Transfer of Equity

[mytimewillcome]

I'm buying out the co owner of my house and his solicitor has sent me an agreement that looks very straightforward and I think that I can sign it without a solicitor looking at it. But my new mortgage company is talking about me being liable for stamp duty and capital gains tax in the future. Is this something I should be worried about? the agreement says that we each pay our owns costs and that we are not liable for any payments in the future on either side. It sounds quite fair to me.

[Collaborate]

Don't be silly. Signing it is one thing. Unless you know how to register your title, and know enough to be confident that the deed contains the necessary indemnities to protect you as a purchaser, you'll need a solicitor. I assume that you don't have a mortgage on the property, because if you do, the lender will insist on you paying for their solicitor.

You do know that you can't register your title unless you've paid the stamp duty, don't you?

[mytimewillcome]

I'm intending to use the bank's solicitor for the conveyancing etc and there is a mortgage on it but the total paid out plus the current mortgage will still be under £100,000 and a quick google has told me that I don't have to pay stamp duty.

[user1471530109]

I didn't pay stamp duty when I did this during my divorce.
But the whole process wasn't quick and easy. It did take a while. I needed valuation on house and new mortgage and all the other rubbish. I think it took between 8-10 months!

[mytimewillcome]

What User?! I have a deadline of just over a month! Did you use a solicitor? I have a mortgage agreed so hopefully it should be a bit quicker! I might get a solicitor to read through the agreement but get the bank's solicitor to do the conveyancing.

[user1471530109]

Yes, had a solicitor, had mortgage in place. It shouldn't have been complicated...but I've double checked and mortgage offer approved in Nov and went through in April. So 5 months. No complications...all agreed etc.

My solicitors may have been crap. But they were a bank approved.

[Collaborate]

I think I may have misunderstood. So the agreement is not a contract for the purchase of property? Is it a separation agreement?

You can't rely on it covering all the areas you need it to cover. You either run it by a solicitor (should not cost too much) or run a risk.