Common questions relating to Topaz Finance transfer of equity

• My former wife are seeking to get a conveyancer in place for a refinance with Topaz Finance. Transfer of Equity conveyancing is also neededI have used the different comparison based tools and the results are from all over UK. Is it important to have a conveyancer local to us?
• What can I do where I am dissatisfied with the lawyer who conducted our transfer of equity transaction?
• My Topaz Finance mortgage we jointly entered into with ex, he has agreed to come off the deeds and let me have the property. Topaz Finance will permit the transfer of equity to me solely. Will Topaz Finance get in touch with my company to confirm my salary?
• I am hoping to refinance my flat in Rye moving from Coventry BS to Topaz Finance. The maisonette is currently in joint names but I would like it to be in my name only when I switch. My former partner has verbally consented to this and is happy to sign a form but neither of us want to incur lawyer charges.
• My mum passed away half a year ago leaving a loan-free house to me and my half brother in equal shared. He has always lived in the property, there was a provision in her will saying the premisescould not be sold for 24 months after her passing so he could remain there for a while. He now wants to remain in the property beyond the prescribed period. We have considered a transfer of equity. Am I right in saying we'd get a valuation then he'd get a home loan in the traditional way to buy my half from me?
• I understand we would need at least AP1 and Transfer Deed. Is this true?
• Me and a friend got a joint mortgage with Topaz Finance on a apartment in 2013. I am now thinking of buying a apartment on my own and my friend would like to buy me out. Assuming we can agree a figure what happens next? Is there likely to be any problem with Topaz Finance with him being on the hook for the total loan as opposed to only part of it?

Information that may be required from your conveyancer is likely to ask about your Topaz Finance Transfer of Equity

Caveats to be read in further to the above Topaz Finance transfer of equity information :

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 Topaz Finance conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold properties

Should the tenure of your property be leasehold, the lease may require that you obtain the consent of the freeholder. If such terms are not adhered to you may be in breach of your covenants under the lease. This could trigger the freeholder taking enforcement action against you.

Indemnity Insurance

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 conveyancer will check with Topaz Finance 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 Topaz Finance 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 valuation of the property at the time of completion of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a Topaz Finance 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 Topaz Finance 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.