Recently asked questions relating to Pepper Money (UK) transfer of equity

• Law month I split up with my wife of thirty years. I'm now living with my parents again and she wants to stay in the apartment and pay me off. What portion am I entitled to. Is it half of the equity after paying off the Pepper Money (UK) home loan? I assume proper valuations are necessary but I would like to be confident that I'm getting the best deal
• I currently have a joint Pepper Money (UK) mortgage with my brother and am investigating the feasibility of him assuming responsibility for the outstanding mortgage and removing myself from it, so as to enable me to purchase a property with my soon-to-be-wife. The remaining mortgage is approx 250k, and the property value is in the region 450k. Is this a transfer of equity? Is land tax payable?
• What are my options where I am unhappy with the conveyancer who undertook our transfer of equity transaction?
• I am completing a Pepper Money (UK) transfer of equity form and have come to the questions concerning debts etc. There are some debts that I have been reducing for a number of years, I understand that they have long since disappeared from my credit records. Must I set these out?
• My Pepper Money (UK) home loan is in joint names with ex, who has agreed to come off the deeds and put the house in my name alone. Pepper Money (UK) have consented to the transfer of equity to me solely. Will Pepper Money (UK) contact my company to check my salary?
• In 2011 I purchased a property without my partner's name on the ownership paperwork. My lawyer advised it is due to the fact that she was not in the mortgage with Pepper Money (UK). I'm wondering is there any way that I can put her name on the documents at HMLR?
• I am led to believe we would need at least AP1 and TR1. Is this true?

Information that may be required from your conveyancer may ask about your Pepper Money (UK) Transfer of Equity

Important warnings to consider in in addition to the above Pepper Money (UK) transfer of equity Info :

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 Pepper Money (UK) 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 obtain the consent of the freeholder. If such conditions are not strictly observed you may be in breach of the lease. This could potentially result in the freeholder taking enforcement action against you.

Indemnity Insurance

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 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 Pepper Money (UK) 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 Pepper Money (UK) 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 the time of completion of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a Pepper Money (UK) 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 Pepper Money (UK) 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.

Information provided on 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.