LenderPanel.com

Find a Law Firm for your Transfer of Equity approved by
Virgin

Examples of recent questions relating to Virgin transfer of equity

  • Online reading suggests that solicitors are more expensive than conveyancers for transfer of equity conveyancing. Am I better of using a conveyancer or a solicitor where I am transferring equity and at the same time refinancing with Virgin
  • Can I transfer the equity held in my property with my Virgin mortgage?
  • How do I go about adding or removing names (transfer of equity) to or from my Virgin mortgage account?
  • My mortgage broker has suggested using their conveyancer for my Transfer of Equity plus remortgage with Virgin - Is it not simpler better to just use them?
  • I already have a home loan with Virgin and am keeping my existing mortgaging but wish to have it in my sole name so my ex won't be on it any longer. How long do Virgin take to deal with the application?
  • I own a apartment in Blaenavon , with a Virgin loan with my ex husband. Him and his fiance are going to buy me out. We had approval from Virgin to replace my name with hers. The transfer of equity needs to be completed by a conveyancer for Virgin (apparently). Is it possible for us to deal with the Land Registry formalities?
  • My decree absolute is through as is the consent order. Now I must sort out the transfer of equity at the HMLR and the Virgin mortgage. I have asked Virgin for the transfer of equity forms. What are my next steps?

Information that may be required from your conveyancer is likely to ask regarding your Virgin 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?

Can you give the details of anyone who jointly owns the premises with you?

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

Please let us know where you are making any payment for the Transfer of Equity and to whom and disclose any such sums?

Please provide a copy of your National Insurance Number?

Have you approached Virgin to obtain consent to the Transfer of Equity

General Advice to read in conjunction with the above Virgin transfer of equity information :

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 Virgin conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold titles

If your property is leasehold, provisions in the lease may require that you have a license to do so from the freeholder. If such conditions are not strictly observed you may be in breach of the lease. This could potentially result in 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 conveyancing solicitor will check with Virgin 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 Virgin 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.
Your property may be repossessed if you do not keep up repayments on your mortgage with Virgin.

Preparing the Transfer of Equity with a Virgin 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 Virgin 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 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 Virgin transfer of equity