Common questions relating to Swansea Building Society transfer of equity
- Is it sensible to stop my mortgage payments with Swansea Building Society as soon as a date for my remortgage and transfer of equity has been set?
- I am looking for a lawyer to deal with my transfer of equity. Swansea Building Society have been approached for a remortgage. I thought of asking my mortgage broker. I understand he may receive a kickback for recommending someone, but also of benefit will be that he knows the conveyancing solicitor, has dealt with them before. Is my logic misguided?
- I am completing a Swansea Building Society transfer of equity form and have come to the section regarding defaults etc. I do some debts that I have been clearing for a number of years, I understand that they no longer remain my credit records. Am I obliged to set these out?
- Having been three years estranged I have made the decision to relinquish up my interest in our former home to my husband who is re-mortgaging with Swansea Building Society. Can a transfer of equity be completed inside four weeks?
- I already have a mortgage with Swansea Building Society and am retaining my existing mortgaging but applying to have have the equity transferred to my name only so my ex will no longer be on the deeds. How long can it take for the forms to be processed?
- What should I be budgeting for when it comes to what conveyancing costs are for a transfer of equity? I need to transfer equity and refinance - new loan with Swansea Building Society - and have been quoted Four Hundred pounds including VAT by Swansea Building Society's appointed conveyancing solicitor, Is this is a good price or not?
- What is the process for adding or subtracting names (transfer of equity) to or from my Swansea Building Society mortgage account?
Questions that your conveyancer could ask in relation to your Swansea Building Society 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 give the name(s) and addresse(s) of anyone to be extracted from the title deeds?
Please provide a copy of your National Insurance Number?
Who will be responsible for the costs of the Transfer of Equity?
Is it the case that one of the registered owners passed away? If so please provide us with a copy of the Death Certificate, Probate and a copy of the Will.
Please state the names and ages of anyone over the age of 17, other than the owners, who will occupy the property with you
Caveats to be read in in addition to the above Swansea Building Society transfer of equity Advice :
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 Swansea 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 have a requirement for notices to be served and that you obtain the consent of the freeholder. If such terms are not adhered to you may be in breach of the lease. This could trigger 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 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 Swansea 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 Swansea 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 time of completion of the transfer of equity transaction.
If you do not keep up the payments on your mortgage with Swansea Building Society your property may be repossessed.
Preparing the Transfer of Equity with a Swansea 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 Swansea 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.