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Frequently asked questions relating to TSB transfer of equity

  • I already have a mortgage with TSB and am retaining my existing mortgaging but seeking to have have the equity transferred to my sole name so my ex will be removed from the title. How long can it take for the application to be processed?
  • Last year purchased a apartment without my partner's name on the title. My conveyancing solicitor advised it is because she was not in the loan offer with TSB. Is it possible for me to add her name on the title?
  • What if my application doesn't meet TSB lending criteria for a transfer of equity?
  • I am thinking of remortgaging my property in Rye does my lawyer have to be on the TSB Conveyancing panel. The conveyancing also involves a transfer of equity.
  • At what stage do I cover the costs of the Stamp Duty Land Tax payable for the transfer of equity in my home in my name alone which is happening at the same time as a refinancing with TSB?
  • I am trying to find a conveyancer to handle my transfer of equity. TSB have been approached for a remortgage. I thought of asking my financial adviser. I understand he will likely get a referral fee for suggesting a firm, but also of benefit will be that he knows the conveyancing solicitor, has a working relationship with them. Any flaws you see in this way of thinking?
  • My TSB mortgage we jointly entered into with ex, he is agreeable to be removed and put the house in my name alone. TSB will permit the transfer of equity to my individual name. Do TSB get in touch with my boss to check my salary?

Information that may be required from your conveyancing solicitor could ask about your TSB Transfer of Equity

Please provide the details of anyone to be added to the title deeds?

Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and give details of the amount?

Please provide the name(s) and addresse(s) of anyone who jointly owns the property with you?

Please give the details of anyone to be extracted from the property title?

Please list all persons who occupy the property, their respective ages and relationships to you.

Is there to be any payment between the parties for the Transfer of Equity? If so, please state the amount and who is to receive the same

Caveats to be read in further to the above TSB 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 TSB conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold titles

If your property is leasehold, the lease may have a requirement for notices to be served and that you have a license to do so from the landlord. If such conditions are not strictly observed 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 pursuant to 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 TSB 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 TSB 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 conclusion of the transfer of equity transaction.
If you do not keep up the payments on your mortgage with TSB your property may be repossessed.

Preparing the Transfer of Equity with a TSB 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 TSB 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 provided 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.


Frequently asked questions relating to TSB transfer of equity