Norwich and Peterborough Building Society transfer of equity: q and a’s
- I am planning on removing a name from a joint mortgage and the Norwich and Peterborough Building Society need me to use a conveyancer to carry out the paperwork. Can you recommend a reasonably priced Crabtree
lawyer to deal with the transfer of equity? They need to be on the Norwich and Peterborough Building Society conveyancing panel.
- I jointly own a house in Littleborough
, with a Norwich and Peterborough Building Society mortgage with my ex husband. He and his fiance are going to acquire my share. We had consent from Norwich and Peterborough Building Society to replace my name with hers. The transfer of equity needs to be done by a conveyancing solicitor for Norwich and Peterborough Building Society (apparently). Can we do the Land Registry change?
- The mortgage broker has suggested using their conveyancer for our Transfer of Equity plus remortgage with Norwich and Peterborough Building Society - Surely it’s easier to just use them?
- I got divorced two years ago. I simply never dealt with the transfer ownership from both our names to my name alone. I am ready to do that and so is she. Transfer-of-equity is needed. Norwich and Peterborough Building Society is willing to transfer the full equity in my name (affordability checks done). Does she need any legal representation?
- After a number of years estranged I have decided to relinquish up my interest in the former home to my husband who is refinancing with Norwich and Peterborough Building Society. Could this transfer of equity be done in less than four weeks?
- Me and my partner jointly own a house in Sedgefield
. Home loan is with Norwich and Peterborough Building Society. I wish to transfer full ownership to him with no exchange of money but without using a conveyancer. Do you think this should be easy to so?
- My mum passed away seven months ago leaving a unencumbered house to me and my step brother equally. He has always lived in the house, there was a clause in her will specifying that the premisescould not be sold for 2 years following her passing so he could reside there for a specified time frame. He now wishes to remain in the house beyond the specified period. We have considered a transfer of equity. Am I right in saying we should get a valuation then he'd get a home loan in the conventional way to purchase my equity?
Questions that your conveyancer may ask about your Norwich and Peterborough Building Society Transfer of Equity
Please give the details of anyone to be removed from the title deeds?
Will there be any consideration monies passing between the parties for the Transfer of Equity? If so, please state the amount and who is to receive the same
If are intent on holding the property as beneficial Tenants in Common in unequal shares, what is the split to be. For e.g. 50-50, or 60-40?
Please state the names and ages of anyone over the age of 17, other than the owners, who will occupy the property with you
Have you approached Norwich and Peterborough Building Society to seek consent to the Transfer of Equity
Please confirm whether you are receiving any payment as part of the Transfer or Equity and from whom and provide details of the amount?
Information to consider in further to the above Norwich and Peterborough Building Society 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 Norwich and Peterborough 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 freeholder. If such terms are not adhered to you may be in violation of 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 conveyancer will check with Norwich and Peterborough 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 Norwich and Peterborough 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 varies based on the market value of the property at the conclusion of the transfer of equity conveyancing.
Your property may be repossessed if you do not keep up repayments on your mortgage with Norwich and Peterborough Building Society.
Preparing the Transfer of Equity with a Norwich and Peterborough Building Society 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 Norwich and Peterborough 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 conveyancing solicitor 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 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.
