Examples of recent questions relating to Molo Finance Buy to Let transfer of equity
- What is the process for adding or removing names (transfer of equity) to or from my Molo Finance Buy to Let mortgage account?
- My brother and I got a joint mortgage with Molo Finance Buy to Let on a house in 2013. I am now looking to get a apartment on my own and my friend would like to buy me out. On the basis that we can settle on a figure what are the next steps? Is there likely to be any issue with Molo Finance Buy to Let with him being solely liable for the total mortgage rather than only part of it?
- Is stamp duty payable when it comes to an transfer of equity with a mortgage with Molo Finance Buy to Let?
- My former wife are looking to get a conveyancer in place for a refinance with Molo Finance Buy to Let. Transfer of Equity conveyancing is also neededI have used the different comparison based websites and the results are from all over England and Wales. How necessary is it to appoint a conveyancer local to us?
- As things stand I have a joint Molo Finance Buy to Let mortgage with my brother and am looking into the feasibility of him taking on the whole mortgage and extracting myself from it, so as to enable me to purchase a property with my fiance. The remaining mortgage is about 300k, and the property value is about 500k. Is this a transfer of equity? Is stamp duty due?
- I acquired a house with a friend six years ago Since buying the property, we have both got married. We are now intending to do a transfer of equity so my name is removed the Molo Finance Buy to Let mortgage. There is a significant difference between the value the mortgage company say and what the property would sell for currently. Can you offer any advice?
- I am hoping to remortgage my maisonette in Friern Barnet
switching from Halifax to Molo Finance Buy to Let. The flat is jointly owned but intend for it to be in my sole name as and when I remortgage. My wife is OK with this and is willing to transfer equity but neither of us want to get a second conveyancer involved.
Examples of information requested in a conveyancer questionnaire concerning a Molo Finance Buy to Let Transfer of Equity
Please give the name(s) and addresse(s) of anyone who jointly owns the premises with you?
Have you approached Molo Finance Buy to Let to seek consent to the Transfer of Equity
Please confirm whether this Transfer of Equity is part of any Matrimonial Proceedings? If so, please provide the name, address, telephone number and reference of the Matrimonial Solicitor instructed to act, along with a copy of the sealed Consent or Court Order?
Would you like us to prepare Declaration of Trust. If so are you happy to incur the further fee (beyond the Transfer of Equity fee)?
Please provide a copy of your National Insurance Number?
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and give details of the amount?
Important warnings to consider in further to the above Molo Finance Buy to Let transfer of equity Info :
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 premises
If your property is leasehold, provisions in the lease may require that you have a license to do so from the landlord. If such conditions are not complied with you may be in breach 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 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 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 finalisation of the transfer of equity transaction.
Your property may be repossessed if you do not keep up repayments on your mortgage with Molo Finance Buy to Let.
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.
Content 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.