Examples of recent questions relating to Adam & Company transfer of equity

• My divorce is through as is the consent order. Now I must address the transfer of equity on title deeds and the Adam & Company mortgage. I have asked Adam & Company for the transfer of equity application. What happens next?
• Me and a friend got a joint mortgage with Adam & Company on a flat a couple of years ago. I am now thinking of buying a house by myself and my friend would like to buy me out. Once we have agreed a price what are the next steps? Would there be any potential problem with Adam & Company with him being on the hook for the total mortgage rather than only half of it?
• Will I have to pay any charges for a Transfer of Equity where the existing home loan is with Adam & Company?
• I am answering a Adam & Company transfer of equity application and have arrived at the section regarding defaults etc. There are some debts that I have been discharging since 2008, in fact they have long since disappeared from my credit records. Am I obliged to declare these?
• When it comes to transfer of equity conveyancing involving refinance with Adam & Company should I be paying value added tax on the following: (1) Land Registry fee on the transfer of equity (2) Pre - completion search fee (3) SDLT E submission on the transfer (4) Bank TT fee
• What is the process for adding or removing names (transfer of equity) to or from my Adam & Company mortgage account?
• I am looking for a conveyancer to deal with my transfer of equity. Adam & Company are dealing with the remortgage. I thought of asking my financial adviser. I am lead to believe he may get a referral fee for recommending someone, but also of benefit will be that he knows the lawyer, has a working relationship with them. Is my logic correct?

Sample of information requested in a conveyancing solicitor form relating to Adam & Company Transfer of Equity

General Advice to read in conjunction with the above Adam & Company 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 Adam & Company conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold titles

Should the tenure of your property be leasehold, provisions in the lease may require that you obtain the consent of the freeholder. If such restrictions are not strictly observed you may be in violation of your covenants under 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 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 Adam & 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 Adam & 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 varies based on the valuation of the property at finalisation of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a Adam & 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 Adam & 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.