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Hello and thank you for your question. I will be very pleased to assist you. I'm a practicing lawyer in England with over 10 years experience.
May I ask roughly what level of equity there is in the property net of the mortgage please?
What is the approximate value of the property on the open market?
Roughly how much is owed on the existing mortgage?
Property has a current mortgage of £83,000 and is worth £195,000,
Finally could you tell me if you would propose to seek any payment from your husband for the transfer of the property or would you propose to simply trasnfer it to him if possible?
Simply transfer, we are not separating, divorcing etc. It would simply be my credit score isn't good. Its also a buy to let currently being tenanted. Not sure that makes a difference?
Thank you. The reason for my above questions was to determine if there would be any stamp duty payable on the transfer. It is perfectly possible to transfer the property to your usband providing your husband can raise or has sufficient finances to repay the existing mortgage however stamp duty can arise. Here no stamp duty would be payable based on the figures you have kindly given me so this is not an issue.
How would we go about doing it? Would it be via a solicitor? When you say 'finances to pay off the mortgage' is this with regards ***** ***** he earns?
As above, in order to transfer the property o your husband he would need sufficient monies to repay the existing mortgage either from savings or a new mortgage or both. In addition there will likeluy be some fees which are usually minor in nature (though this should be confirmed by looking at your lease) to the landlord on transfer - normally this is just an admin fee of circa £80-150 to register the change of ownership but a few leases provide for higher amounts to be paid though these are usually either shared ownership flats or retirement flats.
Ok, so can I organise all this or should it be done via a solicitor?
You will need to consider that in transferring the property to your husband, if he needs to raise a mortgage on the property and you cannot be a party to the mortgage because of credit history, you will have to make a gift of the property to your husband. This is perfectly possible but you are giving away a valuable asset. In the event you ever had any difficulties in the future, this may not be ideal from your point of view. If you are comfortable with this then that is fine, but it is important to consider it.
Regarding your last two queries...
"Finances to pay of the mortgage". If you are not seeking any money to transfer the property to him then all that has to be considered is the existing mortgage. In order to take a transfer, the existing mortgage must be repaid. In order to do this your husband will either need to use savings or he will need to apply for a new mortgage in his name to pay off the existing mortgage. The existing mortgage and transfer inot his name are both done simulatanously on the same day.
To achieve the transfer, the first step is for your husband to apply for a mortage if he needs one through a broker or bank. Assuming he can borrow enough to repay the existing mortgage then a solicitor must be appointed to act for him and the new mortgage lender. The process operates in a very similar way to how a purchase would operate with your husband the buyer and you the seller but there will be much less paperwork because it is just between the two of you.
The solicitor will have to conduct certain investigations into the title to satisfy the new lenders requirements and obtain some basic informatio from the landlord confirming that service charge etc is up to date and then there will be some papers for each of you to sign to confirm you are transferring the property and gifiting it to your husband and so on but it is relatively straightforward.
The process is likely to take 6-10 weeks from the date your husband makes the application for the new mortgage though it can go slower if you wish it to.
Does the above answer all your questions or is there anything I can clarify or help you with any further?
No thats amazing! Thank you very much for your help.
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