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Mortgage Express (No 2)

Frequently asked questions relating to Mortgage Express (No 2) transfer of equity

  • Is stamp duty payable when it comes to an transfer of equity with a mortgage with Mortgage Express (No 2)?
  • Have recently separated from my ex of thirty years. I'm now living with my mum and dad and she wishes to remain in the flat and buy me out. What portion am I entitled to. Is it 50% of the equity after paying off the Mortgage Express (No 2) home loan? I assume proper valuations are necessary but I would like ensure that I'm getting the best deal
  • My divorce has gone through as is the consent order. Now I must deal with the transfer of equity for the property and the Mortgage Express (No 2) mortgage. I have contacted Mortgage Express (No 2) for the transfer of equity application. What are my next steps?
  • I am am in need of a conveyancing solicitor to deal with my transfer of equity. Mortgage Express (No 2) are dealing with the remortgage. I thought of asking my financial adviser. I am lead to believe he will likely get a referral fee for recommending someone, but also of benefit will be that he knows the conveyancer, has a working relationship with them. Is my logic flawed?
  • What if my application doesn't meet Mortgage Express (No 2) lending criteria for a transfer of equity?
  • I am completing a Mortgage Express (No 2) transfer of equity application and have arrived at the part that asks about defaults etc. There are some debts that I have been paying off over a long period, in fact they no longer remain my credit score. Do I need to declare these?
  • I am selling my share of a flat in Woodside to my co-owners husband, they are reapplying to Mortgage Express (No 2). We are haggling as to who must cover the charges for the transfer of equity. Should this be split or is one party liable for the costs of?

Sample of information requested in a lawyer questionnaire concerning a Mortgage Express (No 2) Transfer of Equity

Please confirm the person to be removed from the title deeds will not reside at the property after completion of the Transfer of Equity?

Has consent been obtained from Mortgage Express (No 2) to the proposed transfer of equity?

Please let us know if you are providing any payment for the Transfer of Equity and to whom and notify us any such sums?

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.

Where you are intent on holding the property as beneficial Tenants in Common in unequal shares, what is the split to be. For e.g. 50-50, or 60-40?

Please give the name(s) and addresse(s) of anyone who jointly owns the premises with you?

Caveats to be read in conjunction with the above Mortgage Express (No 2) 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 Mortgage Express (No 2) 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 require that you have a license to do so from the landlord. If such terms are not adhered to you may be in violation of the lease. This could trigger the freeholder taking enforcement action against you.

Indemnity Insurance

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 conveyancing solicitor will check with Mortgage Express (No 2) 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 Mortgage Express (No 2) 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.
If you do not keep up the payments on your mortgage with Mortgage Express (No 2) your property may be repossessed.

Preparing the Transfer of Equity with a Mortgage Express (No 2) Mortgage

When it comes to preparing the the Land Registry documents your conveyancing solicitor should in the ‘consideration’ panel choose the first option, if consideration is given; otherwise ignore the consideration panel altogether.

If Mortgage Express (No 2) 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 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.


Frequently asked questions relating to Mortgage Express (No 2) transfer of equity