Common questions relating to Teachers Building Society transfer of equity

• Do I need legal advice when doing a transfer of equity where the mortgage is to remain with Teachers Building Society?
• Can I apply to request more money from Teachers Building Society as part of a Transfer of Equity?
• Me and my partner jointly own a flat in Littleborough . Home loan is with Teachers Building Society. I want to transfer full ownership to him with no exchange of money but without using a conveyancing solicitor. Do you think this should be easy to so?
• I am are seeking to find a quality conveyancing solicitor to help me sell in a transfer of equity and remortgage with Teachers Building Society. I want to avoid being ripped off but with so many conveyancing practices who do transfer of equity conveyancing out there...how do I know which one is best appoint?
• I acquired a property with my cousin in 2010 Since then, we have both got married. We are now seeking to do a transfer of equity so my name is removed the Teachers Building Society mortgage. There is a 40k difference between the value the Teachers Building Society hold and what the property would sell for currently. Can you offer any advice?
• How and when do I pay stamp duty payable for the transfer of equity in my home in my name alone which is happening at the same time as a remortgage via Teachers Building Society?
• Have recently split up with my wife of twenty years. I'm now living with my parents again and she wants to remain in the apartment and buy me out. What percentage do I get. Is it half of the equity after paying off the Teachers Building Society home loan? I assume proper valuations are required but I really need to be confident that I'm getting what I am entitled to

Examples of questions in a conveyancer questionnaire relating to Teachers Building Society Transfer of Equity

Caveats to be read in supplemental the above Teachers 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 Teachers 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 freeholder. 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 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 lawyer will check with Teachers 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 Teachers 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 market value of the property at finalisation of the transfer of equity transaction.

Preparing the Transfer of Equity with a Teachers 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 Teachers 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.

Content 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.