Examples of recent questions relating to Aldermore Bank transfer of equity

• I co-own a property in Littleborough , with a Aldermore Bank loan with my former partner. He and his new partner are going to acquire my share. We had approval from Aldermore Bank to remove my name with hers. The transfer of equity needs to be done by a conveyancer for Aldermore Bank (supposedly). Is it possible for us to deal with the Land Registry change?
• As things stand I have a joint Aldermore Bank mortgage with my brother and am looking into the option of him taking on the whole mortgage and subtracting myself from it, so as to enable me to purchase a place with my partner. The remaining mortgage is about 200k, and the property value is in the region 450k. Is this a transfer of equity? Is land tax payable?
• Do I need legal advice when doing a transfer of equity where the home loan is to remain with Aldermore Bank?
• My Aldermore Bank mortgage we jointly entered into with ex, who has agreed to come off the deeds and put the house in my name alone. Aldermore Bank have consented to the transfer of equity to me solely. Will Aldermore Bank get in touch with my company to confirm my salary?
• I am trying to find a lawyer to deal with my transfer of equity. Aldermore Bank have been approached for a remortgage. I thought of asking my financial adviser. I am lead to believe he may get a kickback for recommending a firm, but also of benefit will be that he knows the lawyer, has a working relationship with them. Is my logic misguided?
• I am selling my share of a property in Birmingham to the other co-owners fiance, they are reapplying to Aldermore Bank. We are haggling as to who must pay the fees for the transfer of equity. Is this normally split or is one party obliged to cover the charges for?
• My mother passed away half a year ago leaving a loan-free property to me and my half brother 50:50. Having continues to reside at the house, there was a clause in the will specifying that the premisescould not be sold for 2 years following her death so he could reside there for a prescribed period. He now wants to remain in the house beyond the specified period. We have considered a transfer of equity. Would I be right in thinking that we'd get a valuation then he'd get a home loan in the traditional way to purchase my half from me?

Information that may be required from your conveyancer may ask about your Aldermore Bank Transfer of Equity

Information to consider in supporting the above Aldermore Bank transfer of equity Advice :

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 Aldermore Bank 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 trigger 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 conveyancer will check with Aldermore Bank 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 Aldermore Bank 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 finalisation of the transfer of equity conveyancing.

Preparing the Transfer of Equity with a Aldermore Bank 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 Aldermore Bank 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 lawyer 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.