Sample questions relating to Scottish Building Society transfer of equity

• Me and my partner co-own a house in Friern Barnet . Home loan is with Scottish Building Society. I want to transfer full ownership to him with no exchange of money but without using a lawyer. Is this likely to be simple?
• I am disposing of my share of a apartment in Hendon to the other co-owners fiance, they are sticking with Scottish Building Society as the the existing mortgage company. We are in heated discussion as to who must pay the legal bill for the transfer of equity. Should this be shared or is one party liable for the fees for?
• I plan to remortgage my home in Littleborough switching from Chelsea BS to Scottish Building Society. The maisonette is jointly owned but wish for it to be in my name only as and when I transfer. My wife has verbally consented to this and is willing to sign a form but neither of us want to incur conveyancing solicitor fees.
• Scottish Building Society have today agreed I can take over the home loan on the house. I previously applied for a transfer of equity but presumably there is a transfer of ownership at HMLR in addition?
• I own a flat in Ampthill , with a Scottish Building Society loan with my ex partner. Him and his new partner are going to acquire my share. We had consent from Scottish Building Society to replace my name with hers. The transfer of equity has to be done by a conveyancer for Scottish Building Society (supposedly). Is it possible for us to do the Land Registry change?
• My divorce has gone through as is the consent order. Now I must sort out the transfer of equity for the property and the Scottish Building Society mortgage. I have asked Scottish Building Society for the transfer of equity forms. What do I do now?
• I recently purchased a flat without my partner's name on the ownership paperwork. My lawyer said it is because she was not in the loan offer with Scottish Building Society. I'm wondering is there any way that I can put her name on the title?

Questions that your lawyer may ask about your Scottish Building Society Transfer of Equity

Caveats to be read in supporting the above Scottish Building Society 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 Scottish Building Society conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold titles

If your property is 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 landlord. If such conditions are not strictly observed you may be in violation of the lease. This could trigger 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 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 lawyer will check with Scottish 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 Scottish 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 market value of the property at the time of completion of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a Scottish 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 Scottish 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 conveyancing solicitor 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 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.