Top seven questions relating to St James Place transfer of equity
- I am considering refinancing my flat in Rye
does my lawyer need to be on the St James Place Solicitor panel. The conveyancing also involves a transfer of equity.
- I currently have a joint St James Place mortgage with my cousin and am looking into the feasibility of him taking on the whole mortgage and removing myself from it, so as to enable me to buy a property with my fiance. The remaining mortgage is about 175k, and the property value is about 450k. Is this a transfer of equity? Is land tax payable?
- I am filling out a St James Place transfer of equity form and have arrived at the section regarding defaults etc. There are some debts that I have been clearing since 2007, I understand that they have long since disappeared from my credit rating. Must I reveal these?
- When it comes to transfer of equity conveyancing involving a remortgage with St James Place should I be paying VAT on the following: (1) HMLR fee on the transfer of equity (2) Pre - completion search fee (3) SDLT E submission on the transfer (4) Bank TT fee
- I am searching for an affordable conveyancing lawyer to help me sell in a transfer of equity and remortgage with St James Place. I I am concerned about being overcharged and there's lots of conveyancing solicitors who do transfer of equity conveyancing to pick from...how do I know which is best select?
- I recently bought a property without my partner's name on the title. My lawyer said it is due to the fact that she was not in the mortgage with St James Place. Is it possible for me to put her name on the title?
- I am selling my equity in house in Birmingham to the other co-owners husband, they are reapplying to St James Place. We are haggling as to who should cover the costs of the transfer of equity. Should this be split or is one of us liable for the legal bill?
Examples of information requested in a conveyancing solicitor form concerning a St James Place Transfer of Equity
Please provide a copy of your National Insurance Number?
Has one of the registered owners passed away? If so please forward us with a copy of the Death Certificate, Probate and a copy of the Will.
Where you are going to hold the property as beneficial Tenants in Common in unequal shares, what is the split to be. For e.g. 50-50, or 60-40?
Please provide the details of anyone to be added to the property title?
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and give details of the amount?
Where you are adding someone on to the property how would you like to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Form.
Information to consider in supporting the above St James Place transfer of equity Advice :
Tax and Legal
There may be various tax and legal implications when transferring equity for your property. You should always seek the advice of a solicitor on the St James Place conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
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 landlord. If such terms are not adhered to you may be in violation of the lease. This could potentially result in 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 conveyancer will check with St James Place 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 St James Place 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.
Your property may be repossessed if you do not keep up repayments on your mortgage with St James Place.
Preparing the Transfer of Equity with a St James Place 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 St James Place 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.
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.