Sample questions relating to NRAM Ltd transfer of equity
- I am thinking of mortgaging my flat in Crabtree
does my lawyer need to be on the NRAM Ltd Solicitor panel. The conveyancing also involves a transfer of equity.
- I am in the process of removing a name from a joint mortgage and the NRAM Ltd require me to use a conveyancing solicitor to carry out the legalities. Can you recommend a reasonably priced Dunnington
conveyancer to deal with the transfer of equity? They need to be on the NRAM Ltd conveyancing panel.
- I am filling out a NRAM Ltd transfer of equity request and have come to the questions regarding defaults etc. I do some debts that I have been paying off over a long period, I understand that they have long since disappeared from my credit score. Am I obliged to set these out?
- My partner and I jointly own a house in Heathfield
. Home loan is with NRAM Ltd. I want to transfer full ownership to him with no passing of money but without using a conveyancing solicitor. Do you think this should be straightforward?
- NRAM Ltd have just agreed I can take over the home loan on the flat. I previously applied for a transfer of equity but presumably there is a transfer of ownership at the Land Registry as well?
- My decree absolute is through as is the consent order. Now I need to deal with the transfer of equity for the property and the NRAM Ltd mortgage. I have contacted NRAM Ltd for the transfer of equity application. What do I do now?
- I am selling my share of a flat in Warwick to my co-owners fiance, they are sticking with NRAM Ltd being the the existing lender. We are in heated discussion as to who must cover the costs of the transfer of equity. Is this normally split or is one of us liable for the fees for?
Examples of information requested in a conveyancing solicitor questionnaire concerning a NRAM Ltd Transfer of Equity
Please provide the name(s) and addresse(s) of anyone to be added to the title deeds?
If 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” Questionnaire.
Please provide the name(s) and addresse(s) of those who jointly own the property with you?
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 give the details of anyone to be removed from the property title?
Is the transfer of equity subject to a court order? If yes please supply a copy
General Advice to read in further to the above NRAM Ltd 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 NRAM Ltd conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold titles
If your property is leasehold, provisions in the lease may have a requirement for notices to be served and that you obtain the consent of the freeholder. 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 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 conveyancing solicitor will check with NRAM Ltd 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 NRAM Ltd 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 finalisation of the transfer of equity transaction.
Your property may be repossessed if you do not keep up repayments on your mortgage with NRAM Ltd.
Preparing the Transfer of Equity with a NRAM Ltd 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 NRAM Ltd 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 provided 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.