Stafford Railway Building Society transfer of equity: q and a’s
- I am hoping to remortgage my maisonette in Sedgefield
switching from Godiva Mortgages to Stafford Railway Building Society. The flat is jointly owned but wish for it to be in my sole name 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 get a second conveyancer involved.
- I am am in need of a conveyancer to handle my transfer of equity. Stafford Railway Building Society have been approached for a refinancing. I thought of asking my mortgage broker. I understand he may get a kickback for recommending someone, but also of benefit will be that he knows the lawyer, has dealt with them before. Is my logic misguided?
- I jointly own a property in Miles Platting
, with a Stafford Railway Building Society mortgage with my ex husband. He and his fiance are going to acquire my share. We had consent from Stafford Railway Building Society to replace my name with hers. The transfer of equity has to be done by a conveyancing solicitor for Stafford Railway Building Society (apparently). Is it possible for us to do the Land Registry change?
- I got divorced in 2011. I simply never got around to change the ownership from the current 'joint' status to my sole name. I am ready to do that and so is she. Transfer-of-equity is presumably the way forward. Stafford Railway Building Society is happy to transfer the property and loan in my name (affordability checks done). Does my ex need a lawyer?
- When it comes to transfer of equity conveyancing involving refinance with Stafford Railway Building Society should I be invoiced value added tax on the following: (1) Land Registry fee on the transfer of equity (2) Pre - completion search fee (3) SDLT E submission on the transfer (4) Bank TT fee
- At what stage do I cover the costs of stamp duty chargeable for the transfer of equity in my house in my sole name which is happening simultaneously with a refinancing via Stafford Railway Building Society?
- Is it sensible to stop my mortgage payments with Stafford Railway Building Society once a date for my remortgage and transfer of equity has been agreed?
Questions that your lawyer may ask regarding your Stafford Railway Building Society Transfer of Equity
Who will be responsible for the costs of the Transfer of Equity?
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 provide details of the amount?
Has one of the registered proprietors died? If so please forward us with a copy of the Death Certificate, Probate and a copy of the Will.
Please give the details of anyone to be added to the title deeds?
Please provide a copy of your National Insurance Number?
Caveats to be read in conjunction with the above Stafford Railway Building Society 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 Stafford Railway Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
If your property is leasehold, 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 restrictions are not strictly observed you may be in breach of your covenants under 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 conveyancing solicitor 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 transaction.
If you do not keep up the payments on your mortgage with Stafford Railway Building Society your property may be repossessed.
Preparing the Transfer of Equity with a Stafford Railway Building Society Mortgage
When it comes to preparing the the Land Registry documents your conveyancer 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 provided 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.
