Top seven questions relating to Royal Bank of Scotland -Natwest One transfer of equity
- Been looking at consumer forums that solicitors are more expensive than licensed conveyancers for transfer of equity conveyancing. So is it better if I use a conveyancer or a solicitor if I am transferring equity and at the same time remortgaging with Royal Bank of Scotland -Natwest One
- My Royal Bank of Scotland -Natwest One home loan we jointly entered into with ex, who has agreed to be removed and let me have the property. Royal Bank of Scotland -Natwest One will permit the transfer of equity to my individual name. Do Royal Bank of Scotland -Natwest One call my boss to check my salary?
- My divorce has gone through as is the consent order. Now I have to address the transfer of equity for the property and the Royal Bank of Scotland -Natwest One mortgage. I have asked Royal Bank of Scotland -Natwest One for the transfer of equity application. What happens next?
- What legal advice do I need when doing a transfer of equity where the home loan is to remain with Royal Bank of Scotland -Natwest One?
- Can you tell me how to have someone removed off the deeds to a house where the home loan is with Royal Bank of Scotland -Natwest One
- I currently have a joint Royal Bank of Scotland -Natwest One mortgage with my step-brother and am investigating the possibility of him taking on the outstanding mortgage and subtracting myself from it, so as to enable me to purchase somewhere with my soon-to-be-wife. The outstanding mortgage is about 175k, and the property value is in the region 500k. Is this a transfer of equity? Is stamp duty involved?
- What do I need to do when it comes adding or subtracting names (transfer of equity) to or from my Royal Bank of Scotland -Natwest One mortgage account?
Sample of information requested in a conveyancing solicitor questionnaire relating to Royal Bank of Scotland -Natwest One 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 completed?
Is there to be any payment between the parties for the Transfer of Equity? Where this is the case, please state the amount and who is to receive the same
Please provide the details of those who jointly own the premises with you?
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 give the details of anyone to be added to the title deeds?
Please provide a copy of your National Insurance Number?
Important warnings to consider in supplemental the above Royal Bank of Scotland -Natwest One 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 Royal Bank of Scotland -Natwest One conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold premises
If your property is leasehold, the lease may require that you obtain the consent of the freeholder. If such restrictions are not strictly observed you may be in violation of your covenants under 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 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 Royal Bank of Scotland -Natwest One 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 Royal Bank of Scotland -Natwest One 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 time of completion of the transfer of equity transaction.
If you do not keep up the payments on your mortgage with Royal Bank of Scotland -Natwest One your property may be repossessed.
Preparing the Transfer of Equity with a Royal Bank of Scotland -Natwest One 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 Royal Bank of Scotland -Natwest One 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 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.