Recently asked questions relating to Stafford Railway Building Society transfer of equity
- I am in the process of removing a name from a joint mortgage and the Stafford Railway Building Society require me to use a conveyancer to carry out the paperwork. Can you recommend a reasonably priced Rye
conveyancer to deal with the transfer of equity? They need to be on the Stafford Railway Building Society conveyancing panel.
- Is it possible to transfer the equity held in my property with my Stafford Railway Building Society mortgage?
- Stafford Railway Building Society yesterday agreed I can take over the mortgage on my home. I previously applied for a transfer of equity but presumably there is a transfer of ownership of the house as well?
- I am completing a Stafford Railway Building Society transfer of equity application and have come to the section regarding debts etc. I do some debts that I have been discharging over a long period, I understand that they have long since disappeared from my credit records. Must I set these out?
- Have recently separated from my partner of twenty years. I'm now living with my parents again and she wishes to stay in the flat and pay me off. What portion am I entitled to. Is it 50% of the equity after redeeming the mortgage with Stafford Railway Building Society? I assume proper valuations are required but I really need ensure that I'm getting what I am entitled to
- I got divorced in 2010. For some reason I never got around to transfer ownership from the current 'joint' status to my sole name. I am ready to do that and so is she. Transfer-of-equity is needed. Stafford Railway Building Society is happy to transfer the property and loan in my name (financial checks done). Does my ex need a conveyancer?
- What should I be budgeting for when it comes to what solicitors charges are for a transfer of equity? I'm in the process of remortgaging - new loan with Stafford Railway Building Society - and have been quoted £250 including VAT by Stafford Railway Building Society's appointed conveyancer, Have I been over quoted?
Questions that your conveyancer is likely to ask regarding your Stafford Railway Building Society Transfer of Equity
Who will be responsible for the costs of the Transfer of Equity?
If you are adding a person on to the property how do you wish to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Questionnaire.
We need you to supply the National Insurance Number(s) of all the new owners (required for completion of the SDLT Form)
Can you give the details of anyone who jointly owns the premises with you?
If 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?
Has one of the registered owners died? If so please forward us with a copy of all the relevant documents e.g. the will, death certificate etc..
General Advice to read in supporting the above Stafford Railway Building Society transfer of equity Questions and Answers :
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 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 obtain the consent of the landlord. If such terms are not adhered to 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 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 varies based on the valuation of the property at the conclusion of the transfer of equity transaction.
Your property may be repossessed if you do not keep up repayments on your mortgage with Stafford Railway Building Society.
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 lawyer 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 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.
