Top seven questions relating to Leeds Building Society transfer of equity

• What should I be budgeting for when it comes to what legal charges are for a transfer of equity? I need to transfer equity and refinance - moving over to Leeds Building Society - and have been quoted Three Hundred pounds excluding VAT by Leeds Building Society's appointed lawyer, Is this is a good price or not?
• I intend to refinance my flat in Crabtree switching from Skipton to Leeds Building Society. The maisonette is currently in joint names but propose for it to be in my sole name when I switch. My former partner has agreed to this and is happy to sign a form but neither of us want to get a second conveyancing solicitor involved.
• I am in the process of mortgaging my apartment in Wakefield does my lawyer need to be on the Leeds Building Society Solicitor panel. The conveyancing also involves a transfer of equity.
• My Leeds Building Society mortgage is in joint names with ex, he is agreeable to come off the mortgage and put the house in my name alone. Leeds Building Society have consented to the transfer of equity to me solely. Will Leeds Building Society call my employer to check my salary?
• I already have a mortgage with Leeds Building Society and am keeping my existing mortgaging but applying to have it in my name alone so my former wife will no longer be on the deeds. How long do Leeds Building Society take to deal with the application?
• I bought a flat with my cousin five.seven years ago Since then, we have both got married. We are now intending to do a transfer of equity so my name is removed the Leeds Building Society mortgage. There is a meaningful difference between the value the Leeds Building Society say and what the property would sell for currently. Can you offer any advice?
• What is the process for having a person removed off the title documents to a property where the mortgage is with Leeds Building Society

Sample of questions in a conveyancing solicitor form relating to Leeds Building Society Transfer of Equity

Important warnings to consider in in addition to the above Leeds Building Society 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 Leeds Building Society conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold titles

If your property is leasehold, provisions in the lease may have a requirement for notices to be served and that you have a license to do so from the landlord. If such conditions are not complied with you may be in violation of your covenants under the lease. This could trigger 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 cases, 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 Leeds 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 Leeds 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 market value of the property at the conclusion of the transfer of equity transaction.

Preparing the Transfer of Equity with a Leeds 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 Leeds 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 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.