Sample questions relating to Yorkshire Building Society transfer of equity
- Is there such a thing a transfer of equity stamp duty calculator?
- My partner and I have equal shares in a investment property. I am a higher rate tax payer. Preferably I would like to complete a transfer of equity to her sole name in order reduce our tax on the letting income. Assuming Yorkshire Building Society are happy with this the legal fees are inexpensive. What are the implications when we dispose of the property? As I would no longer be on the title documents am I giving up my CGT relief.
- Online reading suggests that solicitors are more expensive than conveyancers for transfer of equity conveyancing. So is it better if I use a conveyancer or a solicitor if I need to be transferring equity and at the same time remortgaging with Yorkshire Building Society
- Can I apply to request a further advance from Yorkshire Building Society as part of a Transfer of Equity?
- I own a property in Littleborough
, with a Yorkshire Building Society loan with my former partner. Him and his new partner are going to buy me out. We had consent from Yorkshire Building Society to remove my name with hers. The transfer of equity has to be completed by a conveyancer for Yorkshire Building Society (supposedly). In order to save fees can I do the Land Registry formalities?
- Have recently separated from my wife of twenty years. I'm now back with my mum and dad and she wishes to stay in the flat and pay me off. What percentage do I get. Is it 50% of the equity after discharging the mortgage with Yorkshire Building Society? I assume proper valuations are required but I really need to be sure that I'm getting what I am entitled to
- Am I best advised stop the direct debit for my mortgage with Yorkshire Building Society as soon as a date for my remortgage and transfer of equity has been set?
Information that may be required from your conveyancer may ask about your Yorkshire Building Society Transfer of Equity
Is it the case that one of the registered proprietors passed away? If so please forward us with a copy of all the relevant documents e.g. the will, death certificate etc..
Please list all persons who occupy the property, their respective ages and relationships to you.
Please confirm if you are providing any payment for the Transfer of Equity and to whom and specify any such sums?
Is the transfer of equity subject to a court order? If yes please supply a copy
Who will be responsible for the costs of the Transfer of Equity?
Have you approached Yorkshire Building Society to obtain consent to the Transfer of Equity
Information to consider in in addition to the above Yorkshire Building Society 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 Yorkshire Building Society conveyancing panel and accountant before transferring equity.
Transfer of Equity Conveyancing for Leasehold properties
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 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 conveyancer will check with Yorkshire Building Society 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 Yorkshire Building Society 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 market value of the property at the conclusion of the transfer of equity conveyancing.
If you do not keep up the payments on your mortgage with Yorkshire Building Society your property may be repossessed.
Preparing the Transfer of Equity with a Yorkshire Building Society Mortgage
When it comes to preparing the the Land Registry documents your lawyer should in the ‘consideration’ panel choose the first option, if consideration is given; otherwise ignore the consideration panel altogether.
If Yorkshire Building Society 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.
Content 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.