
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 Kent Reliance conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
If your property is 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 your covenants under 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 conveyancer 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 valuation of the property at finalisation of the transfer of equity transaction.
Your property may be repossessed if you do not keep up repayments on your mortgage with Kent Reliance.
Preparing the Transfer of Equity with a Kent Reliance 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 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 does not constitute 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.