Transfer of Equity
17th February 2014
At BTTJ we assist many clients with transferring the legal ownership of their properties.
There are many reasons why our clients wish to do this:
- When two people get married/cohabit and already own a property, they may wish for the property to be held in joint names
- Divorce and separation
- Following a divorce, the parties may wish to transfer a jointly owned property into the sole name of one party
- Tax Planning
- Property owners are sometimes advised by tax planners to transfer a share in a family home into the name of their child or other family member
- This may be deemed in law as a gift
Whatever the reason, the process is extremely straightforward and something we would be happy to assist with.
Tax and Stamp Duty
Undertaking transfers of equity can have tax implications for you and those involved.
Some transfers will be considered a ‘gift’ or a ‘transaction at under value’. Depending on the value of a share in the property there may be stamp duty to pay, but some transfers of equity are exempt: for instance where a property is being transferred as a gift or result of a court order following divorce proceedings.
There may also be Capital Gains Tax implications on a transfer or disposition. We are not tax advisors, but may be able to help or at least refer you to an accountant for further advice.
- Obtain title deeds
- Prepare a transfer for parties to sign
- Notify third parties who have an interest in the property, e.g. mortgage lenders
- Assess whether stamp duty is payable
- Complete stamp duty land tax form if applicable
- Register transfer with land registry and pay applicable land registry fee.
- Send a copy of the new title documents to client.
Please contact us on 02476 531532 if you wish for us to assist you with your transfer or any other conveyancing matter.