Re-Mortgage & Transfer of Equity

Do we deal with Equity Release files?

• Yes

• No

• Don't know

• Depends on the circumstances

What information would we need from the client if they are Re-Mortgaging?

• If further advance - Copy mortgage offer, bank statement showing funds in their account

  If Re-Mortgaging – who is acting. If another solicitor need details and copy offer for ease as need to see amount of borrowing. Need confirmation that the funds are being sent to us directly.

• If further advance - bank statement showing funds in their account

  If Re-Mortgaging – Need confirmation that the funds are being sent to us directly.

• If further advance - how much is the client sending to us

  If Re-Mortgaging – Need copy offer for ease as need to see amount of borrowing. Need confirmation that the funds are being sent to us directly.

What do we need before we report to the lender that the client is obtaining funds through a Re-Mortgage?

• How much is the client remortgaging for

• My managers permission

• Client consent to report

• The consent from the re-mortgage lender

What is a Deed of Postponement?

• A lenders agreement to postpone the priority of their charge behind the primary lender

• A clients agreement to postpone the charge behind the primary lender

• A lenders agreement to register their charge later

• The client agreement to register the charge later

What are the most common reasons for a Transfer of Equity?

• Death

• Marriage

• Tax planning

• Incapacity

Who do we act for in a Transfer of Equity?

• Both parties

• The party staying on the title

• The party coming off the title.

• We don't act

What is a Re-mortgage?

• Someone may not have a mortgage on their property and then decides to take out a mortgage.

• Someone who lives in a property and decides they want to buy another and keep the existing property may need to do a let to buy as they need to convert their mortgage into a non-occupier mortgage.

• When a homeowner takes out a new mortgage on their property to release equity and / or pay off an existing charge with a better rate.

• The owners are elderly and want to release equity on their property. These are different types of mortgages where no monthly payments are made to the lender but the property is sold when the owners die and the sale proceeds go towards repayment of the charge. These can be expensive.