Newbury Building Society transfer of equity example support desk enquires
- I already have a home loan with Newbury Building Society and am keeping my existing mortgaging but seeking to have have the equity transferred to my sole name so my ex won't be on it any longer. How long can it take for the paperwork to be processed?
- I am planning on removing a name from a joint mortgage and the Newbury Building Society require me to use a lawyer to carry out the legalities. Can you recommend a reasonably priced Crabtree
conveyancing solicitor to deal with the transfer of equity? They need to be on the Newbury Building Society conveyancing panel.
- I am answering a Newbury Building Society transfer of equity application and have arrived at the section that asks about defaults etc. There are some debts that I have been discharging since 2009, in fact they no longer remain my credit score. Do I need to declare these?
- Having been three years apart I have opted to give up my share of our apartment to my husband who is re-mortgaging with Newbury Building Society. Could this transfer of equity be completed in four weeks?
- My former wife are planning to get a lawyer lined up for a new mortgage with Newbury Building Society. Transfer of Equity conveyancing is also necessaryI have used the different rating based services and the results are from all over UK. How necessary is it to instruct a conveyancer local to us?
- Me and a friend got a joint mortgage with Newbury Building Society on a house a couple of years ago. I am now thinking of buying a apartment on my own and my friend would like to buy me out. Once we have agreed a price what happens next? Would there be any potential problem with Newbury Building Society with him being on the hook for the total loan rather than only half of it?
- Online research suggests that solicitors are more expensive than licensed conveyancers when it comes to transfer of equity conveyancing. So is it better if I use a conveyancer or a solicitor where I need to be transferring equity and at the same time switching mortgage with Newbury Building Society
Examples of information requested in a lawyer form relating to Newbury Building Society Transfer of Equity
Can you give the name(s) and addresse(s) of anyone who jointly owns the property with you?
Where you are going to hold 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 clarify if you are making any payment for the Transfer of Equity and to whom and specify the amount?
Where you are adding a person on to the title deeds how would you like to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Form.
Is the transfer of equity subject to a court order? If yes please supply a copy
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)
Information to consider in supplemental the above Newbury Building Society transfer of equity Advice :
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 Newbury Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
Should the tenure of your property be leasehold, provisions in the lease may have a requirement for notices to be served and 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 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 Newbury 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 Newbury 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 valuation of the property at the time of completion of the transfer of equity transaction.
If you do not keep up the payments on your mortgage with Newbury Building Society your property may be repossessed.
Preparing the Transfer of Equity with a Newbury Building Society 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 Newbury 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 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 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.