Examples of recent questions relating to Virgin transfer of equity

• I intend to refinance my apartment in Sedgefield switching from Coventry BS to Virgin. The home is currently in joint names but I would like it to be in my sole name when I switch. My former partner is OK with this and is happy to sign a form but neither of us want to get a second lawyer involved.
• Is there such a thing a transfer of equity stamp duty calculator?
• I already have a mortgage with Virgin and am keeping my current mortgaging but wish to have it in my sole name so my ex won't be on it any longer. How long does the whole transfer of equity process take?
• Me and my former fiance and I are in the market for a dependable conveyancing lawyer to help me sell in a transfer of equity and refinance with Virgin. I am aware of the dangers of getting ripped off and there's various conveyancing organisations who do transfer of equity conveyancing to choose from...who do I opt for?
• I am planning on removing a name from a joint mortgage and the Virgin require me to use a conveyancer to carry out the conveyancing. Can you recommend a reasonably priced Romsey conveyancing solicitor to deal with the transfer of equity? They need to be on the Virgin conveyancing panel.
• Can I apply to borrow a further advance from Virgin as part of a Transfer of Equity?
• As things stand I have a joint Virgin mortgage with my cousin and am investigating the option of him assuming responsibility for the outstanding mortgage and subtracting myself from it, to enable me to buy somewhere with my soon-to-be-wife. The outstanding mortgage is approx 200k, and the property value is in the region 450k. Is this a transfer of equity? Is stamp duty involved?

Information that may be required from your conveyancing solicitor is likely to ask in relation to your Virgin Transfer of Equity

Caveats to be read in supporting the above Virgin 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 Virgin conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold premises

Should the tenure of your property be leasehold, the lease may require that you have a license to do so from the landlord. If such conditions are not complied with you may be in violation 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 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 lawyer 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 valuation of the property at finalisation of the transfer of equity transaction.

Preparing the Transfer of Equity with a Virgin 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 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 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.