Sample questions relating to State Bank of India UK transfer of equity
- I am answering a State Bank of India UK transfer of equity application and have come to the section regarding debts etc. I do some debts that I have been discharging for a number of years, I understand that they have long since disappeared from my credit rating. Am I obliged to set these out?
- Me and my partner jointly own a house in Dunnington
. Mortgage is with State Bank of India UK. I want to transfer full ownership to him with no passing of money but without using a lawyer. Is this likely to be straightforward?
- My State Bank of India UK home loan we jointly entered into with ex, who is agreeable to come off the deeds and put the house in my name alone. State Bank of India UK will permit the transfer of equity to me solely. Do State Bank of India UK write my employer to check my salary?
- What if my application doesn't meet State Bank of India UK lending criteria for a transfer of equity?
- As things stand I have a joint State Bank of India UK mortgage with my step-brother and am looking into the option of him assuming responsibility for the outstanding mortgage and extracting myself from it, so as to enable me to buy a place with my fiance. The outstanding mortgage is approx 300k, and the property value is approx 450k. Is this a transfer of equity? Is stamp duty involved?
- I am looking for a conveyancing solicitor to undertake my transfer of equity. State Bank of India UK are dealing with the remortgage. I considered asking my mortgage broker. I understand he may get a referral fee for suggesting a firm, but also of benefit will be that he knows the conveyancer, has dealt with them before. Is my logic misguided?
- Is it sensible to cancel the direct debit for my mortgage with State Bank of India UK as soon as a date for my remortgage and transfer of equity has been set?
Examples of information requested in a conveyancing solicitor questionnaire relating to State Bank of India UK Transfer of Equity
Please give the name(s) and addresse(s) of anyone to be added to the property title?
Would you like us to prepare Declaration of Trust. If so are you willing to pay for the additional fee (beyond the Transfer of Equity fee)?
We need you to supply the National Insurance Number(s) of all the new owners (required for completion of the SDLT Form)
Have you approached State Bank of India UK to obtain consent to the Transfer of Equity
Please give the name(s) and addresse(s) of anyone to be extracted from the title deeds?
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and give details of the amount?
Caveats to be read in supporting the above State Bank of India UK transfer of equity Questions and Answers :
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 State Bank of India UK conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
If your property is leasehold, the lease may require that you have a license to do so from the landlord. If such conditions are not complied with you may be in breach 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 lawyer will check with State Bank of India UK 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 State Bank of India UK 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 market value of the property at finalisation of the transfer of equity conveyancing.
If you do not keep up the payments on your mortgage with State Bank of India UK your property may be repossessed.
Preparing the Transfer of Equity with a State Bank of India UK 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 State Bank of India UK 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 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.
