Sample questions relating to Magellan Homeloans transfer of equity
- My ex are planning to get a conveyancer in place for a new mortgage with Magellan Homeloans. Transfer of Equity conveyancing is also neededI have used the different comparison based services and the results are from all over UK. Is it important to appoint a conveyancer local to us?
- Me and my former partner and I are are seeking to find a responsive conveyancing lawyer to assist in a transfer of equity and refinance with Magellan Homeloans. I I am fearful of appointing the wrong one and there are plenty conveyancing firms who do transfer of equity conveyancing out there...who do I opt for?
- When it comes to transfer of equity conveyancing involving refinance with Magellan Homeloans should I be charged 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
- What is the process for adding or subtracting names (transfer of equity) to or from my Magellan Homeloans mortgage account?
- Having been a number of years apart I have decided to relinquish up my share of the former home to my husband who is refinancing with Magellan Homeloans. Can a transfer of equity be done within one month?
- I already have a home loan with Magellan Homeloans and am retaining my current mortgaging but seeking to have have the equity transferred to my name alone so my former partner won't be on it any longer. How long can it take for the application to be processed?
- My mum died seven months ago leaving a loan-free bungalow to me and my half brother 50:50. Having continues to reside at the house, there was a clause in the will specifying that the housecould not be sold for 2 years after her death so he could reside there for a while. He now wishes to remain in the property beyond the specified period. We have considered a transfer of equity. Would I be right in thinking that we'd get a valuation then he'd get a mortgage in the traditional way to acquire my share?
Examples of information requested in a lawyer questionnaire concerning a Magellan Homeloans Transfer of Equity
Can you give the details of anyone who jointly owns the property with you?
If are going to hold the property as beneficial Tenants in Common in unequal shares, what is the split to be. For e.g. 50-50, or 60-40?
Is the transfer of equity subject to a court order? If yes please supply a copy
Please give the details of anyone to be added to the title deeds?
Have you approached Magellan Homeloans to seek 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 the same
General Advice to read in conjunction with the above Magellan Homeloans transfer of equity Info :
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 Magellan Homeloans conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold premises
If your property is leasehold, provisions in the lease may require that you obtain the consent of 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 conveyancer will check with Magellan Homeloans 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 Magellan Homeloans 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 conveyancing.
If you do not keep up the payments on your mortgage with Magellan Homeloans your property may be repossessed.
Preparing the Transfer of Equity with a Magellan Homeloans Mortgage
When it comes to preparing the the Land Registry documents your conveyancer should in the ‘consideration’ panel choose the first option, if consideration is given; otherwise ignore the consideration panel altogether.
If Magellan Homeloans 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.
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.