Common questions relating to Marsden Building Society transfer of equity
- My former husband are looking to get a lawyer in place for a refinance with Marsden Building Society. Transfer of Equity conveyancing is also neededI have used the different comparison based services and the results are from all over England and Wales. How necessary is it to have a conveyancing solicitor local to us?
- What can I do where I am dissatisfied with the conveyancing solicitor who carried out my transfer of equity conveyancing?
- How much the typical legal charges are for a transfer of equity? I'm in the process of remortgaging - moving over to Marsden Building Society - and have been quoted £250 excluding VAT by Marsden Building Society's approved lawyer, Is this a reasonable price?
- I am planning on removing a name from a joint mortgage and the Marsden Building Society require me to use a conveyancer to carry out the paperwork. Can you recommend a reasonably priced Ampthill conveyancing solicitor to deal with the transfer of equity? They need to be on the Marsden Building Society conveyancing panel.
- I am filling out a Marsden Building Society transfer of equity request and have come to the section concerning debts etc. I do some debts that I have been discharging over a long period, I understand that they have long since disappeared from my credit score. Must I set these out?
- My fiance and I have 50:50 shares in a buy to let. I am a top rate tax payer. Preferably I wish to do a transfer of equity into her name with a view to mitigate tax on the letting income. Assuming Marsden Building Society are fine with this the legal fees are inexpensive. However what happens when we dispose of the property? Would my GGT relief be lost.
- My father died last May leaving a unencumbered house to me and my half brother 50:50. He has always lived in the premises, there was a clause in her will specifying that the premisescould not be sold for 2 years after her passing so he could reside there for a while. He now wants to remain in the premises beyond the prescribed period. We have discussed a transfer of equity. Would I be right in thinking that we should get a valuation then he'd get a home loan in the conventional way to purchase my share?
Information that may be required from your lawyer may ask about your Marsden Building Society Transfer of Equity
Is the transfer of equity subject to a court order? If yes please supply a copy
Has one of the registered proprietors died? If so please forward us with a copy of the Death Certificate, Probate and a copy of the Will.
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and provide details of the amount?
Please provide the name(s) and addresse(s) of anyone to be extracted from the property title?
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 what amounts
Who will be responsible for the costs of the Transfer of Equity?
General Advice to read in conjunction with the above Marsden 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 Marsden Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold premises
If your property is leasehold, the lease may have a requirement for notices to be served and that you obtain the consent of the landlord. If such conditions are not complied with you may be in violation of your covenants under the lease. This could potentially result in 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 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 Marsden 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 Marsden 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.
Your property may be repossessed if you do not keep up repayments on your mortgage with Marsden Building Society.
Preparing the Transfer of Equity with a Marsden 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 Marsden 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 contained within 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.
