Equity Transfer

Is it time for you to think about transferring equity?

A Transfer of Equity is a change in the co-ownership status of a property where one (or more) of the legal owners remains on the title whether another/others are added or removed. You might arrange a transfer of equity to add a spouse to your property title or may remove a co-owner if you are buying out that co-owner’s share. Similarly, you may wish to change the percentage shares owned by the co-owners of a jointly owned property depending upon the contributions being made.

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Transfers of equity can also be made for tax planning purposes. You should seek specialist financial advice from an accountant or tax advisor if intending to transfer equity for tax planning purposes.

Because a transfer of equity relates to a transfer of an interest in land it may give rise to a liability to pay Stamp Duty Land Tax (SDLT) in the event of monetary value in exchange.

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Svetlana Humphris

Svetlana joined Mullis & Peake LLP in 2015 and works in the residential property team

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Paul qualified as a solicitor in 2010 and specialises in Residential Property matters.

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