What is a transfer of ownership?
A Transfer of Ownership, also known as a Transfer of Equity, is the term given to the process for changing some, but not all of, the registered owners of your property. You can carry out Transfers of Ownership on a freehold or leasehold property, as well as Shared Ownership properties.
Our expert Residential Property Team can help you throughout the process of carrying out your Transfers of Ownership.
Things to consider with transfer of ownership
When considering a transfer of ownership, there are many different scenarios that we can advise on in order for you to make an informed decision:
Mortgages
If you have a mortgage registered on the property, you will need to speak to your lender about the Transfer. Either they will approve the transfer of ownership, by signing the Transfer document itself, or they will require you to take out a new mortgage in the names of the new property owners.
Stamp Duty Land Tax
Some Transfers of Ownership attract Stamp Duty Land Tax. HMRC consider the ‘value’ of a Transfer of Ownership to be the total of any payment being made for the share of the property being transferred and 50% of any outstanding mortgage which is currently in place. There are exceptions to this and our Team will be able to guide you in this respect
Shared Ownership
If you are considering a transfer of ownership of a Shared Ownership property, you should speak to your housing association as they will most likely need to be involved with the transfer and approve the change of ownership
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