Examples of recent questions relating to Loughborough Building Society transfer of equity
- I got divorced in 2011. Foolishly I never got around to change the ownership from both our names to my name alone. I now plan to deal with it and there are no objections. Transfer-of-equity is needed. Loughborough Building Society is content to transfer the full equity in my name (financial checks done). Does my ex need a conveyancer?
- I am selling my share of a apartment in Hendon to the other co-owners husband, they are reapplying to Loughborough Building Society. We are haggling as to who should cover the costs of the transfer of equity. Should this be split or is one of us liable for the fees for?
- My Loughborough Building Society home loan is in joint names with ex, he has agreed to come off the mortgage and let me have the property. Loughborough Building Society have consented to the transfer of equity to my individual name. Will Loughborough Building Society contact my employer to check my salary?
- How do I go about adding or subtracting names (transfer of equity) to or from my Loughborough Building Society mortgage account?
- I bought a property with a friend five.seven years ago Since purchasing the property, we have both got married. We are now intending to do a transfer of equity so my name is removed the Loughborough Building Society mortgage. There is a 30k difference between the value the mortgage company hold and what the property would sell for currently. Can you offer any advice?
- My decree absolute is through as is the consent order. Now I have to deal with the transfer of equity at the land registry and the Loughborough Building Society home loan. I have asked Loughborough Building Society for the transfer of equity forms. What do I do now?
- My wife and myself have equal shares in a investment property. I am a top rate tax payer. Preferably I wish to complete a transfer of equity to her sole name in order reduce our tax on the letting income. Assuming Loughborough Building Society are happy with this the legal fees are inexpensive. However what happens when we sell? Would my GGT relief be lost.
Sample of information requested in a lawyer questionnaire relating to Loughborough Building Society Transfer of Equity
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 give details of the amount?
Please let us know if you are making any payment for the Transfer of Equity and to whom and give details of any such sums?
Please give the name(s) and addresse(s) of anyone to be added to the title deeds?
Have you approached Loughborough Building Society to seek consent to the Transfer of Equity
Please state the names and ages of anyone over the age of 17, other than the owners, who will occupy the property with you
General Advice to read in supplemental the above Loughborough Building Society transfer of equity information :
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 Loughborough 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 require that you obtain the consent of 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 conveyancer will check with Loughborough 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 Loughborough 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 varies based on the valuation of the property at the time of completion of the transfer of equity conveyancing.
Your property may be repossessed if you do not keep up repayments on your mortgage with Loughborough Building Society.
Preparing the Transfer of Equity with a Loughborough Building Society 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 Loughborough 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 provided 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.