A transfer of equity occurs when a person’s name is either added or removed from the deeds of a property. This can happen as the result of a number of scenarios, such as creating a joint owner, when couples marry or enter into a civil partnership, taking a co-owner off the deeds, or making a transfer from one person to another, such as gifting a property to a child or family member.
Changing the registered owner
Whatever the circumstances, the new owner must apply to HM Land Registry in order to change the name of the registered owner. More information on the process and forms can be found on the Government website.
When a solicitor is needed
Often, a solicitor is already employed to take care of the transfer as a part of the legal process involved with the purchase of property. In cases where there is no consideration involved, while it’s essential that the person who is receiving the property is represented by a solicitor, the person who is having their name removed from the deeds can choose whether they want a solicitor or not.
That said, it is recommended that all parties be represented by a transfer of equity solicitor in every case, so all parties can have access to independent legal advice. You can find specialist transfer of equity solicitors such as parachutelaw.co.uk/transfer-of-equity-solicitor who specialise in representing owners looking to have their names removed from the Land Registry for no consideration.
Generally, equity transfers are a simple process and transact relatively quickly. A professional solicitor will establish whether Capital Gains Tax, Stamp Duty or other fees are payable as a result of the equity transfer, and will ensure that the transaction is completed swiftly and smoothly.
