Examples of recent questions relating to National Westminster Bank transfer of equity
- I am filling out a National Westminster Bank transfer of equity form and have come to the part that asks about debts etc. I do some debts that I have been paying off for a number of years, I understand that they have long since disappeared from my credit score. Must I declare these?
- I am led to believe we would need at least AP1 and TR1. Is this true?
- I am selling my share of a apartment in Hendon to the other co-owners husband, they are reapplying to National Westminster Bank. We are debating as to who must pay the legal bill for the transfer of equity. Is this normally split or is one party liable for the charges for?
- I am hoping to remortgage my home in Ampthill changing from Yorkshire Building Society to National Westminster Bank. The maisonette is jointly owned but propose for it to be in my name only once I switch. My husband has agreed to this and is happy to sign a form but neither of us want to get a second lawyer involved.
- My decree absolute has gone through as is the consent order. Now I must address the transfer of equity at the land registry and the National Westminster Bank mortgage. I have called National Westminster Bank for the transfer of equity application. What happens next?
- My dad died seven months ago leaving a unencumbered house to me and my brother equally. He has always lived in the property, there was a condition in her will saying the premisescould not be sold for 2 years after her passing so he could reside there for a prescribed period. He now wants to remain in the house beyond the specified period. We have considered a transfer of equity. Am I right in saying we'd get a valuation then he'd get a mortgage in the conventional way to purchase my share?
- My ex-wife and I are are seeking to find an affordable conveyancing solicitor to assist in a transfer of equity and refinance with National Westminster Bank. I I am fearful of being overcharged but with many conveyancing solicitors who do transfer of equity conveyancing to choose from...who do I opt for?
Questions that your conveyancer is likely to ask in relation to your National Westminster Bank Transfer of Equity
Please give the name(s) and addresse(s) of anyone who jointly owns the premises with you?
We need you to provide the National Insurance Number(s) of all the new owners (required for completion of the Stamp Duty Land Tax Form)
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and provide details of the amount?
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 provide the details of anyone to be added to the title deeds?
Please state the names and ages of anyone over the age of 17, other than the owners, who will occupy the property with you
Important warnings to consider in further to the above National Westminster Bank 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 National Westminster Bank conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold titles
If your property is leasehold, the lease may require that you obtain the consent of the freeholder. If such terms are not adhered to you may be in breach of the lease. This could trigger 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 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 conveyancer will check with National Westminster Bank 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 National Westminster Bank 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 transaction.
If you do not keep up the payments on your mortgage with National Westminster Bank your property may be repossessed.
Preparing the Transfer of Equity with a National Westminster Bank 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 National Westminster Bank 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 contained within 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.