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Are you in need of a Transfer of Equity with a NRAM Ltd mortgage? Failing to check that a lawyer is on the NRAM Ltd list of approved solicitors can put your transfer at risk of delay or failure. Only LenderPanel.com provides a subset of authorised conveyancers for over 130 lenders.

Questions and answers: NRAM Ltd transfer of equity

  • Law month I split up with my partner of thirty years. I'm now living with my mum and dad and she wishes to stay in the property and buy me out. What portion do I get. Is it 50% of the equity after redeeming the NRAM Ltd home loan? I assume proper valuations are required but I really need to be confident that I'm getting what I am entitled to
  • My NRAM Ltd home loan is in joint names with ex, he has agreed to be removed and let me have the property. NRAM Ltd have consented to the transfer of equity to me solely. Will NRAM Ltd contact my employer to confirm my salary?
  • When it comes to transfer of equity conveyancing involving refinance with NRAM Ltd should I be invoiced VAT on the following: (1) HMLR fee on the transfer of equity (2) Pre - completion search fee (3) SDLT E submission on the transfer (4) Bank TT fee
  • I intend to remortgage my home in Romsey switching from Bank of Scotland to NRAM Ltd. The maisonette is jointly owned but propose for it to be in my name only once I switch. My former partner has agreed to this and is happy to transfer equity but neither of us want to incur lawyer charges.
  • Me and my partner jointly own a house in Crabtree . Home loan is with NRAM Ltd. I wish to transfer full ownership to him with no exchange of money but without using a lawyer. Is this likely to be simple?
  • I acquired a property with a friend six years ago Since then, we have both got married. We are now seeking to do a transfer of equity so my name is taken off the NRAM Ltd mortgage. There is a 40k difference between the value the NRAM Ltd hold and what the property would sell for currently. Can you offer any advice?
  • Will I incur any charges for a Transfer of Equity where the existing home loan is with NRAM Ltd?

Sample of information requested in a lawyer questionnaire relating to NRAM Ltd Transfer of Equity

Please provide the details of anyone to be removed from the property title?

Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and provide 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 formalised?

Please list all persons who occupy the property, their respective ages and relationships to you.

We need you to provide the National Insurance Number(s) of all the new owners (required for submission of the Stamp Duty Land Tax Form)

Where you are adding someone on to the property how would you like to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Form.

Caveats to be read in conjunction with the above NRAM Ltd transfer of equity information :

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 NRAM Ltd 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 have a license to do so from the freeholder. If such restrictions are not strictly observed you may be in violation of your covenants under the lease. This could potentially result in the freeholder taking enforcement action against you.

Indemnity Insurance

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 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 is dependent on the market value of the property at finalisation of the transfer of equity conveyancing.
If you do not keep up the payments on your mortgage with NRAM Ltd your property may be repossessed.

Preparing the Transfer of Equity with a NRAM Ltd Mortgage

When it comes to preparing the the Land Registry documents your conveyancer 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 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.


Frequently asked questions relating to NRAM Ltd transfer of equity