Common questions relating to Penrith Building Society transfer of equity
- How and when do I pay stamp duty chargeable for the transfer of equity in my house in my sole name which is happening simultaneously with a switching mortgage via Penrith Building Society?
- Three years ago I bought a apartment without my fiance’s name on the ownership paperwork. My conveyancer said it is due to the fact that she was not in the loan offer with Penrith Building Society. Is it possible for me to put her name on the title?
- I am transferring my equity in house in Woodside to my co-owners husband, they are reapplying to Penrith Building Society. We are haggling as to who should pay the costs of the transfer of equity. Is this normally split or is one party obliged to cover the legal bill?
- My divorce has gone through as is the consent order. Now I need to address the transfer of equity on title deeds and the Penrith Building Society mortgage. I have asked Penrith Building Society for the transfer of equity application. What happens next?
- I jointly own a apartment in Winchelsea
, with a Penrith Building Society loan with my former partner. He and his fiance are going to acquire my share. We had approval from Penrith Building Society to replace my name with hers. The transfer of equity needs to be completed by a conveyancing solicitor for Penrith Building Society (supposedly). Is it possible for us to do the Land Registry change?
- I am planning on removing a name from a joint mortgage and the Penrith Building Society need me to use a lawyer to carry out the paperwork. Can you recommend a reasonably priced Romsey
conveyancing solicitor to deal with the transfer of equity? They need to be on the Penrith Building Society conveyancing panel.
- I am searching for a responsive conveyancing solicitor to assist in a transfer of equity and refinance with Penrith Building Society. I really don't want to get ripped off and there are lots of conveyancing firms who do transfer of equity conveyancing to pick from...who do I opt for?
Questions that your lawyer could ask in relation to your Penrith Building Society 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 formalised?
Please clarify if you are providing any payment for the Transfer of Equity and to whom and notify us the amount?
Has one of the registered owners passed away? If so please provide us with a copy of all the relevant documents e.g. the will, death certificate etc..
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and provide details of the amount?
Who will be responsible for the costs of the Transfer of Equity?
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?
Caveats to be read in conjunction with the above Penrith Building Society transfer of equity Info :
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 Penrith Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold titles
If your property is leasehold, the lease may require that you have a license to do so from the landlord. If such conditions are not strictly observed you may be in breach 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 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 Penrith 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 Penrith 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 the conclusion of the transfer of equity conveyancing.
If you do not keep up the payments on your mortgage with Penrith Building Society your property may be repossessed.
Preparing the Transfer of Equity with a Penrith 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 Penrith 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 lawyer 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.