Frequently asked questions relating to West Bromwich Mortgage Company transfer of equity
- What do I do if I am unhappy with the lawyer who conducted our transfer of equity transaction?
- My dad died seven months ago leaving a mortgage-free property to me and my brother in equal shared. Having continues to reside at the house, there was a condition in her will specifying that the propertycould not be sold for 24 months following her passing so he could remain there for a while. He now wants to remain in the house beyond the specified period. We have discussed a transfer of equity. Am I right in saying we'd get a valuation then he'd get a mortgage in the traditional way to acquire my equity?
- When it comes to transfer of equity conveyancing involving refinance with West Bromwich Mortgage Company should I be charged VAT on the following: (1) Land Registry fee on the transfer of equity (2) Pre - completion search fee (3) SDLT E submission on the transfer (4) Bank TT fee
- I bought a property with my cousin in 2010 Since buying the property, we have both got married. We are now seeking to do a transfer of equity so my name comes off the West Bromwich Mortgage Company mortgage. There is a significant difference between the 'rightmove estimate' and what the property would sell for currently. Can you offer any advice?
- What are the average conveyancing charges are for a transfer of equity? I'm in the process of remortgaging - new loan with West Bromwich Mortgage Company - and have been quoted £250 including VAT by West Bromwich Mortgage Company's approved lawyer, Is this a reasonable price?
- I own a property in Sedgefield
, with a West Bromwich Mortgage Company mortgage with my ex husband. He and his fiance are going to acquire my share. We had approval from West Bromwich Mortgage Company to remove my name with hers. The transfer of equity needs to be completed by a conveyancer for West Bromwich Mortgage Company (supposedly). Can we deal with the Land Registry change?
- I am considering refinancing my house in Romsey
does my lawyer need to be on the West Bromwich Mortgage Company Solicitor panel. The conveyancing also involves a transfer of equity.
Sample of information requested in a conveyancer questionnaire concerning a West Bromwich Mortgage Company Transfer of Equity
Has consent been obtained from West Bromwich Mortgage Company to the proposed transfer of equity?
Has one of the registered proprietors died? If so please provide us with a copy of the Death Certificate, Probate and a copy of the Will.
If you are adding someone on to the property how do you wish to hold the property? Please provide your instructions by completing and returning a“Joint Ownership Declaration” Questionnaire.
Please state the names and ages of anyone over the age of 17, other than the owners, who will occupy the property with you
Please confirm the person to be removed from the title deeds will not reside at the property after completion of the Transfer of Equity?
Please provide the name(s) and addresse(s) of anyone to be added to the property title?
Information to consider in further to the above West Bromwich Mortgage Company transfer of equity Info :
Tax and Legal
There are numerous potential tax and legal implications when transferring equity for your property. You should always seek the advice of a solicitor on the West Bromwich Mortgage Company 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 have a license to do so from the landlord. If such conditions are not strictly observed you may be in breach of the lease. This could potentially result in 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 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 West Bromwich Mortgage Company 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 West Bromwich Mortgage Company 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.
If you do not keep up the payments on your mortgage with West Bromwich Mortgage Company your property may be repossessed.
Preparing the Transfer of Equity with a West Bromwich Mortgage Company 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 West Bromwich Mortgage Company 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.
Information provided 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.
