Common questions relating to Mansfield Building Society transfer of equity

• My mother died half a year ago leaving a unencumbered property to me and my brother in equal shared. Having continues to reside at the property, there was a condition in her will saying the premisescould not be sold for three years following her passing so he could remain there for a while. He now says he would like to remain in the property beyond the prescribed period. We have considered a transfer of equity. Am I right in saying we should get a valuation then he'd get a mortgage in the traditional way to acquire my equity?
• My decree absolute is through as is the consent order. Now I have to deal with the transfer of equity at the HMLR and the Mansfield Building Society mortgage. I have asked Mansfield Building Society for the transfer of equity application. What do I do now?
• My partner and I jointly own a flat in Heathfield . Mortgage is with Mansfield Building Society. I wish to transfer full ownership to him with no payment of money but without using a . Is this likely to be simple?
• I co-own a apartment in Ampthill , with a Mansfield Building Society mortgage with my ex partner. He and his fiance are going to buy me out. We had approval from Mansfield Building Society to remove my name with hers. The transfer of equity has to be done by a for Mansfield Building Society (apparently). Is it possible for us to deal with the Land Registry change?
• Am I best advised cancel the direct debit for my mortgage with Mansfield Building Society as soon as a date for my remortgage and transfer of equity has been set?
• My existing home loan is with Mansfield Building Society. Can I transfer equity to someone under 18 years old?
• Will I have to pay any fees for a Transfer of Equity where the current mortgage is with Mansfield Building Society?

Examples of information requested in a conveyancer questionnaire concerning a Mansfield Building Society Transfer of Equity

Important warnings to consider in supplemental the above Mansfield Building Society transfer of equity Questions and Answers :

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 Mansfield Building Society conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold titles

Should the tenure of your property be leasehold, 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.

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 conveyancer will check with Mansfield 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 Mansfield 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 market value of the property at finalisation of the transfer of equity transaction.

Preparing the Transfer of Equity with a Mansfield Building Society 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 Mansfield 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 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. Lender Panel.com Ltd will not be liable for any direct or indirect loss or damage arising out of or in connection with the use of this information.