Sample questions relating to Marsden Building Society transfer of equity
- As things stand I have a joint Marsden Building Society mortgage with my step-brother and am looking into the possibility of him assuming responsibility for the whole mortgage and removing myself from it, to enable me to buy somewhere with my fiance. The outstanding mortgage is in the region 200k, and the property value is approx 600k. Is this a transfer of equity? Is land tax involved?
- Taking into account that we have been 4 years separated I have opted to transfer my share of our apartment to my husband who is re-mortgaging with Marsden Building Society. Could this transfer of equity be done inside 28 days?
- Law week I split up with my partner of twenty years. I'm now back with my parents again and she wants to stay in the property and pay me off. What percentage am I entitled to. Is it 50% of the equity after paying off the Marsden Building Society home loan? I assume proper valuations are required but I would like ensure that I'm getting I am not being walked over
- I am looking for a lawyer to undertake my transfer of equity. Marsden Building Society are dealing with the remortgage. I thought of asking my financial adviser. I understand he may get a kickback for recommending a firm, but also of benefit will be that he knows the conveyancing solicitor, has a working relationship with them. Is my logic correct?
- I purchased a property with my brother in 2010 Since buying the property, we have both got married. We are now looking to do a transfer of equity so my name is removed the Marsden Building Society mortgage. There is a meaningful difference between the 'rightmove estimate' and what the property would sell for currently. Can you offer any advice?
- Me and my partner jointly own a property in Witham
. Mortgage is with Marsden Building Society. I wish to transfer full ownership to him with no payment of money but without using a conveyancer. Is this likely to be simple?
- I got my Decree Absolute three years ago. 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 presumably the way forward. Marsden Building Society is content to transfer the property and loan in my name (affordability checks done). Does my ex need a conveyancer?
Information that may be required from your conveyancing solicitor may ask regarding your Marsden Building Society Transfer of Equity
Can you provide the name(s) and addresse(s) of anyone who jointly owns the property with you?
Please give the name(s) and addresse(s) of anyone to be added to the title deeds?
Who will be responsible for the costs of the Transfer of Equity?
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 there to be any consideration monies passing between the parties for the Transfer of Equity? If so, please state the amount and who is to receive the same
Have you approached Marsden Building Society to seek consent to the Transfer of Equity
Important warnings to consider in conjunction with the above Marsden Building Society transfer of equity Advice :
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 Marsden Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold titles
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 terms are not adhered to you may be in breach of the lease. This could trigger 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 cases, 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 conveyancing solicitor 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 varies based on the market value of the property at the conclusion of the transfer of equity conveyancing.
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 conveyancing solicitor 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 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.