Newbury Mortgage Services transfer of equity: q and a’s
- Law month I separated from my ex of twenty years. I'm now living with my parents again and she wants to stay in the flat and pay me off. What percentage am I entitled to. Is it half of the equity after paying off the Newbury Mortgage Services home loan? I assume proper valuations are required but I would like ensure that I'm getting I am not being walked over
- Two years ago I purchased a house without my wife's name on the title documents. My lawyer said it is due to the fact that she is not in the loan offer with Newbury Mortgage Services. I'm wondering is there any way that I can add her name on the title?
- How and when do I pay the Stamp Duty Land Tax chargeable for the transfer of equity in my property in my name alone which is taking place simultaneously with a remortgage with Newbury Mortgage Services?
- I plan to remortgage my maisonette in Timperley
moving from Skipton to Newbury Mortgage Services. The home is jointly owned but wish for it to be in my sole name when I remortgage. My former partner is OK with this and is willing to transfer equity but neither of us want to incur lawyer charges.
- I already have a mortgage with Newbury Mortgage Services and am maintaining my current mortgaging but seeking to have have the equity transferred to my name only so my ex won't be on it any longer. How long can it take for the forms to be processed?
- Is it sensible to cancel the direct debit for my mortgage with Newbury Mortgage Services as soon as a date for my remortgage and transfer of equity has been agreed?
- I am considering mortgaging my apartment in Crabtree
does my lawyer have to be on the Newbury Mortgage Services Solicitor panel. The conveyancing also involves a transfer of equity.
Examples of questions in a conveyancer questionnaire relating to Newbury Mortgage Services Transfer of Equity
Please provide the details of anyone to be added to the title deeds?
Please give the name(s) and addresse(s) of anyone to be removed from the title deeds?
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and provide details of the amount?
Has one of the registered owners died? If so please supply us with a copy of the Death Certificate, Probate and a copy of the Will.
Please confirm the person to be removed from the title deeds will not reside at the property after the transfer of equity has been completed?
Please list all persons who occupy the property, their respective ages and relationships to you.
Caveats to be read in further to the above Newbury Mortgage Services 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 Newbury Mortgage Services conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
If your property is leasehold, provisions in the lease may require that you have a license to do so from the freeholder. If such conditions are not complied with you may be in violation 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 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 lawyer will check with Newbury Mortgage Services 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 Mortgage Services 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 valuation of the property at the conclusion of the transfer of equity transaction.
If you do not keep up the payments on your mortgage with Newbury Mortgage Services your property may be repossessed.
Preparing the Transfer of Equity with a Newbury Mortgage Services 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 Newbury Mortgage Services 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.
Information provided 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.