Common questions relating to Suffolk Building Society transfer of equity
- I jointly own a flat in Winchelsea
, with a Suffolk Building Society loan with my ex partner. He and his fiance are going to acquire my share. We had the go ahead from Suffolk Building Society to remove my name with hers. The transfer of equity needs to be completed by a conveyancing solicitor for Suffolk Building Society (supposedly). In order to save fees can I do the Land Registry change?
- Suffolk Building Society have just agreed I can take over the mortgage on my home. I had applied for a transfer of equity but presumably there is a transfer of ownership of the title deeds on top?
- My partner and I jointly own a flat in Romsey
. Mortgage is with Suffolk Building Society. I want to transfer full ownership to him with no payment of money but without using a conveyancing solicitor. Is this likely to be straightforward?
- I already have a home loan with Suffolk Building Society and am keeping my existing mortgaging but applying to have it in my name only so my ex will no longer be on the deeds. How long do Suffolk Building Society take to process the application?
- My decree absolute has gone through as is the consent order. Now I have to sort out the transfer of equity on title deeds and the Suffolk Building Society mortgage. I have asked Suffolk Building Society for the transfer of equity application. What are my next steps?
- I plan to refinance my apartment in Timperley
moving from Skipton to Suffolk Building Society. The flat is currently in joint names but propose for it to be in my name only 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 in the process of removing a name from a joint mortgage and the Suffolk Building Society require me to use a lawyer to carry out the paperwork. Can you recommend a reasonably priced Crabtree
lawyer to deal with the transfer of equity? They need to be on the Suffolk Building Society conveyancing panel.
Examples of questions in a conveyancing solicitor form relating to Suffolk Building Society Transfer of Equity
Has consent been obtained from Suffolk Building Society to the proposed transfer of equity?
Please provide the name(s) and addresse(s) of anyone to be extracted from the title deeds?
Please let us know of you wish us to draw up a Declaration of Trust. If so are you willing to incur the further fee (beyond the Transfer of Equity fee)?
Where you are intent on holding the property as beneficial Tenants in Common in unequal shares, what is the split to be. For e.g. 50-50, or 60-40?
Is there to be any payment between the parties for the Transfer of Equity? Where this is the case, please state the amount and who is to receive what figure
Is the transfer of equity subject to a court order? If yes please supply a copy
General Advice to read in supplemental the above Suffolk 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 Suffolk Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold titles
Should the tenure of your property be leasehold, provisions in the lease may require that you obtain the consent of the landlord. If such conditions are not complied with you may be in breach of your covenants under 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 conveyancing solicitor will check with Suffolk 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 Suffolk 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 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 Suffolk Building Society your property may be repossessed.
Preparing the Transfer of Equity with a Suffolk 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 Suffolk 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 conveyancing solicitor 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.