Recently asked questions relating to Santander transfer of equity

• I own a flat in Witham , with a Santander loan with my former husband. Him and his new partner are going to buy me out. We had approval from Santander to replace my name with hers. The transfer of equity has to be completed by a lawyer for Santander (supposedly). Can we deal with the Land Registry change?
• I already have a home loan with Santander and am retaining my existing mortgaging but applying to have have the equity transferred to my name only so my former husband won't be on it any longer. How long does the whole transfer of equity process take?
• How do I go about adding or subtracting names (transfer of equity) to or from my Santander mortgage account?
• I am completing a Santander transfer of equity request and have come to the part regarding defaults etc. I do some debts that I have been reducing since 2007, in fact they no longer remain my credit score. Must I reveal these?
• Do I need legal advice when doing a transfer of equity where the mortgage is to remain with Santander?
• My divorce is through as is the consent order. Now I need to deal with the transfer of equity at the land registry and the Santander home loan. I have asked Santander for the transfer of equity forms. What happens next?
• I am are seeking to find a quality conveyancing solicitor to help me sell in a transfer of equity and refinance with Santander. I I am fearful of by bill escalating out of control but with lots of conveyancing practices who do transfer of equity conveyancing out there...how do I know which to select?

Information that may be required from your conveyancing solicitor is likely to ask regarding your Santander Transfer of Equity

General Advice to read in supplemental the above Santander transfer of equity Questions and Answers :

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 Santander conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold premises

Should the tenure of your property be leasehold, provisions in 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 breach of the lease. This could trigger 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 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 Santander 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 Santander 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 valuation of the property at the time of completion of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a Santander 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 Santander 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 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.