Deed of gift or undervalue

[Cockwomble]

What does this mean please? I am looking into swapping names on a mortgage - a straight swap of one name for another, no money changing hands.

I have been asking for solicitors quotes and one of them wanted to know if deed of gift or undervalue were involved.

Thanks

You can't swap names on a mortgage normally. Say you have A and B owning a property together subject to mortgage, and the new owners will be A and C. A and C will have to take out a new mortgage to clear the existing one.

If A will be the sole owner in future, a transfer of equity is what you'd be applying for. You first ask the mortgagee for their permission to remove B from the mortgage account, and then effect the transfer. Alternatively A can seek a new mortgage elsewhere.

If the property being transferred has some equity, there may be CGT considerations, whether or not it money is actually changing hands.

Thanks

Agree with Collaborate. It's not just a matter of changing names on a mortgage deed (ie the debt), I would expect that the title (ie ownership of the property) is also going to change hands, surely?