Questions and answers: Kent Reliance transfer of equity

• I am thinking of refinancing my house in Romsey does my lawyer have to be on the Kent Reliance Conveyancing panel. The conveyancing also involves a transfer of equity.
• Taking into account that we have been 5 years separated I have opted to transfer my interest in the former home to my husband who is refinancing with Kent Reliance. Can a transfer of equity be completed in less than 28 days?
• My former husband are seeking to get a lawyer in place for a remortgage with Kent Reliance. Transfer of Equity conveyancing is also neededI have used the different rating based services and the results are from all over England and Wales. Is it important to have a conveyancer local to us?
• What are the average solicitors costs are for a transfer of equity? I'm in the process of remortgaging - moving over to Kent Reliance - and have been quoted £350 plus VAT by Kent Reliance's approved conveyancer, Is this a reasonable price?
• Kent Reliance have just agreed I can take over the home loan on the house. I had applied for a transfer of equity but is this a transfer of ownership of the title deeds on top?
• I am in the market for a quality conveyancing lawyer to assist in a transfer of equity and remortgage with Kent Reliance. I I am concerned about appointing the wrong one and there's lots of conveyancing practices who do transfer of equity conveyancing to pick from...how do I know which to appoint?
• I am am in need of a lawyer to deal with my transfer of equity. Kent Reliance have been approached for a remortgage. I thought of asking my financial adviser. I understand he may receive a referral fee for recommending someone, but also of benefit will be that he knows the conveyancer, has dealt with them before. Is my logic correct?

Sample of information requested in a conveyancing solicitor questionnaire relating to Kent Reliance Transfer of Equity

Important warnings to consider in supporting the above Kent Reliance 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 Kent Reliance conveyancing panel and accountant before transferring equity.

Transfer of Equity Conveyancing for Leasehold properties

If your property is 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 breach of your covenants under the lease. This could potentially result in 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 cases, 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 Kent Reliance 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 Kent Reliance 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 market value of the property at finalisation of the transfer of equity transaction.

Preparing the Transfer of Equity with a Kent Reliance 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 Kent Reliance 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 provided 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.