Transfer of Equity

What is a Deed of Postponement?

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

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

• A lenders agreement to register their charge later

• The client agreement to register the charge later

On a Transfer of Equity who do we act for?

• The Transferor

• The Transferor and Transferee

• The Transferee

• Anyone who formally instructs us

In which of the below circumstances would Stamp Duty be payable on a Transfer of Equity (TOE)

• If the Mortgage debt plus any consideration paid goes above the SDLT threshold

• If there is a Gift with no outstanding mortgage

• If the TOE is subject to a divorce or end of civil partnership

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

• Death

• Marriage

• Tax Planning

• Divorce or Separation

What documents would we need from the Transferor on a TOE if they are being removed from the Title?

• Signed Contract and TR1

• Signed Contract, TR1 and TOE questionnaire

• Signed TOE questionnaire, TR1, ID1 form (if not legally represented)

• Signed Contract, TR1 and Mortgage Deed

How does the Land Registry base their Registration fees on a Transfer of Equity?

• The Value of the property

• How much Consideration is paid in the TR1

• The outstanding Mortgage dept from the existing mortgage on the property

• The new Mortgage amount and any consideration being paid