Sample questions relating to Bank of Ireland transfer of equity

• What legal advice do I need when doing a transfer of equity where the mortgage is to remain with Bank of Ireland?
• Me and a friend got a joint mortgage with Bank of Ireland on a property in 2013. I am now looking to get a property by myself and my friend would like to buy me out. On the basis that we can settle on an amount where do we go? Would there be any potential problem with Bank of Ireland with him being on the hook for the total mortgage as opposed to only part of it?
• My decree absolute has gone through as is the consent order. Now I need to deal with the transfer of equity on title deeds and the Bank of Ireland mortgage. I have asked Bank of Ireland for the transfer of equity application. What happens next?
• What are the average conveyancing costs are for a transfer of equity? I'm in the process of remortgaging - moving over to Bank of Ireland - and have been quoted £250 excluding VAT by Bank of Ireland's approved lawyer, Have I been over quoted?
• I am looking for a conveyancer to handle my transfer of equity. Bank of Ireland are dealing with the refinancing. I considered asking my mortgage broker. I understand he will likely receive a kickback for recommending a firm, but also of benefit will be that he knows the conveyancer, has a working relationship with them. Is my logic misguided?
• Can you tell me how to have someone removed from the deeds to a house where the home loan is with Bank of Ireland
• Having been 4 years estranged I have decided to give up my share of our house to my husband who is re-mortgaging with Bank of Ireland. Could this transfer of equity be done inside 28 days?

Examples of questions in a conveyancer form concerning a Bank of Ireland Transfer of Equity

Information to consider in supplemental the above Bank of Ireland 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 Bank of Ireland 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 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 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 lawyer will check with Bank of Ireland 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 Bank of Ireland 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 time of completion of the transfer of equity transaction.

Preparing the Transfer of Equity with a Bank of Ireland 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 Bank of Ireland 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.

Information contained within 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.