Common questions relating to Nottingham Building Society transfer of equity
- Is it possible to transfer the equity held in my property with my Nottingham Building Society home loan?
- I am planning on removing a name from a joint mortgage and the Nottingham Building Society require me to use a lawyer to carry out the conveyancing. Can you recommend a reasonably priced Ampthill conveyancer to deal with the transfer of equity? They need to be on the Nottingham Building Society conveyancing panel.
- Is it possible to apply to borrow more money from Nottingham Building Society as part of a Transfer of Equity?
- My partner and I co-own a flat in Littleborough
. Mortgage is with Nottingham Building Society. I wish to transfer full ownership to him with no exchange of money but without using a lawyer. Is this likely to be straightforward?
- Two years ago I purchased a apartment without my fiance’s name on the ownership paperwork. My conveyancer claimed it is due to the fact that she was not in the loan offer with Nottingham Building Society. Is it possible for me to put her name on the documents at HM Land Registry?
- My partner and myself have 50:50 shares in a BTL. I am a top rate tax payer. Preferably I would like to complete a transfer of equity into her name in order mitigate tax on rental income. If Nottingham Building Society are content with this the legal fees are not high. However what happens when we sell? Would my GGT relief be lost.
- Law week I split up with my ex of thirty years. I'm now back with my parents again and she wants to remain in the flat and buy me out. What portion am I entitled to. Is it half of the equity after redeeming the Nottingham Building Society home loan? I assume proper valuations are necessary but I really need ensure that I'm getting I am not being walked over
Questions that your lawyer may ask in relation to your Nottingham Building Society Transfer of Equity
Has consent been obtained from Nottingham Building Society to the proposed transfer of equity?
Please provide the name(s) and addresse(s) of anyone to be added to the property title?
If are intent on holding 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 list all persons who occupy the property, their respective ages and relationships to you.
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?
Can you provide the name(s) and addresse(s) of anyone who jointly owns the premises with you?
Caveats to be read in supplemental the above Nottingham Building Society transfer of equity information :
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 Nottingham Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold titles
Should the tenure of your property be leasehold, 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 terms are not adhered to 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 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 conveyancer will check with Nottingham 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 Nottingham 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 is dependent 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 Nottingham Building Society.
Preparing the Transfer of Equity with a Nottingham Building Society 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 Nottingham 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 conveyancer 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.