Common questions relating to RBS - Direct Line transfer of equity

• I am planning on removing a name from a joint mortgage and the RBS - Direct Line require me to use a lawyer to carry out the conveyancing. Can you recommend a reasonably priced Wakefield conveyancer to deal with the transfer of equity? They need to be on the RBS - Direct Line conveyancing panel.
• My -ex-husband and I are in the market for an affordable conveyancing solicitor to help me sell in a transfer of equity and remortgage with RBS - Direct Line. I really don't want to get ripped off and there's plenty conveyancing organisations who do transfer of equity conveyancing out there...who's the best?
• What is the process for having a person removed from the deeds to a property where the mortgage is with RBS - Direct Line
• What should I be budgeting for when it comes to what solicitors fees are for a transfer of equity? I'm in the process of remortgaging - moving over to RBS - Direct Line - and have been quoted Three Hundred pounds including VAT by RBS - Direct Line's appointed conveyancing solicitor, Is this a reasonable price?
• My former husband are seeking to get a conveyancer in place for a new mortgage with RBS - Direct Line. Transfer of Equity conveyancing is also necessaryI have used the different rating based tools and the results are from all over the country. Do we need to have a conveyancing solicitor local to us?
• I am under the impression we would need at least AP1 and Transfer Deed. Is this true?
• I currently have a joint RBS - Direct Line mortgage with my cousin and am looking into the option of him assuming responsibility for the outstanding mortgage and extracting myself from it, so as to enable me to buy a place with my soon-to-be-wife. The outstanding mortgage is in the region 175k, and the property value is about 600k. Is this a transfer of equity? Is land tax due?

Sample of questions in a conveyancing solicitor questionnaire concerning a RBS - Direct Line Transfer of Equity

Information to consider in conjunction with the above RBS - Direct Line transfer of equity Questions and Answers :

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 RBS - Direct Line 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 terms are not adhered to you may be in breach 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 lawyer will check with RBS - Direct Line 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 RBS - Direct Line 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 conclusion of the transfer of equity transaction.

Preparing the Transfer of Equity with a RBS - Direct Line 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 RBS - Direct Line 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.