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Alex J.
Alex J., Solicitor
Category: Property Law
Satisfied Customers: 3775
Experience:  Two years conveyancing experience.
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My question is, giving my daughter my property, and if she

Resolved Question:

My question is, giving my daughter my property, and if she can use the property to secure a lone for a second property ?
Submitted: 1 year ago.
Category: Property Law
Expert:  Alex J. replied 1 year ago.
Hi, Thank you for your question and welcome. My name is ***** ***** I will assist you. Are you transferring legal title into your daughter's name? If so then yes she can use the property as security for a loan on a second property. Not all banks will be obliged to accept this, but you will have to find a bank that is prepared to accept a property as security for a loan on another property. Does she have a deposit for a second property? Kind regards AJ
Customer: replied 1 year ago.
She has a deposit above £40000, and there is no mortgage on my property which is estimated at one million. Regards Asa.
Expert:  Alex J. replied 1 year ago.
Hi,
Thank you.
Offering the first property up as security for the second property will likely mean she is able to secure a more favourable interest rate, especially if the first property is mortgage free.
The only issue is if they are both residential properties she will only be able to claim relief (as her primary residence) on one of the properties if she makes a capital gain on it.
Kind regards
AJ
Customer: replied 1 year ago.
I suppose I will transfer the legal title, and how do I go about that? As you can see I'm not clued up on legal matters. thanks for your replies so far. regards Asa.
Expert:  Alex J. replied 1 year ago.
Hi, Thank you you will need a solicitor to transfer the property in your daughters name - they will need to register a deed of transfer at the Land Registry - https://www.lawsociety.org.uk/ - if you contact the Law Society they will be able to assist you in finding a local solicitor.If you have an existing relationship with a bank, they may accept the property as security even if it remains in your name - it really depends on what you can negotiate. Kind regards AJ
Customer: replied 1 year ago.
Thanks again, I feel I have something to work on, will keep in touch. Thanks,
Expert:  Alex J. replied 1 year ago.
No problem.
I wish you the best of luck. I would be most grateful if you would rate my answer.
Kind regards
AJ
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