Four steps when transferring equity in a property

October 24, 2021 3:44 pm

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Anything to do with property ownership is a serious undertaking, with several aspects that must comply with the law. Adding or removing someone from the deeds of a property involves four stages, and it is important that each one is addressed carefully and the transfer is carried out thoroughly and correctly to avoid any future issues with the legal rights to the property.

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1. Beginning the process

The first thing to do when approaching a transfer of equity is to appoint an expert to liaise with the relevant parties and solicitors and take care of the process for you, flagging any issues that arise. It is vital to appoint a knowledgeable and diligent conveyancer when transferring equity in a property.

Doing your research is an important step. A good place to start is looking at what companies such as Sam Conveyancing have to offer. Once you have chosen a conveyancer, they should issue a quote or cost estimate and there will be paperwork to fill out with details of the property, the people involved, and the solicitors acting for them.

2. Money laundering

The second step will be to satisfy money laundering laws by confirming identities, which will require photographic proof of ID such as a passport or a current driving licence. A deposit for the work may also be required at this time and the bank accounts from which the funds are sourced will need to be verified.

Money laundering is a huge global problem, which is why verification is necessary.

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3. Transfer deed and HM Land Registry

The third step in the transfer of equity will be obtaining the title documents held by HM Land Registry. A transfer deed will then be prepared, which will need to be approved and signed. Once this has been completed, a timeline can be put in place for completion.

3. Completion

The fourth and final stage of this journey is completion. When all other matters are in order, a date will be set for completion; on this day, any remaining funds will be transferred to the appropriate solicitor and the transfer will be considered complete. The title held by HM Land Registry will be updated to remove past co-owners and reflect the current ownership. An updated copy of the amended title can be sent to you at this time. At this point, your conveyancer may close your file but will retain their records.

Mistakes can be costly when dealing with legal matters. The best way to avoid expensive errors is to appoint a conveyancer who is an expert in their field.