Frequently asked questions relating to Stafford Railway Building Society transfer of equity

• Been reviewing online forums that solicitors are more expensive than conveyancers when it comes to transfer of equity conveyancing. Am I better of using a conveyancer or a solicitor if I need to be transferring equity and simultaneously switching mortgage with Stafford Railway Building Society
• Law week I split up with my wife of thirty years. I'm now living with my parents again and she wants to stay in the flat and buy me out. What portion do I get. Is it 50% of the equity after paying off the Stafford Railway Building Society home loan? I assume proper valuations are necessary but I would like to be sure that I'm getting the best deal
• What are my options where I am unhappy with the conveyancer who did my transfer of equity transaction?
• I already have a home loan with Stafford Railway Building Society and am maintaining my existing mortgaging but wish to have it in my name alone so my former husband won't be on it any longer. How long does the whole transfer of equity process take?
• My wife and myself equally own a BTL. I am a top rate tax payer. Ideally I would like to complete a transfer of equity to her sole name with a view to mitigate tax on rental income. Assuming Stafford Railway Building Society are fine with this the legal fees are not prohibitive. However what happens when we dispose of the property? Would my GGT relief be lost.
• My Stafford Railway Building Society mortgage we jointly entered into with ex, who is agreeable to come off the mortgage and let me have the property. Stafford Railway Building Society have consented to the transfer of equity to me solely. Do Stafford Railway Building Society get in touch with my employer to verify my salary?
• How do I go about adding or subtracting names (transfer of equity) to or from my Stafford Railway Building Society mortgage account?

Sample of questions in a lawyer questionnaire relating to Stafford Railway Building Society Transfer of Equity

General Advice to read in supplemental the above Stafford Railway Building Society transfer of equity Advice :

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 Stafford Railway Building Society conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold properties

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 conditions are not complied with you may be in violation of the lease. This could potentially result in 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 conveyancer will check with Stafford Railway 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 Stafford Railway 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 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 Stafford Railway 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 Stafford Railway 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 conveyancer should describe the transfer as ‘transfer of equity’ to assist Land Registry staff.

Information contained within 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.