Adding Name To House Deeds UK
Are you looking to add your new partner or spouse’s name to the deeds for your home? Perhaps your accountant has advised you to share ownership of your home with your children as part of your inheritance tax planning?
This change in legal ownership is called a ‘transfer of equity’ and it is usually a relatively straight-forward process.
You will be asked to decide how you wish to own the property together; for example, whether you want to own it ‘equally’ or in specific percentage shares, and whether you want to protect one party’s financial contribution. If so, we can ask our Trusts and Estates team to prepare a Deed or ‘Declaration of Trust’ for you to reflect those intentions.
If you have a mortgage on the property, you will also need to get permission from your lender and the new co-owner will need to be approved before they can be added to the mortgage. This may require a new mortgage application and will involve assessing the additional person/people with regards to affordability and credit scoring. The mortgage company may charge you an administration fee and may also require a new valuation to be carried out on the property.
If the property is leasehold, you may need permission from your landlord to add names to the deeds, although this is often a formality. We will also need to serve notice on the Landlord after the transfer, asking them to note the changes on their records, for which they may require payment of a nominal administrative fee.
Stamp Duty may also be payable in certain circumstances, depending on whether money changes hands for the transfer and whether there is an existing mortgage on the property. See our other article called Stamp Duty on Transfers of Equity for more information on how this may affect you.
If you have any queries regarding adding a name to deeds, Talk to Tollers for all your conveyancing needs.