The Chorley & District Building Society transfer of equity example support desk enquires
- Will I have to pay any fees for a Transfer of Equity where the current home loan is with The Chorley & District Building Society?
- The Chorley & District Building Society have just agreed I can take over the home loan on the flat. I had applied for a transfer of equity but is this a transfer of ownership of the title deeds as well?
- My divorce has gone through as is the consent order. Now I have to deal with the transfer of equity for the property and the The Chorley & District Building Society home loan. I have called The Chorley & District Building Society for the transfer of equity forms. What happens next?
- I intend to remortgage my maisonette in Witham
switching from Bank of Scotland to The Chorley & District Building Society. The apartment is jointly owned but wish for it to be in my name only once I transfer. My wife is OK with this and is happy to transfer equity but neither of us want to get a second conveyancing solicitor involved.
- I am planning on removing a name from a joint mortgage and the The Chorley & District Building Society require me to use a lawyer to carry out the paperwork. Can you recommend a reasonably priced Dunnington
conveyancing solicitor to deal with the transfer of equity? They need to be on the The Chorley & District Building Society conveyancing panel.
- I currently have a joint The Chorley & District Building Society mortgage with my brother and am looking into the option of him taking on the outstanding mortgage and removing myself from it, to enable me to purchase a property with my fiance. The remaining mortgage is approx 175k, and the property value is about 500k. Is this a transfer of equity? Is land tax payable?
- Can you tell me how to have someone removed from the title documents to a house where the mortgage is with The Chorley & District Building Society
Sample of information requested in a conveyancing solicitor form concerning a The Chorley & District Building Society Transfer of Equity
Please provide the name(s) and addresse(s) of anyone to be removed from the property title?
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and give details of the amount?
Is the transfer of equity subject to a court order? If yes please supply a copy
Can you give the details of anyone who jointly owns the premises with you?
We need you to provide the National Insurance Number(s) of all the new owners (required for completion of the SDLT Form)
Who will be responsible for the costs of the Transfer of Equity?
Caveats to be read in in addition to the above The Chorley & District Building Society transfer of equity Advice :
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 The Chorley & District Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold titles
If your property is 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 restrictions are not strictly observed you may be in breach of the lease. This could potentially result in the freeholder taking enforcement action against you.
If the transfer of equity is made pursuant to 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 The Chorley & District 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 The Chorley & District 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 the conclusion of the transfer of equity conveyancing.
If you do not keep up the payments on your mortgage with The Chorley & District Building Society your property may be repossessed.
Preparing the Transfer of Equity with a The Chorley & District 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 The Chorley & District 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.
Information contained within 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.