Transferral of equity is taking any profit once the remaining amount outstanding on your current mortgage has been removed from the value of your property. So for example if your property is worth 3250,000 and the remaining mortgage is £100,000, your equity amount would be £150,000. In most cases this equity can be used as a deposit on another property for your or another person, a means to fund developments or improvement on your property, or a cash injection into a savings or wealth management scheme.
Common cases where a transfer of equity may be appropriate include where:
- you own a property in your sole name but want to share ownership with someone else, such as your spouse or civil partner;
- your partner has moved in and agreed to pay half the mortgage in return for a share in the equity;
- you want to transfer some or all of the equity in a property to your children or another relation;
- you and your spouse or partner own a property jointly but you have agreed that your share should be passed to them as part of a financial settlement following divorce or separation;
- a court has ordered you to transfer your equity in a property to someone else, for example a co-owner you owe money to;
- you wish to put property into a trust, or
- you have been advised to make a transfer of equity for wealth protection or tax planning purposes.
At Bailey & Cogger our team of conveyancing lawyers can assist with the transfer of equity by assisting you in:
- checking that there is nothing to stop you making a transfer of equity, such as a restriction in a shared ownership arrangement or under your mortgage;
- helping you to obtain any necessary consents where a restriction exists, and in the case of a mortgage restriction referring you to an independent financial advisor to determine whether a re-mortgage might be appropriate;
- advising you on the implications of making a transfer of equity;
- advising you on the costs and fees you will have to pay, including stamp duty land tax where applicable;
- completing the transfer of equity forms; and
- registering the transfer with the Land Registry.
Advising individuals throughout Kent and beyond
We have offices in Tonbridge, Maidstone, Gravesend, Chatham and Tenterden where we can meet you to discuss your requirements.
We can also offer meetings at your home if necessary, and in exceptional circumstances a telephone appointment can be arranged via skype.
The cost of dealing with a transfer of equity will depend on the circumstances, and in particular whether there is a mortgage. We are happy to provide a quotation after discussing your requirements.
Get in touch
Call us on 01732 353305 if you need our help. Alternatively complete our Contact Us form and we will be in touch as soon as possible.