Transfers of Equity

What is a Transfer of Equity?

A transfer of equity occurs when the existing ownership of a property changes without the property being sold. The transaction involves changing the names on the title at HM Land Registry to reflect the new ownership arrangement. If there is a mortgage on the property, the lender’s consent is required before the transfer can be completed. Importantly a Transfer of Equity normally requires that at least one of the owners remains on the legal title following completion.

When is a Transfer of Equity required?

There are several common situations in which a transfer of equity is needed. The most frequently include the following:

• Relationship breakdown: removing an ex-partner from the title and mortgage following separation or divorce
• Marriage or civil partnership: adding a spouse or civil partner to an existing title
• Family restructuring: gifting a share of property to a child or family member
• Tax planning: restructuring property ownership as part of an estate or financial planning strategy
• Remortgaging: where a change of ownership accompanies a change of mortgage provider
• Business arrangements: adding or removing business partners from an investment property

How the Transfer of Equity Process Works

Most transfers of equity follow five stages from instruction to registration. Our Client Service Charter sets out the standards you can expect throughout:

1. Instruction: You provide details of the property, the parties involved, and the reason for the transfer. We issue a fixed fee quote.
2. Mortgage lender consent: If there is a mortgage on the property, we contact the lender to obtain their consent and ensure the transfer meets their requirements.
3. Transfer deed: We prepare the TR1 transfer deed and any supporting documentation required.
4. Signing: All parties sign the transfer deed. This can usually be arranged remotely.
5. Completion and registration: We register the updated ownership at HM Land Registry and account for any Stamp Duty Land Tax liability where applicable.

Why Choose Nelsons as Your Conveyancing Solicitors?

Nelsons is one of the largest residential property teams in the East Midlands. We hold the Law Society Conveyancing Quality Scheme (CQS) accreditation, are proud members of the Conveyancing Association, and were named Conveyancing Firm of the Year – Midlands at the LEAP Modern Law Conveyancing Awards 2024. Here is what that means for you in practice:

• Law Society CQS accredited: the recognised quality standard for residential conveyancing
• Conveyancing Firm of the Year: Midlands, LEAP Modern Law Conveyancing Awards 2024
• Member of the Conveyancing Association: committed to industry best-practice standards
• A Named Conveyancer Throughout: You’re assigned a dedicated conveyancer for your transaction, so you always know who to call and aren’t passed between departments.
• Transparent pricing: Fixed fees for complete cost certainty from the outset
• Local Knowledge, Three Office Locations: With offices in Derby, Leicester and Nottingham, we understand the local property markets we work in and offer face-to-face appointments where you’d prefer them to a phone call.
• Innovative Processes: most of the process can now be undertaken electronically including the use of electronic signatures for the Contract and Transfer deed.

Speak to Our Conveyancing Solicitors

Ready to move forward, or want to discuss your situation before committing? Our residential property team is here to help. Get transfer of equity advice today on 0800 024 1976 or via our online enquiry form. No-obligation quotes available.