Transfer bw existing Tenants in Common - forms AP1 & TR1

<p>Hello, I’ve tried to consolidate all my questions into one thread so apologies for the list of questions. Also I’ve search in previous threads and believe I’ve found some answers but wanted to get confirmation that my assumptions are correct. Many thanks in advance.</p> <p></p> <p>Background</p> <p>Myself and my sister own a flat as tenants in common (50% each)</p> <p>I wish to transfer my 50% to my sister at market value. No mortgage involved.</p> <p>Questions</p> <ol> <li>For form AP1&#160; box 3 I have assumed it is a transfer of the whole title (from both our names to just my sister’s name&#160;(so Form TP1 box 4 is both names)</li> <li>And for AP1 box 4 Transfer value should be the full market value of the whole property, but the fee paid should relate to the 50% I am transferring.</li> </ol> <p>Could you confirm this is correct?</p> <ol start=3> <li>Where, if at all should I put an explanatory note that the transfer is my full 50%? Or is this assumed by the fee?</li> <li>Form TR1 box 8 Consideration. I assume that I should tick the first box and provide the sum of my 50% share?</li> <li>TR1 box 9 - if we’re not changing anything else in the register other than transferring from both our names to only my sister’s name, I assume I can tick the box for full title guarantee? I’m asking about this because our current Title deed under B Proprietorship Register has some points under Title Absolute dated from our purchase date (as far as we’re aware we didn’t specify anything during the original purchase other than Tenants in common), and also some historic (1923) charges &amp; restrictive covenants.</li> </ol> <p>Other points of confirmation;</p> <ol start=6> <li>Please confirm that I don’t need to send the title deed and plan? (Just AP1, TR1 and ID1s for both myself and my sister)</li> <li>We have determined market value in good faith - it is based on&#160;recent comparable&#160;sold prices plus renovation&#160;costs to bring our flat to a comparable standard. Should we include this information with our forms, or is this only relevant for SDLT and CGT forms.</li> </ol>

Hello Victoria <p>Questions + <strong>Answers</strong></p> <ol> <li>For form AP1&#160;box 3 I have assumed it is a transfer of the whole title (from both our names to just my sister’s name&#160;(so Form TP1 box 4 is both names) - <strong>Transfer of whole and it's form TR1 you need. You are both transferring the WHOLE of the legal title to just the one of you</strong></li> <li>And for AP1 box 4 Transfer value should be the full market value of the whole property, but the fee paid should relate to the 50% I am transferring.&#160;<strong>See Transfers of land for monetary consideration and the examples provided. If you are actually paying her £X as a share of the value then that's what we need to be clear in both the TR1 and form AP1 panel 4 -&#160;</strong><a href="https://www.gov.uk/guidance/hm-land-registry-registration-services-fees#scale-1-fees">HM Land Registry: Registration Services fees - GOV.UK</a></li> </ol> <p>Could you confirm this is correct?</p> <ol start=3> <li>Where, if at all should I put an explanatory note that the transfer is my full 50%? Or is this assumed by the fee? <strong>Nowhere - the TR1 is of the whole so we know there is no % share involved after completion</strong></li> <li>Form TR1 box 8 Consideration. I assume that I should tick the first box and provide the sum of my 50% share?&#160;<strong>Yes if you are paying her £X</strong></li> <li>TR1 box 9 - if we’re not changing anything else in the register other than transferring from both our names to only my sister’s name, I assume I can tick the box for full title guarantee? I’m asking about this because our current Title deed under B Proprietorship Register has some points under Title Absolute dated from our purchase date (as far as we’re aware we didn’t specify anything during the original purchase other than Tenants in common), and also some historic (1923) charges &amp; restrictive covenants. - <strong>see section 3.9 of </strong><a href="https://www.gov.uk/government/publications/registered-titles-whole-transfer-tr1/guidance-completing-form-tr1-for-the-transfer-of-registered-property">Guidance: how to complete form TR1 - GOV.UK</a></li> </ol> <p>Other points of confirmation;</p> <ol start=6> <li>Please confirm that I don’t need to send the title deed and plan? (Just AP1, TR1 and ID1s for both myself and my sister) -&#160;<strong>correct. We hold the title deed (register and title plan so don't need to see a copy you might have)</strong></li> <li>We have determined market value in good faith - it is based on&#160;recent comparable&#160;sold prices plus renovation&#160;costs to bring our flat to a comparable standard. Should we include this information with our forms, or is this only relevant for SDLT and CGT forms.&#160;<strong>Include that confirmation with your application but as the TR1 refers to the purchase price/consideration re half the value it's not always essential to confirm&#160;</strong></li> </ol> <strong>Additional point to consider - you refer to yourselves as being TIC and the 50% share. If there's a form A restriction on the register re your joint ownership then we will also need forms RX3 and ST5 to confirm that the trust created is no more and the form A is no longer required as your sister is now the sole legal and beneficial owner.&#160;</strong><a href="https://www.gov.uk/joint-property-ownership/change-from-tenants-in-common-to-joint-tenants">Joint property ownership: Change from tenants in common to joint tenants - GOV.UK</a>&#160;<br> <br> Land registration is complex, designed to protect legal and financial interests in property. There can be significant consequences for any error. Please consider seeking legal representation. Before making an application without legal representation, it is important to&#160;<a href="https://www.gov.uk/guidance/making-an-application-without-legal-representation">consider the benefits of using a conveyancer.</a>

