M&S Bank transfer of equity: q and a’s

• My ex are seeking to get a conveyancer lined up for a refinance with M&S Bank. Transfer of Equity conveyancing is also neededI have used the different rating based services and the results are from all over UK. Is it important to instruct a conveyancing solicitor local to us?
• What is the process for having a person removed off the deeds to a house if the home loan is with M&S Bank
• I got my Decree Absolute in 2012. For some reason I never dealt with the transfer ownership from the current 'joint' status to just in my name. I now plan to deal with it and there are no objections. Transfer-of-equity is presumably the way forward. M&S Bank is willing to transfer the property and loan in my name (affordability checks done). Does my ex need any legal representation?
• I am filling out a M&S Bank transfer of equity form and have come to the part that asks about defaults etc. There are some debts that I have been clearing over a long period, in fact they have long since disappeared from my credit rating. Am I obliged to declare these?
• 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 M&S Bank - and have been quoted Four Hundred pounds plus VAT by M&S Bank's appointed lawyer, Is this is a good price or not?
• Law week I separated from my partner of twenty years. I'm now back with my mum and dad and she wants to remain in the property and buy me out. What portion am I entitled to. Is it half of the equity after redeeming the mortgage with M&S Bank? I assume proper valuations are necessary but I really need to be confident that I'm getting what I am entitled to
• I am in the process of mortgaging my flat in Blaenavon does my lawyer need to be on the M&S Bank Conveyancing panel. The conveyancing also involves a transfer of equity.

Information that may be required from your conveyancer may ask about your M&S Bank Transfer of Equity

Information to consider in supplemental the above M&S Bank transfer of equity Info :

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 M&S Bank conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold titles

If your property is leasehold, the lease may require that you have a license to do so from the landlord. 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.

Indemnity Insurance

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 lawyer will check with M&S Bank 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 M&S Bank 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 time of completion of the transfer of equity transaction.

Preparing the Transfer of Equity with a M&S Bank 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 M&S Bank 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 contained within 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.