Examples of recent questions relating to New Street Mortgages transfer of equity

• My partner and I jointly own a flat in Ampthill . Home loan is with New Street Mortgages. I want to transfer full ownership to him with no passing of money but without using a conveyancing solicitor. Is this likely to be straightforward?
• What do I need to do when it comes adding or removing names (transfer of equity) to or from my New Street Mortgages mortgage account?
• What if my application doesn't meet New Street Mortgages lending criteria for a transfer of equity?
• Is it sensible to cancel my mortgage payments with New Street Mortgages as soon as a date for my remortgage and transfer of equity has been set?
• After 5 years separated I have made the decision to transfer my interest in the apartment to my husband who is re-mortgaging with New Street Mortgages. Could this transfer of equity be done in 28 days?
• What are the average conveyancing costs are for a transfer of equity? I'm in the process of remortgaging - new loan with New Street Mortgages - and have been quoted £350 including VAT by New Street Mortgages's approved lawyer, Is this is a good price or not?
• I intend to remortgage my home in Friern Barnet changing from Bank of Scotland to New Street Mortgages. The maisonette is jointly owned but intend for it to be in my name only as and when I transfer. My former partner is OK with this and is happy to sign a form but neither of us want to incur conveyancing solicitor fees.

Questions that your lawyer is likely to ask regarding your New Street Mortgages Transfer of Equity

Caveats to be read in further to the above New Street Mortgages transfer of equity Questions and Answers :

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 New Street Mortgages 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 conditions are not strictly observed 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 lawyer will check with New Street Mortgages 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 New Street Mortgages 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 the conclusion of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a New Street Mortgages Mortgage

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

If New Street Mortgages 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 contained within 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.