Common questions relating to Norwich and Peterborough Building Society transfer of equity
- I am transferring my equity in house in Warwick to my co-owners fiance, they are reapplying to Norwich and Peterborough Building Society. We are haggling as to who should pay the fees for the transfer of equity. Should this be split or is one party obliged to cover the legal bill?
- I own a apartment in Blaenavon
, with a Norwich and Peterborough Building Society loan with my ex husband. Him and his new partner are going to buy me out. We had consent from Norwich and Peterborough Building Society to replace my name with hers. The transfer of equity needs to be done by a conveyancing solicitor for Norwich and Peterborough Building Society (supposedly). Can we do the Land Registry change?
- My partner and I have 50:50 shares in a buy to let. I am a top rate tax payer. Ideally I would like to do a transfer of equity to her sole name to reduce our tax on the letting income. Assuming Norwich and Peterborough Building Society are content with this the legal fees are inexpensive. However what happens when we sell? As I would no longer be on the title documents am I giving up my CGT relief.
- Last year purchased a property without my wife's name on the ownership paperwork. My conveyancer said it is because she is not in the loan offer with Norwich and Peterborough Building Society. I'm wondering is there any way that I can put her name on the title?
- Is it possible to transfer the equity held in my property with my Norwich and Peterborough Building Society mortgage?
- I am thinking of refinancing my apartment in Miles Platting
does my lawyer need to be on the Norwich and Peterborough Building Society Solicitor panel. The conveyancing also involves a transfer of equity.
- I am hoping to refinance my apartment in Wakefield
switching from Birmingham Midshires to Norwich and Peterborough Building Society. The home is currently in joint names but propose for it to be in my sole name once I transfer. My former partner is OK with this and is willing to sign a form but neither of us want to get a second lawyer involved.
Information that may be required from your conveyancing solicitor is likely to ask regarding your Norwich and Peterborough Building Society Transfer of Equity
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and give details of the amount?
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?
Has consent been obtained from Norwich and Peterborough Building Society to the proposed transfer of equity?
Please let us know of you wish us to draw up a Declaration of Trust. If so are you happy to incur the additional fee (beyond the Transfer of Equity fee)?
If 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 confirm where you are making any payment for the Transfer of Equity and to whom and give details of the amount?
Important warnings to consider in in addition to the above Norwich and Peterborough 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 Norwich and Peterborough Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold premises
Should the tenure of your property be leasehold, the lease may have a requirement for notices to be served and that you obtain the consent of the landlord. If such conditions are not complied with you may be in violation 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 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 Norwich and Peterborough 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 Norwich and Peterborough 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 finalisation of the transfer of equity conveyancing.
Your property may be repossessed if you do not keep up repayments on your mortgage with Norwich and Peterborough Building Society.
Preparing the Transfer of Equity with a Norwich and Peterborough 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 Norwich and Peterborough 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.
Content on 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.