<p>Hi Adam</p> <p>Great, this is fantastic, thank you. I have a few follow up queries relating to my original questions plus I’ve added a couple of additional queries.</p> <ol> <li>&amp; 3 &amp; 6 &amp; 7 - Thank you (yes I meant TR1!)</li> <li>(&amp; 4) Apologies, could you please clarify your response, are you saying I need to put the monetary value for my 50% in box AP1 box 4? Asking for clarification as in these threads I understood it to be the full market value of the WHOLE property? (I note your response to point 4. re TR1 box 8, you confirm the 50% ) <a href="https://customerhelp.landregistry.gov.uk/forums/forms/6ead4e77-3afb-ee11-a73d-6045bdfc0187">https://customerhelp.landregistry.gov.uk/forums/forms/6ead4e77-3afb-ee11-a73d-6045bdfc0187</a> &amp; <a href="https://customerhelp.landregistry.gov.uk/forums/forms/f7fe7e1e-026e-f011-95f2-7c1e522d280a">https://customerhelp.landregistry.gov.uk/forums/forms/f7fe7e1e-026e-f011-95f2-7c1e522d280a</a></li> </ol> <p>5. Ok, based on the guidance notes I can select Limited Title Guarantee because my sister and I can guarantee that we have not created any charges/encumbrances.</p> <p>8. Thank you for highlighting Form A restriction and the process to remove the trust - this was incredibly helpful.</p> <ol start=9> <li>There were a couple of other covenants on the title under B Title Absolute at the time of our original purchase.&#160; The first is to ‘observe and perform the covenants referred to in the Charges register…’ . Which I believe means the historic covenants pass with the land. Does this covenant need to be restated during this transfer (and if so, how?). Or does it simply stay on the title deed? The second covenant is the implied covenant under 4(1)(b) of the Law of Property Act (misc provisions) 1994 is modified in the disposition. The meaning is a little unclear when researching this, but it likely indicates that the property is not in the same unspoilt condition than when the lease was issued, and this doesn't constitute a breach of the lease. And/or the name of the owner is modified. I couldn’t find any more information in the Title Deed. However Practice Guide 48 states that we can make an application for a copy of the document. Could you please outline the process for this application? I can send the Title number and date of disposition when the covenant was added?</li> <li>Could you please also clarify the order of the process when SDLT is required, as there is conflicting information online. Do we need to submit and pay SDLT and wait for the SDLT5 Certificate before we submit AP1, TR1 and ID forms. Do we submit at the same time? Or do we have 14 days after we sign TR1 to submit SDLT?</li> </ol> <p></p> <p>Many thanks in advance.</p>

Hi Victoria - 2. You stated that you were buying your sister out so the TR1 will have a consideration in £s I assume. If so then that is what counts re the fees&#160;<br> You refer to other threads/posts but those are where there is no money changing hands and the fees are based on the full market value and the split being transferred e.g. 2 to 1 = half that amount<br> 9. That's for you to decide - if you don't include a new covenant then the existing entry falls away. We can't advise you on what you should do or include above and beyond the guidance included in the 'How to complete' details<br> 10. You'll need to contact HMRC to confirm SDLT requirements and the order/timing&#160;

<p>Hi Adam</p> <p>Great, thanks for the clarity on 2 - I now understand the difference bw our case and the other examples.<br> 9. That's useful to know that the previous points fall away. Regarding my request about obtaining the documents containing the details of the previous modification to the implied covenants&#160;(as per Practice Guide 48, stating&#160;that we can make an application for a copy of the document) - how do I go about making that request to HMLR?</p> <p>10. Ok, good to know thats's an HMRC query. So from the HMLR perspective, you're not expecting the SDLT5 certificate to be submitted to action the TR1?</p> <p>Thanks again,</p> <p>Victoria</p> <p></p> <p></p>

Hi Victoria - 9.&#160;<a href="https://www.gov.uk/get-information-about-property-and-land/copies-of-deeds">Get information about property and land: Get a copy of the deeds - GOV.UK</a>&#160;<br> 10. We will know what to expect when the application is submitted and the supporting paperwork lodged with it. You need to contact HMRC to establish what, if anything, is required re the planned Transfer

<p>Thank yu</p>