Examples of recent questions relating to Newbury Mortgage Services transfer of equity
- My decree absolute is through as is the consent order. Now I must sort out the transfer of equity for the property and the Newbury Mortgage Services home loan. I have asked Newbury Mortgage Services for the transfer of equity forms. What happens next?
- As things stand I have a joint Newbury Mortgage Services mortgage with my brother and am investigating the feasibility of him taking on the outstanding mortgage and subtracting myself from it, so as to enable me to purchase a place with my partner. The outstanding mortgage is approx 300k, and the property value is in the region 450k. Is this a transfer of equity? Is stamp duty involved?
- I am completing a Newbury Mortgage Services transfer of equity application and have arrived at the questions concerning debts etc. There are some debts that I have been reducing for a number of years, I understand that they no longer remain my credit rating. Do I need to set these out?
- How much the typical conveyancing charges are for a transfer of equity? I need to transfer equity and remortgage - moving over to Newbury Mortgage Services - and have been quoted £250 plus VAT by Newbury Mortgage Services's approved lawyer, Have I been over quoted?
- Will I incur any fees for a Transfer of Equity where the current home loan is with Newbury Mortgage Services?
- I am considering mortgaging my property in Sedgefield
does my lawyer need to be on the Newbury Mortgage Services Solicitor panel. The conveyancing also involves a transfer of equity.
- I plan to remortgage my home in Heathfield
moving from Leeds Building Society to Newbury Mortgage Services. The apartment is jointly owned but intend for it to be in my sole name when I switch. My husband has verbally consented to this and is happy to sign a form but neither of us want to get a second conveyancing solicitor involved.
Questions that your conveyancer may ask regarding your Newbury Mortgage Services Transfer of Equity
Please list all persons who occupy the property, their respective ages and relationships to you.
If you are adding someone 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” Questionnaire.
Can you provide the name(s) and addresse(s) of anyone who jointly owns the property with you?
Is the transfer of equity subject to a court order? If yes please supply a copy
Has consent been obtained from Newbury Mortgage Services to the proposed transfer of equity?
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?
Information to consider in conjunction with the above Newbury Mortgage Services transfer of equity Questions and Answers :
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 premises
If your property is leasehold, provisions in the lease may require that you have a license to do so from the landlord. If such restrictions are not strictly observed you may be in violation of 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 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 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 varies based on the market value of the property at the conclusion of the transfer of equity conveyancing.
Your property may be repossessed if you do not keep up repayments on your mortgage with Newbury Mortgage Services.
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 conveyancing solicitor should describe the transfer as ‘transfer of equity’ to assist Land Registry staff.
Content 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.