Examples of recent questions relating to Molo Finance Buy to Let transfer of equity
- I already have a mortgage with Molo Finance Buy to Let and am maintaining my existing mortgaging but applying to have it in my sole name so my former partner will be removed from the mortgage. How long does the whole transfer of equity process take?
- My former wife are seeking to get a lawyer in place for a new mortgage with Molo Finance Buy to Let. Transfer of Equity conveyancing is also neededI have used the different comparison based services and the results are from all over the country. Do we need to instruct a conveyancing solicitor local to us?
- When it comes to transfer of equity conveyancing involving a remortgage with Molo Finance Buy to Let should I be invoiced value added tax on the following: (1) HMLR fee on the transfer of equity (2) Pre - completion search fee (3) SDLT E submission on the transfer (4) Bank TT fee
- My wife and I have 50:50 shares in a investment property. I am a top rate tax payer. Ideally I wish to complete a transfer of equity to her sole name with a view to mitigate tax on rental income. Assuming Molo Finance Buy to Let are fine with this the legal fees are not prohibitive. However what happens when we sell? Would my GGT relief be lost.
- I am selling my share of a house in Warwick to my co-owners fiance, they are sticking with Molo Finance Buy to Let as the the existing mortgage company. We are debating as to who must pay the costs of the transfer of equity. Should this be split or is one of us obliged to cover the legal bill?
- What legal advice do I need when doing a transfer of equity where the mortgage is to remain with Molo Finance Buy to Let?
- I bought a house with my cousin in 2010 Since then, we have both got married. We are now intending to do a transfer of equity so my name comes off the Molo Finance Buy to Let mortgage. There is a 40k difference between the 'rightmove estimate' and what the property would sell for currently. Can you offer any advice?
Examples of information requested in a conveyancer form concerning a Molo Finance Buy to Let Transfer of Equity
We need you to supply the National Insurance Number(s) of all the new owners (required for completion of the Stamp Duty Land Tax Form)
Please let us know of you wish us to prepare Declaration of Trust. If so are you willing to incur the additional fee (beyond the Transfer of Equity fee)?
Is there to 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 the same
Can you give the name(s) and addresse(s) of anyone who jointly owns the property with you?
Have you approached Molo Finance Buy to Let to seek consent to the Transfer of Equity
Has one of the registered proprietors died? If so please supply us with a copy of the Death Certificate, Probate and a copy of the Will.
Caveats to be read in supplemental the above Molo Finance Buy to Let transfer of equity Questions and Answers :
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 Molo Finance Buy to Let conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold titles
Should the tenure of your property be leasehold, provisions in 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 strictly observed you may be in violation of your covenants under the lease. This could potentially result in 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 lawyer will check with Molo Finance Buy to Let 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 Molo Finance Buy to Let 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 valuation of the property at the conclusion of the transfer of equity transaction.
If you do not keep up the payments on your mortgage with Molo Finance Buy to Let your property may be repossessed.
Preparing the Transfer of Equity with a Molo Finance Buy to Let 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 Molo Finance Buy to Let 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.