Transfer of Equity

Deedoodee

my partner and I want to do a transfer of equity, so I will pay him and we will have 50:50 ownership and keep the mortgage amount the same. His fix is set to end in the middle of next year. 

We called one solicitor who charge £700+VAT just for legal fees, they’ve also said we might also need to pay for full conveyancing service (including searches). 

If we wait until next year and remortgage with a new lender who offers free legals, could avoid the legal fees all together?

kingstreet

No. You will still carry the cost of the TOE although you do appear to have been quoted more than usual. I'd expect a "one-on" TOE to cost about £480 - £550.

Aliliva

I'm going through a similar process with my partner, and we were quoted fees from £500 to £2000. You might have to add to them the fee to change names on the mortgage (around £200 for us) and the Land Registry ones (not sure how much yet), plus any fee payable to the freeholder if you have a leasehold property.

swindiff

My wife and I were in the same position, to do a TOE before the mortgage was due for renewal was going to cost about £1500.  We are currently remortgaging now and the additional cost for the TOE with our conveyancers is £250.

Deedoodee

Thanks everyone. 

kingstreet said:

No. You will still carry the cost of the TOE although you do appear to have been quoted more than usual. I'd expect a "one-on" TOE to cost about £480 - £550.

Would you expect the cost to be the same before remortgage and with remortgage?

Aliliva said:

I'm going through a similar process with my partner, and we were quoted fees from £500 to £2000. You might have to add to them the fee to change names on the mortgage (around £200 for us) and the Land Registry ones (not sure how much yet), plus any fee payable to the freeholder if you have a leasehold property.

Did you do it within a mortgage fix period? 

swindiff said:

My wife and I were in the same position, to do a TOE before the mortgage was due for renewal was going to cost about £1500.  We are currently remortgaging now and the additional cost for the TOE with our conveyancers is £250.

Are you also paying legal for the remortgage? 

swindiff

That was £199 for the mortgage transfer fee and then £250 for the transfer of equity (plus VAT)
There were then the 3rd part costs such as Land registry fee, search indemnity etc.

Total cost £631.40

Aliliva

Yes, we are doing it during the fix of the mortgage. The bank we have it with allows us to keep everything the same, including the nice low interest rate and the consent to let on the property.