Recently asked questions relating to MBS Lending Ltd transfer of equity

• I am searching for an affordable conveyancing solicitor to assist in a transfer of equity and remortgage with MBS Lending Ltd. I I am fearful of by bill escalating out of control but with so many conveyancing organisations who do transfer of equity conveyancing out there...who's the best?
• I purchased a property with my cousin in 2008 Since then, we have both got married. We are now intending to do a transfer of equity so my name comes off the MBS Lending Ltd mortgage. There is a significant difference between the 'rightmove estimate' and what the property would sell for currently. Can you offer any advice?
• What is the process for having a person removed off the title documents to a house if the mortgage is with MBS Lending Ltd
• I already have a mortgage with MBS Lending Ltd and am retaining my existing mortgaging but seeking to have it in my sole name so my former partner won't be on it any longer. How long do MBS Lending Ltd take to process the application?
• Do I need legal advice when doing a transfer of equity where the mortgage is to remain with MBS Lending Ltd?
• My wife and I equally own a investment property. 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 rental income. Assuming MBS Lending Ltd are happy with this the legal fees are not high. What are the implications when we dispose of the property? As I would no longer be on the deeds would I lose my CGT relief.
• How much the typical conveyancing fees are for a transfer of equity? I'm in the process of remortgaging - moving over to MBS Lending Ltd - and have been quoted Three Hundred pounds including VAT by MBS Lending Ltd's appointed lawyer, Have I been over quoted?

Examples of questions in a conveyancer form relating to MBS Lending Ltd Transfer of Equity

Important warnings to consider in conjunction with the above MBS Lending Ltd 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 MBS Lending Ltd conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold premises

Should the tenure of your property be leasehold, provisions in the lease may require that you obtain the consent of the landlord. If such conditions are not complied with you may be in breach of the lease. This could trigger 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 conveyancing solicitor will check with MBS Lending Ltd 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 MBS Lending Ltd 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 valuation of the property at the time of completion of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a MBS Lending Ltd 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 MBS Lending Ltd 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 provided on 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.