Scottish Widows transfer of equity example support desk enquires
- I am trying to find a conveyancing solicitor to handle my transfer of equity. Scottish Widows are dealing with the remortgage. I considered asking my mortgage broker. I am lead to believe he may receive a kickback for recommending someone, but also of benefit will be that he knows the conveyancing solicitor, has a working relationship with them. Is my logic misguided?
- Law month I split up with my partner of 18 years. I'm now back with my parents again and she wants to remain in the property and buy me out. What percentage am I entitled to. Is it 50% of the equity after redeeming the Scottish Widows home loan? I assume proper valuations are necessary but I really need ensure that I'm getting I am not being taken advantage of
- I already have a mortgage with Scottish Widows and am retaining my current mortgaging but seeking to have have the equity transferred to my sole name so my ex won't be on it any longer. How long does the whole transfer of equity process take?
- I am hoping to refinance my home in Wakefield
changing from Natwest to Scottish Widows. The maisonette is currently in joint names but I would like it to be in my name only once I transfer. My husband has agreed to this and is happy to sign a form but neither of us want to get a second conveyancing solicitor involved.
- I got divorced in 2011. I simply never got around to transfer ownership from both our names to just in my name. I am ready to do that and so is she. Transfer-of-equity is presumably the way forward. Scottish Widows is content to transfer the full equity in my name (affordability checks done). Does my ex need any legal representation?
- I am planning on removing a name from a joint mortgage and the Scottish Widows require me to use a lawyer to carry out the conveyancing. Can you recommend a reasonably priced Winchelsea
lawyer to deal with the transfer of equity? They need to be on the Scottish Widows conveyancing panel.
- Online research suggests that solicitors are more expensive than licensed conveyancers when it comes to transfer of equity conveyancing. So is it better if I use a conveyancer or a solicitor if I am transferring equity and simultaneously refinancing with Scottish Widows
Examples of questions in a lawyer form relating to Scottish Widows Transfer of Equity
Have you approached Scottish Widows to obtain consent to the Transfer of Equity
Please provide the details of anyone to be removed from the property title?
Please provide a copy of your National Insurance Number?
Will there be any consideration monies passing between the parties for the Transfer of Equity? Where this is the case, please state the amount and who is to receive what figure
Please confirm the person to be removed from the title deeds will not reside at the property after completion of the Transfer of Equity?
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and give details of the amount?
Information to consider in in addition to the above Scottish Widows 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 Scottish Widows conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold titles
Should the tenure of your property be leasehold, provisions in the lease may require that you have a license to do so from the freeholder. If such terms are not adhered to you may be in breach of your covenants under 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 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 conveyancer will check with Scottish Widows 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 Widows 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 finalisation of the transfer of equity transaction.
If you do not keep up the payments on your mortgage with Scottish Widows your property may be repossessed.
Preparing the Transfer of Equity with a Scottish Widows 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 Scottish Widows 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.
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.