Until now, the general approach has been that a company cannot claim privilege against its own...
A Transfer of Equity is when one or more person is added or removed from the title of a property. This can either be to transfer the property from sole name into joint names, from joint names to a sole name, or to add additional persons to the property ownership. The term ‘equity’ reflects how much of the property a person owns.
The process can be different depending on the circumstances but generally a solicitor will need to check the current title register of the property, agree the proposed terms with the other parties’ solicitor and if there is an existing mortgage over the property, obtain consent for the transfer from the mortgage lender.
Once both parties’ solicitors have agreed the terms for the transfer, they will draft a Transfer Deed (TR1). Both parties will then sign a copy of the Transfer and the ownership will be transferred on the day of completion. A solicitor will then check to see if any Stamp Duty Land Tax is payable to HMRC and register the transfer at the Land Registry, where the legal title will be amended to reflect the new ownership over the property.
If you would like any further information or advice in relation to buying or selling a property, please contact us on 01384 410 410 or send an email to residentialconveyancing@georgegreen.co.uk. You can also get a free quote by using our conveyancing quote tool on our website.