Frequently asked questions relating to West Bromwich Mortgage Company transfer of equity
- Have recently split up with my wife of thirty years. I'm now back with my parents again and she wants to stay in the apartment and pay me off. What portion am I entitled to. Is it half of the equity after discharging the West Bromwich Mortgage Company home loan? I assume proper valuations are necessary but I really need to be sure that I'm getting what I am entitled to
- I am disposing of my share of a property in Warwick to the other co-owners fiance, they are reapplying to West Bromwich Mortgage Company. We are haggling as to who should pay the fees for the transfer of equity. Should this be shared or is one party obliged to cover the costs of?
- I jointly own a property in Friern Barnet
, with a West Bromwich Mortgage Company loan with my ex partner. Him and his fiance are going to acquire my share. We had approval from West Bromwich Mortgage Company to substitute my name with hers. The transfer of equity has to be completed by a conveyancing solicitor for West Bromwich Mortgage Company (supposedly). In order to save fees can I do the Land Registry change?
- My father died seven months ago leaving a loan-free bungalow to me and my step brother 50:50. He has always lived in the premises, there was a clause in the will saying the propertycould not be sold for three years after her passing so he could reside there for a prescribed period. He now wants to remain in the property beyond the prescribed period. We have discussed a transfer of equity. Am I right in saying we'd get a valuation then he'd get a home loan in the usual way to acquire my equity?
- I already have a mortgage with West Bromwich Mortgage Company and am maintaining my current mortgaging but wish to have it in my sole name so my former husband will be removed from the deeds. How long can it take for the forms to be processed?
- Me and my partner jointly own a property in Witham
. Home loan is with West Bromwich Mortgage Company. I wish to transfer full ownership to him with no exchange of money but without using a conveyancing solicitor. Is this likely to be straightforward?
- I am am in need of a lawyer to deal with my transfer of equity. West Bromwich Mortgage Company are dealing with the refinancing. I considered asking my financial adviser. I understand he will likely receive a kickback for suggesting someone, but also of benefit will be that he knows the conveyancer, has dealt with them before. Is my logic misguided?
Information that may be required from your conveyancing solicitor is likely to ask regarding your West Bromwich Mortgage Company Transfer of Equity
Please provide the name(s) and addresse(s) of anyone to be extracted from the title deeds?
Where you are adding someone on to the property how do you wish to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Form.
If are going to hold the property as beneficial Tenants in Common in unequal shares, what is the split to be. For e.g. 50-50, or 60-40?
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 to be added to the title deeds?
We need you to supply the National Insurance Number(s) of all the new owners (required for submission of the Stamp Duty Land Tax Form)
Information to consider in in addition to the above West Bromwich Mortgage Company transfer of equity Questions and Answers :
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 West Bromwich Mortgage Company 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 landlord. If such conditions are not complied with you may be in violation of your covenants under the lease. This could potentially result in the freeholder taking enforcement action against you.
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 lawyer will check with West Bromwich Mortgage Company 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 West Bromwich Mortgage Company 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 conclusion of the transfer of equity conveyancing.
If you do not keep up the payments on your mortgage with West Bromwich Mortgage Company your property may be repossessed.
Preparing the Transfer of Equity with a West Bromwich Mortgage Company 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 West Bromwich Mortgage Company 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 does not constitute 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.