Frequently asked questions relating to Kent Reliance transfer of equity
- Me and my former fiance and I are are looking to find an affordable conveyancing solicitor to help me sell in a transfer of equity and remortgage with Kent Reliance. I am aware of the chance of getting ripped off and there are various conveyancing organisations who do transfer of equity conveyancing to pick from...who's the best?
- When it comes to transfer of equity conveyancing involving refinance with Kent Reliance should I be paying VAT on the following: (1) HMLR fee on the transfer of equity (2) Pre - completion search fee (3) SDLT E submission on the transfer (4) Bank TT fee
- As things stand I have a joint Kent Reliance mortgage with my cousin and am investigating the possibility of him assuming responsibility for the outstanding mortgage and subtracting myself from it, to enable me to purchase a place with my fiance. The remaining mortgage is approx 200k, and the property value is in the region 500k. Is this a transfer of equity? Is stamp duty involved?
- What can I do where I am not happy with the conveyancing solicitor who carried out my transfer of equity conveyancing?
- I understand we would need at least AP1 and Transfer Deed. Is this true?
- I own a house in Ampthill , with a Kent Reliance loan with my former husband. Him and his fiance are going to acquire my share. We had the go ahead from Kent Reliance to substitute my name with hers. The transfer of equity needs to be completed by a conveyancing solicitor for Kent Reliance (apparently). In order to save fees can I deal with the Land Registry change?
- I am planning on removing a name from a joint mortgage and the Kent Reliance need me to use a lawyer to carry out the paperwork. Can you recommend a reasonably priced Witham
conveyancing solicitor to deal with the transfer of equity? They need to be on the Kent Reliance conveyancing panel.
Sample of questions in a conveyancing solicitor questionnaire concerning a Kent Reliance Transfer of Equity
Have you approached Kent Reliance to obtain consent to the Transfer of Equity
Will there be any payment between the parties for the Transfer of Equity? Where this is the case, please state the amount and who is to receive what sums
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and provide details of the amount?
Please give the name(s) and addresse(s) of anyone to be added to the title deeds?
Please confirm whether this Transfer of Equity is part of any Matrimonial Proceedings? If so, please provide the name, address, telephone number and reference of the Matrimonial Solicitor instructed to act, along with a copy of the sealed Consent or Court Order?
Please give the details of anyone who jointly owns the premises with you?
Information to consider in further to 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, 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.
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 time of completion of the transfer of equity conveyancing.
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 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 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 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.