Transfer of Equity

A transfer of equity is the legal process of adding or removing someone from the title deeds of a property.  In simple terms, it changes the ownership of a property without selling the property.  There are various reasons for a transfer of equity, and they include: –

• Divorce or Separation
• New Relationships
• Buying Out a Co-Owner
• Tax Efficiency

In circumstances, where someone is being removed from the title of the property, each person will need to be separately represented by lawyers, and we cannot act for both.  Our property team is experienced in assisting with transfers of equity and is generally able to act for clients on a fixed fee basis and will be able to explain whether an independent solicitor is needed.

If you intend to remain with the same mortgage lender (if you have one) you will need to obtain the consent of the lender to the name being added / removed.  You should make enquiries with your lender directly regarding this.

Typically, if we are instructed in a transfer of equity, we will carry out the following: –

• ID and anti-money laundering checks (also known as due diligence)
• Liaising with the mortgage lender if applicable and/or obtaining consent to the transfer
• Reviewing the title documents for the property
• Preparing the legal documentation for signature by all the parties
• Advising as to whether Stamp Duty Land Tax is payable (you may be required to obtain specialist tax advice in certain circumstances)
• Submitting the application to HM Land Registry

If you would like to find out more about the costs and process involved in a transfer of equity, please contact us at [email protected]