Sample questions relating to Monmouthshire Building Society transfer of equity
- I already have a mortgage with Monmouthshire Building Society and am retaining my existing mortgaging but applying to have it in my name only so my former husband won't be on it any longer. How long does the whole transfer of equity process take?
- My divorce is through as is the consent order. Now I need to sort out the transfer of equity for the property and the Monmouthshire Building Society mortgage. I have asked Monmouthshire Building Society for the transfer of equity application. What are my next steps?
- What legal advice do I need when doing a transfer of equity where the home loan is to remain with Monmouthshire Building Society?
- My partner and myself equally own a BTL. I am a top rate tax payer. Preferably I wish to complete a transfer of equity to her sole name in order mitigate tax on rental income. Assuming Monmouthshire Building Society are content with this the legal fees are inexpensive. However what happens when we dispose of the property? Would my GGT relief be lost.
- As things stand I have a joint Monmouthshire Building Society mortgage with my cousin and am investigating the possibility of him taking on the whole mortgage and subtracting myself from it, to enable me to buy somewhere with my soon-to-be-wife. The remaining mortgage is approx 175k, and the property value is approx 500k. Is this a transfer of equity? Is stamp duty due?
- Law month I split up with my partner of thirty years. I'm now back with my mum and dad and she wishes to stay in the flat and buy me out. What portion do I get. Is it 50% of the equity after redeeming the Monmouthshire Building Society home loan? I assume proper valuations are necessary but I really need ensure that I'm getting I am not being walked over
- I acquired a flat 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 is removed the Monmouthshire Building Society mortgage. There is a 40k difference between the value the mortgage company say and what the property would sell for currently. Can you offer any advice?
Examples of questions in a conveyancing solicitor form relating to Monmouthshire Building Society Transfer of Equity
If you are adding a person on to the property how would you like to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Form.
Have you approached Monmouthshire Building Society to seek consent to the Transfer of Equity
Can you provide the name(s) and addresse(s) of anyone who jointly owns the property with you?
Please list all persons who occupy the property, their respective ages and relationships to you.
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and provide details of the amount?
Please give the details of anyone to be removed from the property title?
Important warnings to consider in conjunction with the above Monmouthshire Building Society transfer of equity Advice :
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 Monmouthshire Building Society 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 freeholder. If such terms are not adhered to you may be in violation of 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 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 Monmouthshire 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 Monmouthshire 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 finalisation of the transfer of equity transaction.
Your property may be repossessed if you do not keep up repayments on your mortgage with Monmouthshire Building Society.
Preparing the Transfer of Equity with a Monmouthshire Building Society 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 Monmouthshire 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 conveyancer 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 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.