Melton Mowbray Building Society transfer of equity example support desk enquires
- Online reading suggests that solicitors are more expensive than conveyancers when it comes to transfer of equity conveyancing. So is it better if I use a conveyancer or a solicitor if I am transferring equity and at the same time switching mortgage with Melton Mowbray Building Society
- I am filling out a Melton Mowbray Building Society transfer of equity application and have come to the part concerning defaults etc. I do some debts that I have been clearing for a number of years, I understand that they have long since disappeared from my credit score. Am I obliged to reveal these?
- My financial adviser has suggested using their conveyancing solicitor for the Transfer of Equity plus remortgage with Melton Mowbray Building Society - Is it not simpler better to just instruct them?
- At what stage do I incur the Stamp Duty Land Tax due for the transfer of equity in my house in my name alone which is taking place at the same time as a remortgage with Melton Mowbray Building Society?
- Have recently separated from my ex of twenty years. I'm now living with my mum and dad and she wishes to stay in the flat and pay me off. What portion do I get. Is it half of the equity after redeeming the mortgage with Melton Mowbray Building Society? I assume proper valuations are required but I really need to be confident that I'm getting I am not being walked over
- I currently have a joint Melton Mowbray Building Society mortgage with my step-brother and am investigating the possibility of him assuming responsibility for the whole mortgage and removing myself from it, so as to enable me to purchase somewhere with my partner. The outstanding mortgage is approx 300k, and the property value is in the region 600k. Is this a transfer of equity? Is stamp duty due?
- I got my Decree Absolute in 2012. For some reason I never dealt with the transfer 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. Melton Mowbray Building Society is content to transfer the full equity in my name (affordability checks done). Does she need a solicitor?
Sample of information requested in a conveyancer questionnaire concerning a Melton Mowbray Building Society Transfer of Equity
Please provide the name(s) and addresse(s) of anyone to be added to the title deeds?
Where you are adding a person on to the title deeds how would you like to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Form.
Would you like us to draw up a Declaration of Trust. If so are you willing to incur the additional fee (beyond the Transfer of Equity fee)?
Please provide a copy of your National Insurance Number?
Please provide the details of anyone who jointly owns the property with you?
Please inform us where you are making any payment for the Transfer of Equity and to whom and disclose the amount?
General Advice to read in supporting the above Melton Mowbray Building Society 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 Melton Mowbray Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
If your property is leasehold, provisions in the lease may require that you have a license to do so from the freeholder. If such conditions are not complied with you may be in breach 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 lawyer will check with Melton Mowbray 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 Melton Mowbray 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 finalisation of the transfer of equity conveyancing.
Your property may be repossessed if you do not keep up repayments on your mortgage with Melton Mowbray Building Society.
Preparing the Transfer of Equity with a Melton Mowbray 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 Melton Mowbray 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 lawyer 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. 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.
